Imagine a future where all the packaging you see in the supermarket is recyclable or reusable. That’s the star goal of the new Packaging and Packaging Waste Regulation (EU) 2025/40, known as PPWR (Packaging and Packaging Waste Regulation).

Unlike its predecessor, it is directly applicable in all EU states, eliminating the legislative differences that fragmented the European market. Its approach covers the entire life cycle of packaging, from design to waste management, and affects any company that manufactures, imports or markets packaged products in the EU, regardless of the material used.

One of the fundamental pillars is to ensure that, by 2030, all packaging will be economically viable recyclable or reusable. This implies a radical change in product design, known as eco-design, which requires companies to minimize the use of materials, reduce the weight of packaging and eliminate harmful substances such as PFAS or bisphenol A.

In addition, the use of recycled content is encouraged, with progressive targets peaking in 2040. What’s at stake? Let’s break it down.

Five major challenges that companies must embrace

On January 22, 2025, this new European regulation was approved and came into force on February 11, which will force companies to rethink how packaging is designed, produced and managed in Europe. The five key changes that companies will have to take into account are as follows.

1. Eco-design and recyclability: Companies will be required to redesign their packaging to ensure that it is not only recyclable, but that it is actually recycled. Packaging will be classified into categories (A, B or C) according to their level of recyclability. By 2038, only grade A will be allowed, guaranteeing high quality recycling. The regulation also sets minimum percentages of recycled material in plastic packaging, such as 30% in single-use bottles (PET) and 35% in other plastic packaging. In addition, from 2029, mandatory separate collection targets will be set for materials such as plastic, wood, ferrous metals, aluminum, glass, paper and cardboard.
2. Reuse and deposit systems: The regulation promotes reuse as a key strategy to reduce waste. It establishes reaching 10% of reusable beverage containers by 2030, with a voluntary target of 40% by 2040. And from 2027, food and beverage take-away distributors will have to offer the possibility of refilling reusable containers, to encourage the reduction of single-use packaging. And they also establish deposit, return and refund systems (DRS) as key to meeting these targets.
3. Harmonized labelling: As of August 12, 2028, all packaging will have to bear standardized labels indicating its composition and the waste stream to which it belongs (plastic, glass, paper, etc.). These labels, accompanied by clear pictograms, will facilitate separation at source and recycling, but will require companies to update their labeling designs and processes. In addition, the use of digital labels or QR codes that provide additional information on the composition and recyclability of the packaging will be allowed.
4. Extended producer responsibility (EPR): From 2025, producers will be required to register in the Member States where they place their packaging on the market and companies will bear increased costs associated with waste management, including collection, sorting and recycling. This extends to commercial and industrial packaging, a significant change from Spanish Royal Decree 1055/2022, which focused on household packaging.
5. Reduction of single-use plastics: The regulation bans certain single-use plastic packaging and sets waste reduction targets of 5% by 2030, 10% by 2035 and 15% by 2040. Companies will be required to explore alternatives such as compostable or biodegradable materials, provided they meet strict standards.

Innovation and Costs – the gateway to success 

Adapting to Regulation 2025/40 will not be an easy task, as it implies a radical transformation in the way companies design, produce and manage their packaging. The main challenge is economic: redesigning packaging, implementing reuse systems and complying with the new recycling requirements entails operating costs that could have an impact on final prices. Small and medium-sized companies, in particular, could face difficulties in absorbing these investments without adequate support

In addition, the transition requires intense collaboration between the agents in the value chain: manufacturers, distributors, waste managers and public administrations. The lack of homogeneous collection and recycling infrastructures could slow down the achievement of the objectives. On the other hand, companies will have to train their teams and raise awareness among consumers, who will play a crucial role in the correct separation of waste.

A more circular future

In a world where sustainability is no longer optional, the message is clear: innovation is the key to standing out. Companies that embrace this change will not only be complying with Europe, but building a greener future for all, in a market where environmental responsibility will be key to long-term success.

Key dates you can’t ignore

• February 11, 2025: Entry into force of Regulation 2025/40.
• August 12, 2026: Deadline for packaging manufactured before the regulation to comply with the new obligations.
• August 12, 2028: Mandatory implementation of harmonized labels on packaging and waste containers.
• January 1, 2030: All packaging must be recyclable or reusable, with more stringent recyclability standards from 2038.
• 2030-2040: Progressive targets for reducing waste and increasing recycled content.