Danone is closing a New Jersey factory that produced Silk and So Delicious products, laying off 114 workers. The move confirms what shelf data has been hinting at: Danone plant-based milk is losing ground in North America. Fast.
TLDR
- Danone is shutting its New Jersey plant-based dairy facility.
- 114 employees face layoffs tied to the closure.
- Silk and So Delicious brands are both affected.
- North American alt-dairy struggles contrast with European strength.
- The closure signals broader pressure on non-dairy category leaders.
Danone confirmed the shutdown of its New Jersey manufacturing facility, which produced products for its Silk and So Delicious brands. The closure results in 114 layoffs, according to reporting by Green Queen.
Significant.
Danone Plant-Based Milk Stumbles in North America
The French food giant dominates alternative dairy in Europe. However, its North American non-dairy portfolio has been underperforming. The New Jersey closure is a direct consequence of that slowdown.
Silk and So Delicious are two of the most recognized plant-based dairy brands in the U.S. Both losing a dedicated production facility is not a minor operational tweak. It is a structural retreat.
The plant-based dairy category has faced real headwinds across North America. Inflation-weary consumers have traded down, and private-label alternatives have gained shelf space. Category leaders are absorbing the pressure.
What This Means for Operators and Suppliers
Retailers and foodservice buyers who carry Silk or So Delicious should expect supply chain adjustments. Production consolidation often precedes SKU rationalization. Watch this.
For suppliers, the closure signals that even well-capitalized incumbents are restructuring around weaker-performing geographies. Danone’s European strength has not insulated its North American operations. The two markets are moving at different speeds.
Leaner brands with tighter regional focus have shown more resilience in this environment. thefutureoffood.org has tracked that dynamic across multiple plant-based categories. The companies scaling thoughtfully are outperforming those managing legacy volume.
Source: Green Queen. https://www.greenqueen.com.hk/danone-new-jersey-factory-layoffs-plant-based-milk-silk-so-delicious/