PepsiCo Extends Beverage Partnership With Taco Bell
The long-standing agreement will continue to supply drinks at Taco Bell locations globally through 2036.
Updated on Oct. 23, 2026 in Beer
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PepsiCo announced a renewal of its beverage supply partnership with Taco Bell on October 22, 2026. This multi-year deal ensures the continued availability of core brands at locations in the United States, Canada, the United Kingdom, Ireland, and Thailand.
Why it matters
The companies aim to leverage this partnership to target Gen Z consumers by focusing on new beverage categories. The strategy includes development of energy and functional drinks tailored for morning and afternoon dayparts.
The renewed agreement spans 11 years, extending the partnership through 2036. It includes a core product lineup of Pepsi, Pepsi Zero Sugar, Mountain Dew, Starry, and exclusive offerings like Mountain Dew Baja Blast and Baja Midnight.
The players
PepsiCo
This global food and beverage corporation produces a diverse range of snack and drink products.
Taco Bell
This quick-service restaurant chain specializes in Mexican-inspired food items.
The details
The collaboration covers Taco Bell, Taco Bell Cantina, and Live Más Cafe restaurants. The firms plan to collaborate on new menu innovations, including upcoming flavors for Doritos Locos Tacos expected in 2027.
Timeline
October 22, 2026: PepsiCo announces the partnership renewal.
2027: Doritos Locos Tacos celebrates its 15th anniversary with new flavors.
2036: The renewed partnership agreement concludes.
Culture Shift
This deal aligns with the industry-wide push to capture Gen Z consumers through functional and energy-focused beverage innovation. It marks a departure from traditional soft drink reliance, prioritizing specific consumption occasions throughout the workday.
Customers can expect continued access to staple drinks and exclusive Mountain Dew variants at their neighborhood Taco Bell. The upcoming menu additions in 2027 will provide new variety for diners seeking specialized Doritos Locos Tacos options.
The takeaway
The multi-decade alliance between these two companies continues to shape the fast-food drink landscape. Consumers should look for increasingly specialized and functional beverage options as these firms evolve their product lineups over the next decade.
Further reading
Learn more about the latest trends in global beverage retail in the Beer section.
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