EU Packaging and Packaging Waste Regulation (PPWR 2025) Begins Implementation

On December 16, EU member states in the European Council announced that they had adopted a set of new rules aimed at significantly reducing packaging waste in the EU. This includes a target requiring all packaging placed on the market to be recyclable by 2030. After the Council's adoption of these new rules, the regulation will now be published in the EU's Official Journal and will come into effect 18 months after publication.

Original News:

EU Adopts New Rules Requiring 100% Recyclable Packaging by 2030

EU member states in the European Council announced today that they have adopted a series of new rules aimed at significantly reducing packaging waste in the EU, including a goal requiring all packaging placed on the market to be recyclable by 2030.

Following the adoption of the new rules by the Council, the regulation will now be published in the EU's Official Journal, and will apply 18 months after publication.

Background and Process

The EU passed the Packaging and Packaging Waste Directive as early as 1994, but it failed to effectively curb the negative environmental impact of packaging. In November 2022, the European Commission proposed a new packaging waste regulation draft, which was officially passed by the European Parliament in November 2023, and by the European Council in December 2024, completing the final step of the ordinary legislative process.

Key Provisions

• Clear Recycling Targets: The regulation stipulates that each type of packaging must contain a certain percentage of recycled content. For example, by 2040, the recycled content in single-use plastic bottles must reach 65%.

• Reduction in Packaging Weight and Volume: The regulation requires a reduction in the overall amount of packaging materials placed on the market. A 5% reduction is required by 2030, 10% by 2035, and 15% by 2040. For plastic packaging, reductions of 10% by 2030, 15% by 2035, and 20% by 2040 are targeted. Starting in 2030, the use of certain single-use plastic packaging, such as for unprocessed fruits and vegetables, hotel toiletries, and airport luggage wrap, will be banned. It also mandates that packaging should avoid unnecessary use and excessive packaging, such as the weight and volume of logistics packaging, which should not exceed the minimum required for practical needs. By 2030, gaps within logistics packaging must not exceed 50% of the total volume.

• Restrictions on Harmful Substances: Particularly for food contact packaging, products containing excessive levels of perfluoroalkyl and polyfluoroalkyl substances (PFAS) will be restricted to prevent adverse health effects.

• Labeling and Information Requirements: Packaging must specify the material composition and recycling content, helping consumers properly sort and make informed choices.

• Restrictions on Single-Use Plastic Packaging: Single-use plastic packaging for pre-packaged fruits and vegetables under 1.5 kg, food and drink for immediate consumption in places such as hotels, and other types will be restricted. Final distributors of drinks and takeaway food must offer consumers the option to bring their own containers. By 2030, they must also aim to provide 10% of products in reusable packaging formats.

• Reuse Targets: By 2030, specific reuse targets will be set for packaging of alcoholic and non-alcoholic beverages (excluding milk, wine, and spirits), transport and sales packaging, and composite packaging. EU member states may apply for a five-year exemption under certain conditions. Mandatory reuse targets are set for 2030, with guidance provided for the 2040 targets, such as a 40% mandatory reuse rate for transport and sales packaging.

Recyclable Packaging and Waste Management

• Recyclable Material Requirements: All packaging must be made from recyclable and environmentally friendly materials, with high recycling efficiency. The regulation sets a target for the use of recycled plastic in packaging by 2030. For food contact packaging made from polyethylene terephthalate (PET), recycled plastic should account for 30% (except for single-use beverage bottles). For food-contact plastic packaging made from non-PET plastics, recycled plastic should account for 7.5%.

• Waste Collection and Recycling: By 2029, 90% of single-use plastic and metal beverage containers (up to 3 liters) must be separately collected, with deposit return systems or other mechanisms to ensure collection targets are met.

Impacts and Responses

• Impact on Businesses: The new regulation will increase logistics costs, particularly for cross-border e-commerce businesses, which will need to adjust their packaging processes, select materials with restrictions, and may face fines. Businesses will need to introduce customized packaging equipment or switch to eco-friendly materials, optimize packaging design, and strengthen supply chain management.

• Impact on Industry: The regulation will drive the packaging industry towards a circular economy, encouraging the development and promotion of reusable packaging products. Recycled plastic packaging, bioplastics, and other recyclable and circular packaging materials will be mainstream in the future.

• Environmental Significance: The implementation of the regulation will help reduce packaging waste, lower plastic waste, promote the development of a circular economy, protect the environment, and is expected to reduce waste levels by 18 million tons compared to 2019, reduce CO2 emissions by 23 million tons, and decrease environmental externalities by 6.4 billion euros.

Impact on Various Sectors

• Food Industry

  • Increased Packaging Costs: The need to use packaging materials that meet strict standards, such as recyclable and non-harmful materials, will increase material costs. The investment and management costs for reusable packaging will also be higher.

  • Operational Adjustments: A packaging recycling system will need to be established, with additional recycling channels and facilities. For takeaway services, reusable packaging must be provided, changing service models, such as offering discounts to customers who bring their own containers.

• E-commerce Industry

  • Increased Logistics Costs: To meet packaging weight and volume minimization requirements, packaging may need to be redesigned, customized packaging equipment may need to be invested in, or eco-friendly materials may need to be adopted, raising packaging costs. The restriction on packaging gaps may increase transportation frequency, driving up logistics costs.

  • Increased Supply Chain Management Complexity: Ensuring compliance with packaging regulations across all stages of the supply chain will require coordination with suppliers, extended supply chain adjustments, and increased communication costs.

• Packaging Manufacturing Industry

  • Pressure for Technological Innovation: Companies will need to develop and produce recyclable, reusable, and recycled-content packaging materials and products, such as high-performance recycled plastics and biodegradable materials. Production processes will need to be improved to enhance environmental friendliness and efficiency.

  • Intensified Market Competition: The new regulation will drive the packaging industry towards a green and sustainable transformation, and companies must improve their technological capabilities and product quality to meet market demand. This will accelerate industry consolidation, with a focus on competition and innovation.

• Retail Industry

  • Limited Packaging Choices: When selecting packaging for products, retailers will have to prioritize packaging that meets environmental standards, reducing the range of available options and presenting challenges for product display and protection.

  • Increased Consumer Communication: Retailers will need to explain the characteristics and benefits of new packaging to consumers, guiding them on how to properly dispose of packaging waste, which increases communication costs and complexity.

• Hotel and Catering Industry

  • Restrictions on Single-Use Packaging: Restrictions on single-use plastic packaging will require alternative solutions, such as biodegradable or reusable packaging materials, raising procurement costs and management challenges.

  • Service Process Changes: Service processes will need to be adjusted, such as providing cleaning and sanitizing services for reusable utensils and containers, imposing higher operational management requirements.