BUTTER-C
Signature ingredients
Tea tree oil shampoo OEM/ODM manufacturing
Tea Tree Oil Shampoo · OEM/ODM
Tea tree (Melaleuca alternifolia) is native to Australia; Aboriginal people have traditionally used its leaves, and the oil steam-distilled from the leaves (INCI: Melaleuca Alternifolia Leaf Oil) is now familiar in products for oily skin and flaky scalps. For shampoo there is one notable trial: a shampoo containing 5% tea tree oil, used daily for 4 weeks by 126 people with mild to moderate dandruff, improved the quadrant-area-severity dandruff score by 41% versus 11% with placebo (Satchell et al., 2002). That is a single study at 5% — far more than the amount usually added for a story; at low levels tea tree is a scent and a herbal story. The other side to manage is allergy: when the oil oxidizes on exposure to light, air and heat, its sensitizing potential rises. A tea tree shampoo therefore turns on three decisions: what level of tea tree to use and which claims go with it, how to keep the oil from oxidizing from warehouse to consumer, and whether to add an anti-dandruff active listed in the ASEAN annexes. Butter-C offers turnkey OEM/ODM manufacturing, from formula development and testing to labeled finished goods and the notification dossier.
Formula base
Tea tree oil, cleansing system, solubilizer and conditioners
A tea tree shampoo is a cleansing shampoo carrying an essential oil; what is specific is the quality of the oil, how it is brought into a water base and how it is kept from oxidizing.
Tea tree oil: read the material correctly
A natural mixture of many volatile compounds, mainly terpinen-4-ol, γ-terpinene, 1,8-cineole and α-terpinene (de Groot and Schmidt, 2016); proportions vary with source and distillation. The material in Butter-C's current ingredient list carries the name with its common name, “Melaleuca Alternifolia (Tea Tree) Leaf Oil”; the label uses the INCI Melaleuca Alternifolia Leaf Oil. Each lot's certificate of analysis should include gas chromatography of the main components and the peroxide value.
Cleansing system
Sodium laureth sulfate with cocamidopropyl betaine for an oil-removing, cost-effective line; sodium lauroyl sarcosinate and decyl glucoside for a sulfate-free line (mildness tested on the finished product). Cleansing the scalp is the job of the surfactant system; the essential oil cannot replace it.
Solubilizing the oil
The oil dissolves in oil, not in water. At low levels the shampoo's surfactant system usually holds it; higher levels need an added solubilizer such as PEG-40 hydrogenated castor oil or polysorbate 20 to keep the shampoo clear and unseparated (formulation experience). The oil and solubilizer change viscosity, so the salt curve is redone once the oil level is fixed.
Conditioners and antioxidants
Polyquaternium-10, guar hydroxypropyltrimonium chloride and panthenol keep hair soft with frequent washing. Tocopherol or BHT mixed into the oil, with disodium EDTA in the base, helps limit oxidation (factory practice; CIR recommends minimizing oxidation of the oil in the final product but does not specify methods).
Key technical points
Use level, oxidation, contact time and regulation
These four points are where a tea tree shampoo differs from an ordinary herbal shampoo.
A 5% shampoo and a “story-level” shampoo are different products
Human data for tea tree shampoo come from one randomized, single-blind, parallel-group trial in 126 people aged 14 and over with mild to moderate dandruff, conducted by authors from the dermatology department of an Australian hospital: a 5% shampoo used daily for 4 weeks improved the quadrant-area-severity score by 41% versus 11% with placebo; self-assessed itchiness and greasiness improved significantly, while self-assessed scaliness improved without reaching statistical significance; no adverse effects were reported (Satchell et al., 2002). One study, one formula, 4 weeks — limited evidence. A shampoo with far less oil does not inherit this result.
Oxidation raises allergy risk
Oil left in light, air and warmth saw its peroxide value rise from under 50 to over 500 ppm in 4 days, forming peroxides, epoxides and endoperoxides such as ascaridole; in guinea pigs, oxidized oil was three times as sensitizing as freshly distilled oil (Hausen et al., 1999). In routine patch testing, positive reactions to tea tree oil range from 0.1% to 3.5% depending on the study (de Groot and Schmidt, 2016). In practice: buy lots with a low peroxide value, split and close tightly after opening, add the oil in the cool-down phase, use light-protective packaging and minimize headspace in the bottle.
Rinse-off use
A shampoo stays on the scalp for only a few minutes before rinsing. The 5% trial result is tied to its use pattern (daily washing, 4 weeks); any reference to dandruff means the label directions and the human test must follow the actual use of the product.
Regulation and safety file
Tea tree oil is not named in ASEAN Annexes II, III or VI (June 2026 version): there is no specific percentage limit, but it is also not an anti-dandruff active with an annex entry like piroctone olamine or climbazole, and it does not count as a preservative (Annex VI preamble). Two points still depend on the certificate of analysis: methyleugenol (if present in the oil) — Annex II Ref 451 prohibits methyleugenol except for its normal content in natural essences, at no more than 0.001% in rinse-off products; and fragrance allergens when selling into the EU. CIR concluded that tea tree–derived ingredients are safe when formulated to be non-sensitizing, and flagged cumulative exposure when several botanicals are combined (Fiume et al., 2026).
Three formulation directions
Three tea tree shampoo lines
Everyday tea tree shampoo
Low-level oil for a herbal scent, a sulfate–betaine base, cationic polymer; claims stop at cleansing hair and scalp and fragrance — suited to mass-market channels.
5% tea tree shampoo
Follows the level of the Satchell trial: needs a strong solubilizer system, a dedicated safety assessment for sensitization and eye irritation, and a human test on people with dandruff using the actual formula if dandruff is to be mentioned. The tea tree smell is very strong and the material cost high (formulation experience).
Tea tree plus piroctone olamine
An anti-dandruff active listed in the ASEAN annexes carries the “cleanses dandruff” claim, while low-level tea tree provides scent and story — a sensible route when a brand wants both herbal and anti-dandruff. See the piroctone olamine shampoo page.
Packaging is chosen together with the formula
Dark or opaque plastic bottles, lockable pumps, tight closures. Essential oils can affect some plastics, so compatibility is tested in the actual bottle before sign-off (formulation experience).
Parameters we monitor
What our R&D lab measures on every sample
These are the parameters Butter-C monitors during formula development and scale-up to production. Specific limits are agreed with you on the approved sample and then written into the product's in-house specification.
- Certificate of analysis for incoming oil
- Gas chromatography of main components, peroxide value, methyleugenol per supplier data — for each lot; opened lots are rechecked for peroxide over time.
- Appearance, odor and clarity
- Compared with the reference sample; watch for a stale, harsh odor (a sign of oxidation), haze and separation at 40°C, room temperature and under light.
- pH
- Measured at 25°C; kept within the range set for the preservative system and scalp mildness.
- Viscosity
- Rotational viscometer at 25°C; the oil and solubilizer shift the salt curve, so thickness is adjusted last.
- Foaming
- Foam height and stability, also assessed with oil on the hair.
- Eye and scalp irritation
- Assessed by methods proposed by the testing laboratory; the 5% version needs its own data.
- Microbiology and preservative challenge
- Tested at a GLP / ISO 17025-accredited laboratory; preservative efficacy test to ISO 11930 — the essential oil does not replace the preservative system.
- Human assessment (if dandruff is mentioned)
- Quadrant-based dandruff scoring before and after, with a control group, at an independent testing unit.
- Packaging compatibility
- Filled into the actual bottle; watch for deformation, leakage and odor change.
Claims
Claims for a shampoo with tea tree oil
A shampoo is a rinse-off product; its benefits lie in cleansing hair and scalp and how washing feels. The literature describes antimicrobial activity for tea tree oil, but that is not a cosmetic benefit that may be claimed. Butter-C reviews label and marketing wording when preparing the notification dossier.
Cleanses hair and scalp, with a herbal tea tree scent
Instead of: claims of action on bacteria or fungi on the scalp.
Helps reduce dandruff — only when the formula is equivalent to the 5% shampoo and has been tested on people with the finished product
Instead of: drug-like dandruff claims, “permanently removes dandruff”, dandruff claims for a low-level tea tree shampoo.
Cleanses dandruff — when the formula contains an anti-dandruff active listed in the ASEAN annexes
Instead of: “dandruff-free thanks to tea tree” when the effect comes from piroctone olamine or climbazole.
Helps clear excess oil from the scalp, with a fresh feel
Instead of: controls sebum, claims about scalp inflammation.
Contains tea tree oil (Melaleuca Alternifolia Leaf Oil)
Instead of: “natural so it's safe”, “hypoallergenic”, helps reduce acne on the scalp.
Label directions
Avoid contact with eyes; patch-test a small area if you have reacted to cosmetics or essential oils; stop use if redness or itching occurs; close tightly and keep away from light. A red scalp, thick scaling or patchy hair loss needs a dermatologist. Instead of: directions to apply neat essential oil to the scalp.
Manufacturing specifications
Current capabilities
- Format
- Clear or opaque shampoo, with or without a cooling feel.
- Tea tree material
- Tea tree oil is in Butter-C's current ingredient list; certificate of analysis for each lot, label per INCI.
- Pack formats
- Pump bottles, flip-cap bottles, trial sachets. Volume is agreed when packaging is selected.
- Minimum order quantity
- Agreed per order.
- Testing
- Tested at a GLP / ISO 17025-accredited laboratory, with a certificate of analysis delivered with each batch.
- Documentation
- Product Information File (PIF) and cosmetic product notification prepared by Butter-C, with the oil's certificate of analysis and the formula's safety assessment.
- Packaging
- Label design, printing and packing run in parallel with formulation.
Suggested product concept
Tea tree–peppermint shampoo for oily scalps
A product concept to help you picture the possibilities, not a ready-made product for sale. The actual formula is developed around your brand's positioning and price range.
Tea tree oil as the named ingredient
A low level for a clear herbal scent, added in the cool-down phase with the solubilizer and tocopherol; the oil lot's peroxide value is on the certificate of analysis.
Oil-removing base
Sodium laureth sulfate, cocamidopropyl betaine; polyquaternium-10 keeps hair soft with daily washing.
Peppermint cooling
Menthol at a moderate level for a cool feel; menthol together with the oil raises the risk of eye sting — eye irritation is tested on the finished product.
400 ml brown bottle
Brown plastic bottle with a lockable pump; the label carries avoid-eye-contact and keep-closed directions.
Customization options
What you can specify
Within the same product type, each brand targets a different customer group. Tell us your requirements in the areas below, and our team of pharmacists will develop a matching formula.
Tea tree level
Story level or 5% with human testing — decided at the start because it sets the claims, cost and safety file.
Anti-dandruff active
None, piroctone olamine or climbazole — chosen by sales market.
Cleansing base
With or without sulfates.
Feel
Peppermint cooling or neutral.
Added essential oils
Rosemary, peppermint, pomelo peel — each added oil adds sensitizing components, so keep the number small.
Product set
Shampoo and conditioner in the same tea tree scent line.
Further reading
Related topics
Tea tree oil in cosmetics
Composition, evidence, studied concentrations and the allergy risk of oxidized oil (in Vietnamese).
Anti-dandruff shampoo manufacturing
The general page on anti-dandruff actives; this page focuses on tea tree oil.
Piroctone olamine shampoo manufacturing
When the “cleanses dandruff” claim should rest on an active listed in the ASEAN annexes.
Dandruff and oily scalp
Why the scalp flakes, what shampoo can do and when to see a dermatologist (in Vietnamese).
Herbal shampoo manufacturing
Everyday herbal shampoos without an anti-dandruff active.
How we work
From idea to finished batch
Eight steps and three milestones signed off by both sides: approved sample, notification number, finished batch. Step-by-step details (in Vietnamese) →
Get started
Tell us about the product you plan to launch
Send us your product direction and expected volume. Our team will get back to you during business hours (Vietnam time, GMT+7).
Head office: Huu Le village, Dai Thanh commune, Hanoi · Factory: Thanh Oai Industrial Cluster, Binh Minh commune, Hanoi, Vietnam
Hotline +84 967 176 511 · [email protected] · Privacy policy ← Full catalog