Upregulation and/or maintenance of regulatory T cells (Tregs) during autoimmune insults may have therapeutic efficacy in autoimmune diseases. Earlier we have reported that sodium benzoate (NaB), a metabolite of cinnamon and a FDA-approved drug against urea cycle disorders, upregulates Tregs and protects mice from experimental allergic encephalomyelitis (EAE), an animal model of multiple sclerosis. However, mechanisms by which NaB increases Tregs are poorly understood. Because transforming growth factor beta (TGFβ) is an important inducer of Tregs, we examined the effect of NaB on the status of TGF-β. Here, we demonstrated that NaB induced the expression of TGFβ mRNA and protein in normal as well as proteolipid protein-primed splenocytes. Presence of a consensus STAT6-binding site in the promoter of TGFβ gene, activation of STAT6 in splenocytes by NaB, recruitment of STAT6 to the TGFβ promoter by NaB, and abrogation of NaB-induced expression of TGFβ in splenocytes by siRNA knockdown of STAT6 suggest that NaB induces the expression of TGFβ via activation of STAT6. Furthermore, we demonstrated that blocking of TGFβ by neutralizing antibodies abrogated NaB-mediated protection of Tregs and EAE. These studies identify a new function of NaB in upregulating TGFβ via activation of STAT6, which may be beneficial in MS patients.