Summary

The Cosmetic Supply Chain Transparency Act of 2023 would require upstream suppliers (including fragrance houses, formulating labs, and suppliers of ingredients, finished products, and raw materials) to provide brand owners with the ingredient disclosure, toxicity and safety data, the certificates of analysis, and other testing results they need to make safer beauty and personal care products.

Background

Thousands of synthetic and natural chemical ingredients make up the beauty and personal care products we use every day. Some of these chemicals have been linked to negative health impacts ranging from allergic reactions to reproductive harm, brain damage, respiratory harm, endocrine disruption, and breast cancer.

The presence of unknown, undisclosed toxicants and contaminants is cause for serious concern because scientific evidence suggests that hazardous chemical exposures in our daily lives harm human and environmental health.

As consumer awareness about the safety of the ingredients in personal care and beauty products has grown, the need for cosmetic brand owners to obtain reliable information from and exert quality control over their supply chains has become increasingly important.

Problem

The cosmetic supply chain ranges from suppliers of raw materials, formulating laboratories responsible for manufacturing private label products, suppliers of fragrance and flavor formulations, packagers, and chemical companies, to the brand owner. Not surprisingly, transparency, ingredient disclosure, and quality control within the cosmetic supply chain vary enormously. However, regardless of whether the flow of information along the cosmetic supply chain is accurate, the brand owner carries the ultimate liability for the safety of the constituent ingredients and final product. Conversely, upstream contract manufacturers and ingredient suppliers are hidden from public scrutiny, review, and accountability, even from the FDA.

No federal law currently requires disclosing ingredients or any other kind of transparency between cosmetic industry supply chain entities. As a result, both large and small brand owners also carry reputational risk in the marketplace when they can’t obtain accurate and reliable information from suppliers to ensure they are making and selling safe beauty and personal care products.

Solution

The Cosmetic Supply Chain Transparency Act of 2023 requires that upstream suppliers, including fragrance houses, formulating laboratories, contract manufacturers, and suppliers of ingredients, raw materials, and finished products, provide to cosmetic companies upon request:

• Full ingredient disclosure, including ingredient names and chemical identity numbers (Chemical Abstract Service or CAS)
• Toxicity and safety data for each chemical ingredient
• Certificates of analysis for raw materials
• Heavy Metals and other Contaminant testing results 

Full Ingredient Disclosure

• Suppliers of fragrance or flavor or preservative systems or other ingredient formulations to provide full ingredient disclosure to brand owners.
• Formulating laboratories and contract manufacturers to provide full ingredient disclosure and contaminant reports for private label, finished cosmetic products sold to retailers and other cosmetic companies.

Certificates of Analysis & Contaminant Reports

• Suppliers of raw materials to provide certificates of analysis and contaminant testing reports for the raw materials they sell to cosmetic companies. Examples include talc, which can be contaminated with cancer-causing asbestos; colorants and mica, which can be contaminated with brain-damaging lead and other heavy metals; petrolatum, which can be contaminated with cancer-causing PAHs (polycyclic aromatic hydrocarbons). The bill also requires suppliers to identify the analytical testing method and detection limits.

Toxicity & Safety Data

• Suppliers of cosmetic ingredients and finished cosmetic products to test for contaminants that the supplier suspects might be present. Suppliers must provide toxicity and safety data to cosmetic companies when selling the ingredient or finished product. 

Penalties

• Levies penalties on suppliers who do not provide the required data and information to brand owners who request it within 90 days. 

Contact

Tasi Hogan, Beautycounter, Tasi.Hogan@beautycounter.com

Janet Nudelman, Breast Cancer Prevention Partners, Janet@BCPP.org

David Levine, American Sustainable Business Network, dlevine@asbnetwork.org

Mark Rossi, Clean Production Action, Mark@cleanproductionaction.org

Martin Wolf, Seventh Generation, Martin.Wolf@seventhgeneration.com