2026 Plastics EPR & Packaging Rules Update: What SB 54, SB 343, State Reporting Deadlines, PRC Laws, & the EU PPWR Mean for Producers & Retailers

If your business makes, sells, imports, or uses plastic packaging, 2026 is shaping up to be a major compliance year. California is moving closer to full implementation of SB 54, the state’s “truth in labeling” law under SB 343 is nearing a key enforcement date, and multiple states now have EPR and postconsumer recycled content reporting deadlines on the calendar. At the same time, the European Union’s new Packaging and Packaging Waste Regulation will soon bring sweeping new recyclability, reuse, PFAS, and producer responsibility requirements. Taken together, these developments mean companies should be reviewing packaging data, labeling, and compliance strategies now.

Key Takeaways:

• California SB 54 is nearing full implementation: Revised regulations are under OAL review through May 1, 2026, with baseline reporting due 30 days after final approval. Producer fee schedules are expected in May 2026.
• California SB 343 enforcement is approaching: Beginning October 4, 2026, packaging that does not meet state recyclability criteria may no longer use the chasing arrows symbol, though a federal court challenge is pending.
• State EPR laws continue to expand: Seven states have enacted packaging EPR laws, and several—including California, Colorado, Oregon, Maryland, Minnesota, and Washington—face important 2026 reporting deadlines.
• PRC mandates are becoming more demanding: States such as California, Washington, Maine, Connecticut, and New Jersey are beginning to require recycled-content reporting, with some targets increasing over time.
• The EU PPWR takes effect on August 12, 2026: The new regulation will impose broad packaging rules, including recyclability requirements, reuse targets, a PFAS ban in food packaging, deposit-return obligations, and stronger EPR requirements.

The global regulatory landscape for plastics and extended producer responsibility (EPR) continues to evolve rapidly, with significant new developments since our last update. Businesses and organizations involved in plastics manufacturing, packaging, and recycling, and businesses that sell packaged goods at retail, face an increasingly complex web of requirements in particular states, at the federal level, and in the European Union.

California Developments

Extended Producer Responsibility Implementation (SB 54)

California’s Plastic Pollution Prevention and Packaging Producer Responsibility Act (SB 54) continues to advance toward full implementation. CalRecycle recently submitted its revised implementing regulations for SB 54 to the state’s Office of Administrative Law (OAL) for a 30-day review period ending on May 1, 2026. Once OAL approves the regulations, producers will have 30 days to submit baseline reporting data, including initial supply reports and initial source reduction reports, to the Circular Action Alliance (the “Producer Responsibility Organization” selected under SB 54). Fee schedules are expected to be released in May 2026 to help producers budget for annual fees scheduled to begin in 2027.

“Truth in Labeling” Law (SB 343)

California’s SB 343, which prohibits untruthful, deceptive, or misleading recycling claims about consumer goods, is nearing a critical milestone. Beginning October 4, 2026, packaging that does not meet California’s recyclability criteria will no longer be permitted to use the “chasing arrows” recycling symbol around Resin Identification Codes. In March 2026, industry groups sued the state in federal court in California to block enforcement of the upcoming ban, arguing that the law’s prohibition on using the recycling symbol violates packagers’ First Amendment rights. Cal. League of Food Producers et al. v. Bonta, 3:26-cv-01675-WQH-BLM (S.D. Cal. filed Mar. 17, 2026). The court has not yet ruled on the dispute.

Additionally, in February 2026, Assemblymember Tasha Boerner introduced AB 2253, which would require recycled-content claims for any product sold in California to be based on the actual recycled content in the product (as opposed to mass-balance accounting).

Other US State-Level Developments

EPR Expansion Across the States

We have seen rapid expansion of state-level EPR programs, which shift the responsibility and costs for end-of-life management of packaging waste to producers of packaged goods. Seven states have now enacted EPR legislation: Maine, Oregon, California, Colorado, Minnesota, Maryland, and Washington. Further EPR legislation is pending in several additional states: Hawaii, Illinois, New York, and New Jersey. Many states with enacted EPR laws have reporting deadlines in 2026 (and annually thereafter), as detailed in the following table:

Extended Producer Responsibility (EPR) Reporting Deadlines

In February 2026, a federal district court in Oregon granted a preliminary injunction in a challenge by industry groups to Oregon’s EPR law. The final outcome of this litigation could significantly affect states’ existing EPR laws and the manner in which other states adopt EPR programs in the future.

Recycled Content Requirements

California, Washington, New Jersey, Maine, and Connecticut have enacted laws requiring the use of postconsumer recycled content (PRC) in plastic packaging. These requirements are becoming more stringent over time, with targets escalating to 50% PRC for beverage containers in several states by the early 2030s. Multiple states have annual reporting obligations for PRC data, which are detailed below.

PRC Reporting Deadlines

US Federal Developments

While there has been little agency rulemaking and enforcement activity relating to plastics stewardship at the federal level, a few plastics-related bills have been introduced in the 119th Congress. In February 2026, the Recycled Materials Attribution Act was introduced in the House of Representatives. The bill would direct the FTC to establish federal standards for recycling and recycled-content marketing claims. Additionally, the Plastic Pellet Free Waters Act was introduced in February 2026, which would require the EPA to promulgate regulations prohibiting the discharge of plastic pellets and other pre-production plastics.

The executive branch is also targeting microplastics as toxins and contaminants. The Department of Health and Human Services recently announced $144 million in funding for research into removing microplastics from human bodies. Days later, the Environmental Protection Agency included microplastics in its latest draft of the Contaminants Candidate List, which if adopted would subject microplastics to regulation under the Safe Drinking Water Act. 

International Developments

European Union Packaging and Packaging Waste Regulation

Regulation (EU) 2025/40 on packaging and packaging waste (PPWR) will enter into force for all European Union member states on August 12, 2026. Relevant provisions of the PPWR include:

• a requirement that all packaging be recyclable in an economically viable way by 2030;
• reuse targets, which will increase over time, for plastics used in transportation, e commerce, and beverage packaging; 
• a ban on PFAS in food packaging;
• mandatory deposit-return systems for metal cans and plastic bottles; and 
• strengthened EPR obligations. 

The new EPR obligations will include registration and reporting requirements for producers (defined as manufacturers, importers, or distributors who first make packaging available in a member state) and payment of EPR fees in member states where packaging is expected to become waste. 

In February 2026, an EU committee approved a draft implementing decision allowing the use of mass-balance accounting for chemically recycled, single-use plastic beverage bottles. This decision allows producers to mix source plastics when creating recycled products and will significantly impact how companies calculate and verify recycled content under the PPWR.

UN Plastics Treaty Negotiations

In August 2025, the United Nations Intergovernmental Negotiating Committee on Plastic Pollution adjourned without consensus on a global plastics treaty. Key disagreements persist over whether the treaty should limit plastic production or focus mainly on waste management; how binding the rules should be; and how developing countries would be supported. Governments are expected to return later in 2026 for renewed negotiations.

Implications and Outlook

With seven states now implementing EPR laws, the Circular Action Alliance is emerging as a de facto coordinating body for multi-state compliance, but significant uncertainty about the programs’ legality remains—particularly in light of the Oregon legal challenge. Additionally, producers will likely need to balance states’ competing policy goals as some adopt increasingly stringent EPR laws while others threaten anti-trust litigation to deter producers from participating in waste-reduction programs.

The EU’s PPWR represents the most comprehensive overhaul of packaging regulation in decades. Its August 2026 implementation date requires companies to prioritize understanding the law’s requirements, including the PFAS ban, recyclability mandates, and labeling standards. We will continue monitoring developments and provide regular updates.

This memorandum is a summary for general information and discussion only and may be considered an advertisement for certain purposes. It is not a full analysis of the matters presented, may not be relied upon as legal advice, and does not purport to represent the views of our clients or the Firm. Eric Rothenberg, an O'Melveny of counsel licensed to practice law in New York and Missouri; Chris Bowman, an O’Melveny counsel licensed to practice law in California; and William D. Kosinski, an O’Melveny associate licensed to practice law in California, contributed to the content of this newsletter. The views expressed in this newsletter are the views of the authors except as otherwise noted.

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