Brominated vegetable oil, or BVO, is found in Coca-Cola fruit and sports drinks such as Fanta and Powerade.
Rival Pepsi removed the chemical from its Gatorade sports drink last year.
In Japan and the European Union, the use of BVO as a food additive is not allowed.
In the same vein, Pepsi has a plan to remove the ingredient from its entire product portfolio.
BVO has been used as a stabiliser in fruit-flavoured drinks as it helps to prevent ingredients from separating.
According to medical researchers at the Mayo Clinic, excessive consumption of soft drinks containing BVO has been linked to negative health effects, including reports of memory loss and skin and nerve problems.