The EU Packaging and Packaging Waste Regulation: what businesses need to know

On 19 December 2024, the EU adopted the Packaging and Packaging Waste Regulation (PPWR) (Regulation (EU) 2025/40), marking a fundamental shift in how packaging is regulated across the Union. The new regulation introduces a comprehensive and applicable framework for packaging across all EU member states, replacing the current Packaging Directive (94/62/EC), and is intended to reduce the environmental impact of packaging while ensuring a harmonised internal market.

The scope of the PPWR is broad, applying to all packaging in the EU market, irrespective of the material used (e.g. plastic, paper, glass, metal, or composites), the sector or the origin (whether manufactured within the EU or imported). The regulation governs the entire packaging lifecycle – from initial design and production through to end-of-life waste management and recycling.

Core objectives and key requirements

The PPWR establishes an integrated regulatory framework centred on the following four core objectives: 

• improving the recyclability of packaging; 
• increasing the incorporation of recycled content; 
• reducing excessive or unnecessary packaging; and 
• promoting the reuse of packaging where feasible. 

These objectives translate into concrete legal obligations that will apply over the coming years, affecting all economic operators at every stage of the supply chain – from packaging manufacturers and suppliers, importers and distributors, to brand owners and fulfilment service providers.

In practical terms, compliance with the PPWR will require businesses to undertake a comprehensive review of their packaging strategies. This includes reassessing packaging design choices, evaluating the materials and suppliers used, updating labelling practices, and establishing robust documentation and compliance processes. While the regulation does not impose all requirements simultaneously, the phased implementation timeline demands careful planning to ensure timely compliance.

Despite the comprehensive nature of the PPWR, significant interpretive uncertainty remains regarding several key provisions. In particular, the precise scope of certain definitions (e.g. "producer", "manufacturer", "importer" and "distributor") and the allocation of obligations among different actors in the supply chain are not fully clarified. These ambiguities have practical implications: economic operators may face difficulty in determining whether they fall within the scope of specific requirements or which party in a distribution chain bears responsibility for compliance. Notably, Producer Responsibility Organisations from Belgium, France, Luxembourg and the Netherlands have already submitted formal requests to the European Commission seeking clarification on the interpretation of "manufacturer" and ''producer'' for transport packaging, service packaging and primary production packaging.

One key area of uncertainty concerns who qualifies as the "producer" for transport packaging. Under the PPWR, the ''producer'' bears significant obligations under the Extended Producer Responsibility (EPR) framework, including registration, reporting, and financial contributions to Producer Responsibility Organisations. Determining which entity is the ''producer'' can be challenging, however, when transport packaging passes through multiple parties, such as cardboard manufacturers, converters and users who assemble flat-pack boxes. The Commission's guidance document has not fully resolved these questions, particularly for the concept of the ''assembler'' and who is responsible when packaging crosses borders.

Implementation timeline: key compliance milestones

The PPWR entered into force on 11 February 2025 with most provisions going into force on 12 August 2026. Obligations are phased in over a multi-year period. Several requirements have immediate or near-term applicability. Since February 2025, reusable packaging must meet detailed criteria regarding design, durability and usability, ensuring that such packaging can be effectively cleaned, refilled and reused within a defined system.

From August 2026, stricter rules will govern substances present in packaging. Importantly, the use of per- and polyfluoroalkyl substances (PFAS), commonly known as "forever chemicals" due to their environmental persistence, will be restricted in food-contact packaging materials. Manufacturers will be required to prepare and maintain technical documentation demonstrating compliance with the applicable substance restrictions.

From August 2027, economic operators who qualify as "producers" under the regulation – a category that extends beyond manufacturers to include importers and, in certain cases, distributors and fulfilment service providers – will be required to register in national producer responsibility registers in each EU member state where they place packaging on the market. This registration obligation forms a cornerstone of the Extended Producer Responsibility (EPR) framework embedded in the PPWR.

From 2028, several more detailed technical and labelling requirements will be introduced. By January 2028, the European Commission is expected to adopt delegated acts setting out design for recycling criteria and recyclability performance classes, which will be key for assessing whether packaging complies with future market access requirements.

In addition, certain packaging types, such as stickers on fruit and vegetables, will need to meet industrial composability standards from early 2028.

Also from 2028, the PPWR will introduce restrictions on certain packaging formats. Article 67 of the PPWR amends Part B of the Annex to the Single-Use Plastics Directive (EU) 2019/904 to expand the prohibition on expanded and extruded polystyrene (EPS/XPS) food containers, beverage containers, and cups, and to add new prohibited items including shrink wrap for luggage at airports and train stations, polystyrene chips used for protective packaging and multi-pack plastic rings used as grouped packaging. These amendments to the SUP Directive go into force beginning 12 February 2029. Separately, Article 25 of the PPWR prohibits economic operators from placing on the market packaging in the formats listed in Annex V from 1 January 2030.

From August 2028, harmonised EU-wide labelling requirements will enter into force. All packaging must have labels that enable consumers to identify the material composition and correctly sort packaging for disposal or recycling. These labels must comply with standardised formats and symbols to be established by implementing acts, thus ensuring consistent consumer communication across all EU member states.

The year 2030 marks a significant inflection point under the PPWR. From this date, the following will occur: 

• all packaging placed on the EU market must be recyclable, meaning it must be designed for recycling and collected separately at scale; 
• minimum recycled content thresholds will apply to plastic packaging with targets varying by packaging type: 30% for PET contact-sensitive packaging (except single-use beverage bottles), 10% for other contact-sensitive plastic packaging, 30% for single-use plastic beverage bottles, and 35% for other plastic packaging; and 
• packaging must be designed to minimise weight and volume relative to its functional purpose – a requirement intended to combat over-packaging.

These standards will be tightened further over the coming years. From 2035, packaging must not only be recyclable but must be "recyclable at scale" – a more stringent standard requiring demonstrated recycling capacity and infrastructure. From 2040, recycled content requirements for plastic packaging will increase further with targets rising to 50% for PET contact-sensitive packaging, 25% for other contact-sensitive plastics, 65% for single-use beverage bottles and 65% for other plastic packaging.

Strategic and operational implications for businesses

Because the PPWR carries far-reaching implications for how businesses design, source, produce and manage packaging throughout its lifecycle, companies may need to do the following: 

• redesign packaging formats to meet recyclability and minimisation requirements; 
• reformulate packaging materials to incorporate mandatory recycled content; 
• review and potentially renegotiate supplier contracts to ensure access to compliant materials; 
• implement new systems for tracking and documenting material composition, recycled content and substance compliance; and 
• adapt logistics and reverse-logistics processes where reuse systems are deployed.

In addition to these operational changes, the PPWR introduces substantial administrative obligations. These include mandatory registration in national producer registers, periodic reporting on packaging volumes and waste management outcomes and adherence to standardised labelling requirements. 

Importantly, non-compliance carries significant commercial consequences. Economic operators failing to meet the requirements may be prohibited from placing packaging or packaged products on the EU market and may face enforcement action by national competent authorities.

The PPWR requires member states in the EU to establish effective, proportionate and dissuasive penalties for infringements of the regulation. The specific sanctions will be determined at the national level. Each member state must have these in place by 12 February 2027. The regulation explicitly requires that penalties for failure to comply with packaging restrictions (e.g. excessive packaging rules, format restrictions and reuse requirements) must include administrative fines. The regulation provides that penalties must reflect the gravity of the infringement, the economic benefits derived from non-compliance and any harm caused to the environment or public health. Potential sanctions may include administrative fines, orders to withdraw non-compliant packaging from the market and – in cases of serious or repeated violation – prohibition from placing products on the EU market for a defined period.

Conclusion

The PPWR represents a paradigm shift in EU packaging law, moving from a framework of minimum harmonisation under a directive to a comprehensive, directly applicable regulatory regime. For businesses, this transition demands proactive engagement: early assessment of the regulation’s impact, strategic planning for phased compliance and ongoing monitoring of the implementing measures and technical standards as they are adopted.

Given the remaining uncertainties (particularly around the definitions of ''producer'' and ''manufacturer'' for different packaging categories) businesses should monitor forthcoming guidance documents and implementing acts from the European Commission. Businesses are also advised to contact industry associations and Producer Responsibility Organisations, which can provide sector-specific assistance as it becomes available.

For more information on how the PPWR applies to your organisation's specific circumstances or for assistance in developing a compliance strategy, contact your CMS client partner or the CMS experts who contributed to this article.