Plastic pollution stands as one of the most pressing challenges of our time, affecting ecosystems, economies, and communities worldwide. As awareness of the environmental and health impacts of plastic grows, the legal landscape surrounding plastic production, use, and disposal continues to evolve at a rapid pace. For businesses in all sectors, staying ahead of these regulatory changes can be daunting but essential.

In the first article of this series, we analysed the global plastic crisis, identifying the major polluters and industries driving plastic demand, and the countries most affected by mismanaged waste. We also touched upon the need for systemic solutions, including corporate accountability, innovative recycling technologies, sustainable practices across supply chains, and regulatory changes on the horizon.

Building on that, this article explores the binding legal agreements that shape the global plastics compliance landscape. From international treaties to EU-wide directives and national-level policies, we will examine the mandatory regulations driving efforts to tackle plastic pollution. Additionally, we’ll highlight specific countries leading the way with innovative and impactful plastic regulations. 

This comprehensive overview aims to provide clarity on the complex regulatory framework and inspire actionable insights for navigating this critical issue.

The importance of compliance in global supply chains

The drive for sustainability and reduction of plastic production has become a central focus for multinational companies, fueled by growing pressure from consumers, governments, and stakeholders. These companies face the dual challenge of complying with regulations while adopting sustainable practices to reduce their environmental impact and uphold their sustainability commitments.

Compliance is no longer just a legal obligation — it is critical for maintaining brand reputation and long-term growth.

However, the complex web of regulations often overlap and sometimes contradict themselves, presenting significant challenges. Diverse legal frameworks, varying enforcement levels, and rapidly evolving policies mean that companies must remain flexible, well-informed, and proactive. 

Non-compliance can result in fines, product recalls, trade restrictions, or reputational damage, while successfully meeting regulatory requirements can open doors to new markets and partnerships.

To thrive in this dynamic landscape, companies must integrate compliance into their sustainability strategies, invest in traceability systems, and foster collaboration across the supply chain. By doing so, they can not only address regulatory demands but also drive meaningful progress in tackling plastic pollution.

International plastic regulations: The Basel Convention

The Basel Convention on Plastic Waste establishes explicit rules to regulate the cross-border movement of hazardous and non-hazardous plastic waste, ensuring environmentally sound management (ESM). 

Key provisions of the Convention include: 

• Article 6: the requirement for prior informed consent (PIC) from importing and transit countries before any plastic waste shipment occurs, 
• Articles 4 and 6: the provision of detailed documentation about the type, quantity, and handling of the waste to ensure compliance with the convention’s guidelines, 
• Article 4, paragraph 2(g): the prohibition of the export of plastic waste to countries that lack the infrastructure for environmentally sound management, 
• Article 4, paragraph 2(a):  the parties’ obligation to minimise the generation of plastic waste at the source through sustainable practices (Article 4, paragraph 2(a).

For global firms, these rules significantly impact logistics and supply chain operations. Companies must align their waste export and import practices with these stricter controls, which include ensuring waste is appropriately categorised and managed according to the guidelines. This affects shipping routes, sourcing strategies, and partnerships with waste management providers. Compliance also involves monitoring waste flows, avoiding illegal dumping, and integrating sustainable practices to reduce reliance on hazardous materials. 

The EU’s leading role in global plastic regulations

The European Union plays a pivotal role in shaping global plastics regulation, driving sustainability with its forward-thinking and comprehensive policies. The EU’s comprehensive approach to sustainability has established its standards as a benchmark for international companies operating within or exporting to Europe.

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The EU Green Deal and Circular Economy Action Plan

The EU Green Deal and Circular Economy Action Plan (CEAP) advocate for a transformative shift towards a closed-loop system, aiming to reduce waste and extend product life cycles across industries. A key element of this shift is the Ecodesign for Sustainable Products Regulation (ESPR), which sets requirements for product design to ensure products are easier to recycle, use fewer harmful substances, and have a lower environmental impact. 

Companies must therefore align product design, production processes, and waste management strategies to meet recycling, reuse, and sustainability targets, ensuring compliance with these evolving regulations while contributing to a greener economy. Other than the ESPR we look at other important directives that specifically tackle plastic waste and pollution.

The EU Single-Use Plastics Directive 

The Single-Use Plastics Directive (2019/904) is a key legislation within the EU's broader Plastic Strategy, aimed at reducing plastic pollution and promoting sustainability. The directive targets specific plastic products that are commonly found in marine litter and bans their use entirely. 

The directive’s key provisions include:

• Article 5: Bans the use of certain single-use plastic products such as plastic straws, cutlery, plates, and cotton buds.
• Article 6: Requires that plastic bottles (with a capacity of up to 3 litres) must be made from at least 25% recycled content by 2025 and 30% by 2030. Moreover, it imposes a ban on single-use plastic products made from expanded polystyrene, including food containers and beverage cups.
• Article 7: requires that certain single-use plastic products, including beverage containers, be marked with specific information to help consumers understand how to dispose of them properly and to raise awareness about the environmental impact.
• Article 8: Mandates that producers of certain plastic products, like beverage containers, are responsible for their collection and recycling, introducing extended producer responsibility (EPR) schemes.
• Article 9: Introduces stricter waste management protocols for single-use plastic products, including increased waste collection and disposal rates. For example, member states are required to ensure the separate collection for recycling of at least 77% of single-use plastics by 2025, and 90% by 2029. 

Here are the important dates and deadlines of the Single-Use Plastics Directive companies should be aware of:

• 3 July 2021: Ban on specific single-use plastic products
  
  • The ban on items like plastic straws, cutlery, plates, and cotton buds made from plastic came into effect.
• 1 January 2025:
  
  • Plastic bottle recycled content: All plastic beverage bottles with a capacity of up to 3 litres, manufactured from polyethylene terephthalate as the major component (PET bottles) must contain at least 25% recycled content.
  • Collection targets for plastic bottles: Member states are required to ensure that at least 77% of plastic bottles are collected for recycling.
  • Extended Producer Responsibility (EPR): Companies that produce plastic bottles and certain other products are obligated to implement EPR systems to ensure their collection and recycling.
• 1 January 2029: Collection targets for plastic bottles
  
  • Member states are required to ensure that at least 90% of plastic bottles are collected for recycling.
• 1 January 2030: Plastic bottle recycled content
  
  • The recycled content in plastic beverage bottles must increase to 30% by this date.

For companies, the Single-Use Plastics Directive necessitates significant changes in product design and material sourcing. Businesses will need to transition away from banned plastic items, opting for alternative materials such as paper, bamboo, or biodegradable plastics. In addition, manufacturers of plastic bottles must meet the recycled content targets, which will require investment in sustainable materials and changes to production processes. To comply with the EPR schemes, businesses will also need to adapt their packaging and take responsibility for the lifecycle of their products, ensuring proper collection and recycling. 

The EU Packaging and Packaging Waste Directive

The Packaging and Packaging Waste Directive (94/62/EC, amended) is a comprehensive legislation that sets recycling targets and mandates extended producer responsibility (EPR) for packaging waste. It covers all packaging placed on the European market, as well as packaging waste released at various levels, including industrial, commercial, office, shop, service, and household settings, regardless of the material used. 

The directive's goal is to reduce the environmental impact of packaging waste by promoting recycling, reuse, and recovery, thus fostering a more sustainable packaging industry across Europe.

The key provisions for this directive include:

• Article 4: Member States must ensure that the management of packaging waste follows the waste hierarchy, prioritising prevention, reuse, recycling, and recovery.
• Article 6: Sets specific recycling targets for packaging waste:
  
  • By 31 December 2025, Member States must ensure 65% recycling of all packaging waste.
  • Specific recycling targets for materials:
    
    • 50% plastic packaging
    • 70% ferrous metals
    • 75% paper and cardboard
    • 50% aluminium
    • 25% wood
    • 70% glass
  • By 31 December 2030, the recycling target increases to 70% for all packaging waste.
• Article 8: Requires producers to take responsibility for the entire lifecycle of packaging, including the collection, recycling, and proper disposal of packaging materials they place on the market.
• Article 10: Packaging must be labelled with clear instructions on how to dispose of or recycle it properly. This ensures that consumers can easily follow the recycling guidelines.

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Here are the important dates and deadlines of the Packaging and Packaging Waste Directive companies should be aware of: 

1. 31 December 2024:
   
   • Examination of Reusable Packaging by the European Commission.
   • Review of the packaging waste targets and possible adjustments.
2. 31 December 2025:
   
   • 65% recycling rate for all packaging waste.
   • Recycling targets for specific materials (plastic, wood, metals, glass, and paper).
3. 31 December 2030:
   
   • 70% recycling rate for all packaging waste.
   • Updated recycling targets for specific materials.

Therefore, to comply with the Packaging and Packaging Waste Directive (EU) 2018/852, companies should take several key actions. First, they must implement Extended Producer Responsibility (EPR), ensuring they manage the lifecycle of their packaging, including its collection and recycling, by joining or setting up producer responsibility schemes. 

Companies should also design their packaging with recyclability in mind, reassessing materials and designs to reduce waste and encourage reuse. Meeting recycling targets is essential, and businesses will need to report packaging data and participate in national recycling programs. Additionally, packaging must be clearly labelled with disposal or recycling instructions, ensuring consumers can properly manage waste. 

Lastly, companies should focus on minimising packaging waste by reducing unnecessary packaging, using sustainable materials, and improving designs to reduce environmental impact.

However, navigating these regulations can be challenging for businesses, as packaging rules vary across EU member states. This requires firms to stay informed about the different national requirements while ensuring they comply with the overarching EU directive.

Non-EU countries with notable plastic regulations

More and more countries are making efforts to reduce plastic production and consumption, particularly single-use plastics. Apart from the EU, numerous countries have implemented laws to address the single-use plastic issue, with 127 countries (at the time of writing) having introduced some form of regulation on single-use plastics. 

In Africa alone, 25 nations have banned the production of plastic bags. In Asia, countries like India and China have enacted measures against single-use plastic. These countries are joined by Canada, New Zealand, Chile, Costa Rica, certain states in the U.S., the U.K., and the United Arab Emirates, to name a few.  This section takes a closer look at plastic regulations in Japan, China, and the United States, due to their relevance in global supply chains.

Plastic regulations in the United States

Unlike the EU’s unified regulations, the U.S. landscape is marked by a mix of federal and state-specific rules, posing unique challenges. While the Environmental Protection Agency (EPA) provides overarching guidance, individual states have implemented their own measures, including Extended Producer Responsibility (EPR) laws and plastic bans. 

This dual approach presents unique challenges for businesses navigating the varying requirements across federal and state levels. In this section, we explore both federal policies and notable state-level regulations shaping the U.S. response to single-use plastics.

U.S. federal-level plastic regulations

Federal-level plastic legislation in the U.S. establishes broad guidelines aimed at recycling, waste reduction, and sustainable practices. An example is the Microbead-Free Waters Act of 2015. This law bans the manufacture and sale of rinse-off cosmetics containing plastic microbeads, such as exfoliating products, to prevent plastic pollution in water bodies. The ban took effect in phases, starting with manufacturing in 2017 and sales in 2018. While this law specifically targets microplastics, it demonstrates federal-level action on plastic-related issues, though most comprehensive regulations on plastics occur at the state level. 

U.S. state-level plastic regulations

State-level regulations on plastics in the U.S. vary significantly from one jurisdiction to another, as each state has the authority to implement its own rules regarding plastic use, waste, and recycling. While there is no unified federal mandate akin to the EU's single-use plastics regulations, states have taken a more localised approach to address plastic pollution. These regulations may include bans on specific plastic products, requirements for recycling programs, and extended producer responsibility (EPR) schemes. 

States like California, New York, and Hawaii have enacted bans on single-use plastics, such as plastic bags and plastic straws, especially in the food and retail sectors. California, in particular, has led extensive laws to ban single-use plastic bags, and it mandates that all plastic packaging be recyclable or compostable by 2032. Both California and Maine enforce EPR laws that hold producers accountable for the entire lifecycle of plastic products. Moreover, several states, including Maine, Oregon, and Vermont, have enacted EPR laws that require companies to manage plastic waste, specifically focusing on packaging waste and aiming to increase the use of recycled content.

Multinational firms face additional challenges as they navigate these diverse requirements across state lines, potentially leading to the need for more sophisticated compliance strategies.

Plastic regulations in Japan

Japan’s most recent piece of legislation is the Plastic Resource Circulation Act (2022), which focuses on promoting the reduction, reuse and recycling of plastic products. Companies operating in Japan must align with the country’s recycling and product lifecycle management standards, which include implementing more sustainable packaging solutions and ensuring that plastic waste is appropriately processed.

In addition to the Plastic Resource Circulation Act, Japan has the Act for the Promotion of Sorted Collection and Recycling of Containers and Packaging (1995, Updated), which mandates that companies manage and recycle packaging materials efficiently. This law requires businesses to sort, collect, and recycle various packaging materials, making compliance with local recycling regulations a key aspect of doing business in Japan. Global companies must ensure that their packaging materials are recyclable and that their waste management processes meet the standards outlined by this law.

Japan has furthermore introduced a ban on single-use plastic shopping bags in 2020. The Single Use Plastic Ban requires retailers to charge customers for plastic bags, encouraging the use of reusable alternatives. While this is not a blanket ban on all single-use plastics, it is an important step toward reducing plastic waste.

Plastic regulations in China

China has been taking significant steps toward improving sustainability in its supply chains, particularly with its Green Supply Chain policies. These policies include the ban on single-use plastics and a broader strategy to enhance environmental sustainability across manufacturing and supply chains. As a major global manufacturing hub, China’s regulations impact companies that source materials from or produce goods within the country. Businesses must adapt by integrating eco-friendly practices and ensuring that their operations align with China's sustainability requirements, which may involve improving the environmental footprint of production processes and reducing plastic usage in packaging.

Additionally, China’s Ban on Imported Plastic Waste (2018) has shifted global recycling dynamics. The country previously imported significant amounts of plastic waste from around the world for recycling, but the ban has led to a push for more domestic waste management solutions. This change has had a ripple effect on global companies that once relied on China for recycling, forcing them to reassess their waste management strategies and seek alternative solutions.

China has been taking significant steps toward improving sustainability in its supply chains, particularly with its Green Supply Chain policies. These policies include the ban on single-use plastics and a broader strategy to enhance environmental sustainability across manufacturing and supply chains. As a major global manufacturing hub, China’s regulations impact companies that source materials from or produce goods within the country. Businesses must adapt by integrating eco-friendly practices and ensuring that their operations align with China's sustainability requirements, which may involve improving the environmental footprint of production processes and reducing plastic usage in packaging.

Additionally, China’s Ban on Imported Plastic Waste (2018) has shifted global recycling dynamics. The country previously imported significant amounts of plastic waste from around the world for recycling, but the ban has led to a push for more domestic waste management solutions. This change has had a ripple effect on global companies that once relied on China for recycling, forcing them to reassess their waste management strategies and seek alternative solutions.

Conclusion

The global plastics compliance landscape is evolving rapidly, with governments implementing stringent regulations to address the environmental and economic impacts of plastic pollution. From international treaties like the Basel Convention to region-specific policies such as the EU’s Green Deal and Circular Economy Action Plan, companies must navigate an increasingly complex web of legal requirements. Beyond the EU, major economies like the United States, Japan, and China are enforcing their own regulations, further complicating compliance for multinational businesses operating across jurisdictions.

Navigating the global plastics compliance landscape requires multinational corporations to adopt a proactive approach. By understanding and integrating the evolving regulations across regions, companies can align their supply chain operations with sustainability goals while maintaining compliance. This effort involves embracing traceability, adopting circular economy principles, and leveraging transparency to build resilient and responsible global supply chains. 

Staying ahead of regulatory changes is crucial for mitigating risks, maintaining market access, and demonstrating a commitment to sustainability. By integrating compliance into their long-term sustainability plans, investing in innovation, and fostering collaboration across supply chains, businesses can turn regulatory challenges into opportunities for growth and leadership in the transition toward a circular economy.