Vegan Chili Cheese Sauce – Dairy-Free, Oil-Free, and Gluten-Free! Who doesn’t love a good chili cheese sauce! Chili cheese sauce can be used as a dip for chips or veggies. You can slather it on nachos or baked potatoes. It can even be used as a topping for chili (yep, I have a great one!) The best news? This one is vegan!
Ingredients needed for vegan chili cheese sauce:
This looks like a long list of ingredients. And it is? But trust me, the results will be worth it. You’ll have people asking you, “Is this vegan”? Not only is it vegan, but this chili cheese sauce is considered whole-food plant-based. Tell me, is there anything in these ingredients that is really “bad” for you? To make this recipe you will need:
- gold potatoes
- carrots
- orange bell pepper
- garlic
- onion
- raw cashews
- taco seasoning
- nutritional yeast
- white miso paste
- apple cider vinegar
- other seasonings
- optional add-ins (that are so worth it) such as hot sauce, and chili beans, canned green chilies or jalapenos.
- This Vegan Chili Cheese Sauce is made using the Instant Pot or other pressure cooker and a high-speed blender. You can make it on the stovetop too – I’ve included the directions for making it on the stovetop below. Both recipes take about the same amount of time from start to finish – but honestly, I like the end results when made in a pressure cooker better. The flavors just blend better.
For some other great vegan recipes cooked in the Instant Pot, try my:
Tips and tricks to make the Chili Cheese Sauce:
- The directions call for “rough-cutting” your vegetables. This is because it’s not necessary to cut them smaller as they will be blended after they are cooked. Just make sure they are somewhat uniform and small enough to manage. I wash but don’t peel my carrot or potatoes. Again, it isn’t necessary.

- When everything is cut, put in a pressure cooker (or stove-top pot) along with the garlic, raw cashews and 1 1/4 cups of water.
- Set your pressure cooker on high for five minutes (see directions below for the stovetop version). This is the “old” Instant Pot Pressure Cooker I’ve used and loved. It seems like every year they come up with fancier features too! The 6 quart version (affiliate link) works best for my family.
After the five minutes is up, do a quick release. I use a measuring cup to move the release button to protect myself from the steam.
- Put everything, including the water from the pot and the other ingredients in the blender and whirl for a few minutes until everything is smooth.
- Pour into a medium-sized bowl and add the chili beans and hot sauce to taste. You don’t want to drain your chili beans because the sauce will add to the flavor.
- If you like things a little spicier you can add diced jalapeños or green chiles.
Serve with vegetables or chips. If you want to get fancy and make nachos. I have a great nacho plate I put together as well as a potato nacho dish.
To go all out plant-based, my favorite way to serve this Vegan Chili Cheese Sauce is with a scrumptious plate of vegetables!
This Vegan Chili Cheese Sauce is as good as it looks! Enjoy!
Directions for making the chili cheese sauce on the stovetop:
- Chop all vegetables and measure out raw cashews.
- Add to a large-sized sauce pan and cover with water.
- Cook on high until boiling and then turn down to medium.
- Cove and continue gently boiling for about 10 minutes or until the potatoes are fork-tender.
- Reserve out 1 1/4 cups cooking water.
- Using a colander drain out the rest of the water from the vegetables/cashews.
- Add the drained vegetables/cashews along with the reserved 1 1/4 cups water to a high-speed blender along with the rest of the seasonings and continue to follow the directions given in the original (Instant Pot) recipe.
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Vegan Chili Cheese Sauce (Instant Pot)
Ingredients
In the Instant Pot (or saucepan for stovetop)
- 1/2 orange bell pepper seeded and roughly chopped
- 1/2 yellow onion, medium roughly chopped
- 1 carrot, large roughly chopped - no need to peel
- 4 yukon gold potatoes, medium roughly chopped - no need to peel
- 1 clove garlic no need to chop
- 1/2 cup raw cashews
- 1¼ cup water
In the blender
- 1/2 cup nutritional yeast This is different than baker's or brewer's yeast
- 1 Tablespoon Mexican/taco seasoning
- 1/2 teaspoon turmeric powder
- 1/2 teaspoon garlic powder
- 1/2 teaspoon paprika
- 1/2 teaspoon dry mustard
- 1 teaspoon salt
- 1/4 teaspoon ground black pepper
- 1/8 teaspoon cayenne pepper
- 1 Tablespoon apple cider vinegar
- 2 Tablespoons white miso paste
Added after and optional - but tasty
- 1 15.5 ounce can black chili beans (in sauce) un-drained
- 1 Tablespoon Hot Sauce to taste
- 1 4 ounce can green chilis optional
Instructions
- Wash and rough-cut all vegetables. No need to chop garlic clove.
- Add all vegetables, cashews, and water to pressure cooker.
- Set pressure cooker to high for 5 minutes. After it comes to pressure it will cook for 5 minutes. When done do a quick release.
- Cool slightly and transfer entire contents, including liquid, from pot to blender.
- Add remaining ingredients except for chili beans and optional items (hot sauce, green chilis, and nacho cheese flavor).
- Blend on high speed until sauce is smooth. Only if necessary, add a little unsweetened plant milk to get the right consistency. (If you need it, you will not use more than 1 or 2 Tablespoons.)
- Pour into a large bowl. Don't drain chili beans. Stir in. Add other optional ingredients to your desired taste.
- Serve warm on Mexican dishes, baked potatoes, nachos, or chili. Use as a dip for chips or vegetables.
Notes
- Chop all vegetables and measure out raw cashews.
- Add to a large sized saucepan and cover with water.
- Cook on high until boiling and then turn down to medium.
- Cover and continue gently boiling for about 10 minutes or until the potatoes are fork-tender.
- Reserve out 1 1/4 cups cooking water.
- Using a colander drain out the rest of the water from the vegetables/cashews.
- Add the drained vegetables/cashews along with the reserved 1 1/4 cups water to a high-speed blender along with the rest of the seasonings and continue to follow the directions given in the original (Instant Pot) recipe.