U.S. Personal Care Products Industry Drives Nearly $500 Billion in Economic Output, Supports More Than 2.6 Million Jobs, New Report Finds

Beyond its essential role in the daily lives of consumers, the industry drives economic activity, fosters a diverse and highly skilled workforce, and champions innovation.

Washington, D.C., May 18, 2026 (GLOBE NEWSWIRE) -- The Personal Care Products Council (PCPC) today released its latest economic impact report, Beyond Beauty: Economic Impact of the U.S. Personal Care Products Industry, which highlights the industry’s substantial contributions to the U.S. economy, workforce, and innovation ecosystem.

The report shows that the personal care products industry, encompassing manufacturing, distribution, and services, generated $495.6 billion in total economic output, supported more than 2.6 million jobs, and contributed $242.4 billion to U.S. gross domestic product in 2024, the most recent year analyzed.

“The cosmetics and personal care products industry continues to be a vibrant sector in the economy. As detailed in the report, U.S. consumers are increasing their spending on cosmetics and personal care products, and the number of firms – particularly small businesses – in the industry is steadily expanding,” said Tom Myers, President and CEO of PCPC. “Our products are essential to the public’s health and wellbeing, and our industry is essential across the U.S. economy. With policies that support innovation, growth, and consumer trust, our industry’s future is bright.”

The data show the industry is thriving and continues to play a significant role in international trade and export growth, supporting U.S. competitiveness and domestic manufacturing. In 2025, exports reached $15.8 billion, underscoring the industry’s scale and its steady contribution to economic activity.

Highlights from the economic impact of the industry, including manufacturing, distribution, and services, show:

Economic Impact

Total Economic Output. Generated $495.6 billion in total economic output directly, through supply chains, and employee spending.

Top Export Markets. Canada, Mexico, and China accounted for 41.6% of total exports, with Canada and Mexico alone representing more than one-third of U.S. cosmetic exports.

Consumer Spending. Observed the highest spending increase, both in absolute dollar value and percentage terms, in the under-25 age group, challenging their previous position as the lowest spenders.

Job Creation

Employment. Contributed more than 2.6 million total jobs, with approximately 1.2 million directly employed in the manufacturing, services, and distribution sectors.

Labor Income. Generated $110.7 billion in labor income, with average annual earnings of $54,000 for a direct job.

Entrepreneurship & Innovation

Industry Composition. Supported an entrepreneurial spirit, with small businesses (defined as fewer than 500 employees) accounting for 95.5% of all firms in 2022. The total number of firms has steadily grown from 870 in 2004 to 1,146 in 2022.

Research and Development (R&D). Invested more than $1.3 billion in domestic R&D in 2023 to bring new and improved products to consumers.

Inclusive & Diverse Workforce

Workforce Diversity. Employed 56.2% women and 25.2% Hispanic or Latino individuals in 2024, exceeding the U.S. national averages.

STEM Careers. Supported science, technology, engineering, and math (STEM) careers, with 13.3% of the industry's workforce consisting of STEM professionals.

PCPC commissioned KPMG to conduct this economic impact assessment using the most recent government and industry data available. An executive summary and the full report are available on PCPC’s website.

About PCPC

Founded in 1894, the Personal Care Products Council (PCPC) is the leading national trade association representing the cosmetics and personal care products industry. PCPC is dedicated to promoting product safety, quality, and innovation, serving as a unifying voice that champions science-based standards and responsible practices to support health, well-being, and economic growth. PCPC’s global members are some of the beloved and trusted brands in beauty and personal care today, providing millions of consumers with the diverse products they rely on every day – from sunscreens, toothpaste, and shampoo to moisturizer, makeup, and fragrance.

About KPMG

KPMG LLP (KPMG) is an Audit, Tax, and Advisory firm and the independent U.S. member firm of KPMG International Limited (KPMG International). KPMG International’s independent member firms have more than 236,000 professionals, including more than 111,000 partners, in 144 countries.

Tesia Williams
Personal Care Products Council
(202) 297-1232
williamst@personalcarecouncil.org

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