By Mike Esterl 

PepsiCo Inc. said Friday it will remove aspartame from Diet Pepsi in the U.S. and replace it with sucralose, another artificial sweetener, in a bid to reverse plunging sales.

The beverage company said it is making the move in response to consumer surveys showing the presence of aspartame to be the No. 1 reason that Americans are scaling back on diet colas.

U.S. consumers are backing away from artificial sweeteners amid health concerns, even though the Food and Drug Administration say such sweeteners are completely safe. Aspartame has proved particularly unpopular with consumers of late.

PepsiCo said it continues to stand behind the safety of aspartame and will keep using it outside the U.S. But it said it would start shipping Diet Pepsi without aspartame to U.S. stores in August.

Diet Pepsi sales fell 5.2% by volume in the U.S. last year, according to industry tracker Beverage Digest.

Coca-Cola Co.'s U.S. diet soda sales also have fallen sharply the last two years. U.S. volumes of Diet Coke, the country's leading diet soda by sales, fell 6.6% last year, according to Beverage Digest.

Coke Chief Executive Muhtar Kent didn't say in an interview with CNBC on Friday morning whether the company would also consider removing aspartame from Diet Coke.

"I'm not here to defend aspartame," Mr. Kent said during the interview, when asked about PepsiCo's move.

But he added that the European Food Safety Authority recently came out with a report saying aspartame is one of the most "researched ingredients in the world and safe."

Tripp Mickle contributed

Write to Mike Esterl at mike.esterl@wsj.com

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