California Governor Signs Bill Banning Certain Chemicals in Cosmetics

On 30 September 2020 California Governor Gavin Newsom signed Bill AB-2762 banning the use of 24 different chemicals in cosmetics in California by 2025.

Verisk 3E Review    
The bill passed the California Senate on 28 August 2020 and the California Assembly on 30 August 2020. The legislation officially bans the use of 24 chemicals commonly used in cosmetics that California has deemed toxic. Beginning on 1 January 2025, cosmetic products containing any of the following substances will not be allowed for sale in California and businesses will not be able to manufacture, hold, deliver or offer to sell cosmetics containing any of these chemicals:

1. Dibutyl phthalate (CAS RN 84-74-2)
2. Diethylhexyl phthalate (CAS RN 117-81-7)
3. Formaldehyde (CAS RN 50-00-0)
4. Paraformaldehyde (CAS RN 30525-89-4)
5. Methylene glycol (CAS RN 463-57-0)
6. Quaternium-15 (CAS RN 51229-78-8)
7. Mercury (CAS RN 7439-97-6)
8. Isobutylparaben (CAS RN 4247-02-3)
9. Isopropylparaben (CAS RN 4191-73-5)
10. m-Phenylenediamine and its salts (CAS RN 108-45-2)
11. o-Phenylenediamine and its salts (CAS RN 95-54-5)
12. Perfluorooctane sulfonate (PFOS); heptadecafluorooctane-1-sulfonic acid (CAS RN 1763-23-1)
13. Potassium perfluorooctanesulfonate; potassium heptadecafluorooctane-1-sulfonate (CAS RN 2795-39-3)
14. Diethanolamine perfluorooctane sulfonate (CAS RN 70225-14-8)
15. Ammonium perfluorooctane sulfonate; ammonium heptadecafluorooctanesulfonate (CAS RN 29081-56-9)
16. Lithium perfluorooctane sulfonate; lithium heptadecafluorooctanesulfonate (CAS RN 29457-72-5)
17. Perfluorooctanoic acid (PFOA)(CAS RN 335-67-1)
18. Ammonium pentadecafluorooctanoate (CAS RN 3825-26-1)
19. Nonadecafluorodecanoic acid (CAS RN 355-76-2)
20. Ammonium nonadecafluorodecanoate (CAS RN 3108-42-7)
21. Sodium nonadecafluorodecanoate (CAS RN 3830-45-3)
22. Perfluorononanoic acid (PFNA) (CAS RN 375-95-1)
23. Sodium heptadecafluorononanoate (CAS RN 21049-39-8)
24. Ammonium perfluorononanoate (CAS RN 4149-60-4)

The regulations are clear that if a cosmetic product does contain an unavoidable trace quantity of one of these chemicals it may still be permitted for use in California. However, those trace quantities can only come from impurities, the manufacturing process or the storage and transport of the cosmetic product, rather than intentional small quantities of the chemical in the product.

Verisk 3E Analysis
This legislation could have wide-ranging effects on the cosmetics industry. California generally represents not only one of the larger consumers but also one of the most regulation-heavy states. Regulations in California can dictate how a company formulates products completely, as a ban on not only the sale but also manufacturing and holding of these chemicals can cause massive shifts in how businesses may utilize or not utilize these chemicals in cosmetics in the future.