EU Packaging Waste Regulation (PPWR)

The Concept of the New European Packaging Regulation

The Packaging and Packaging Waste Regulation (PPWR) is the European Union's response to the ever-increasing volume of packaging and the pressure on primary raw materials, recycling infrastructure, and the environment. The previous directive left considerable leeway for Member States.

This led to a fragmented system of national regulations, different definitions of recyclability, and varying requirements for labelling and fees. The result of this fragmentation was legal uncertainty, higher transaction costs, and complicated compliance for businesses operating in multiple countries.

The PPWR changes this situation, as it is a regulation directly applicable in all Member States and introduces harmonised rules for the entire packaging life cycle. The European Commission explicitly classifies this regulation as a key instrument of the Green Deal and the Circular Economy Action Plan.

The aim is not only to reduce the amount of packaging waste but also to promote innovation, the recycling industry, and new business models based on reuse. A key aspect is the shift of responsibility to producers of packaging and packaged goods. A fundamental principle is this shift in responsibility, where producers of packaging and packaged goods will bear greater financial and organisational responsibility.

In practice, this means that a company that currently just buys and uses packaging will now be assessed on whether that packaging is actually recyclable. It will also be monitored whether it contains recycled content, how it is labelled, and how it contributes to meeting European targets.

At the same time, the new regulation seeks to remove barriers to the free movement of goods that arose from individual states introducing their own labels and different definitions. While this brings stricter rules for businesses, in the medium term it means entering a more transparent and less fragmented environment.

Uniform European rules often reduce transaction costs for companies that can react in time, invest in compliance, and take advantage of the resulting competitive advantages. It is important to emphasise that this regulation is not an isolated piece of legislation but builds on other European policies.

In practice, therefore, packaging cannot be addressed separately from product legislation, ESG reporting, contractual arrangements with suppliers, and tax implications. The lawyers at the Prague-based ARROWS law firm therefore work with clients on a broader compliance framework and a strategy on how to use the new requirements to streamline logistics and customer relationships.

From a Directive to a Directly Applicable Regulation

The difference between a directive and a regulation is fundamental from a business perspective. A directive sets objectives but leaves Member States free to implement them, whereas a regulation is directly and uniformly applicable without the need for transposition into national laws.

Member States may only supplement sanctions, supervisory mechanisms, or certain procedural details. If disputes arise in practice over the interpretation of obligations or liability in the supply chain, it may be useful to refer to the recommendations on the topic of disputes from business cooperation. The new legislation sends a clear signal that the European packaging market is to be governed by a single set of rules with no possibility of national derogations.

The Regulation has generally entered into force and will apply from 12 August 2026. However, some specific obligations, such as recyclability or labelling requirements, are linked to implementing and delegated acts to be adopted later by the European Commission.

This two-phase structure is challenging for businesses, as some of the rules are already certain and some are still being finalised. Detailed interpretative guidance explains the definition of packaging, transitional periods for chemical substances, and the harmonisation of standards for minimum weight. This two-phase structure is challenging for businesses, as some of the rules are already certain and some are still being finalised.

Companies that wait until all the rules are completely clear risk being unable to switch to new packaging concepts quickly enough. This could cause them to lose market share to more agile competitors who prepare in advance.

From a legal point of view, packaging placed on the market after 12 August 2026 must comply with the regulation, while older stock may be sold off under certain conditions. This creates practical questions regarding inventory management and tracking the date of placing on the market. In this context, it is advisable to set up internal decision-making and responsibilities (who approves packaging, who bears the risk, and how changes are recorded), which typically falls within the area of corporate law, holding companies and structures. Packaging placed on the market after 12 August 2026 must comply with the regulation, while older stock may be sold off under certain conditions.

The lawyers at the Prague-based ARROWS law firm therefore recommend that clients adapt their internal systems now to be able to prove when a specific package was first placed on the EU market. It is advisable to separate old and new packaging in stock, including documentation. For products where the packaging also serves an informational and marketing function, it makes sense to check which mandatory data and claims may be problematic, as explained in the article what must be on the packaging of a food supplement to avoid fines from the CTIA and SZPI. The lawyers at the Prague-based ARROWS law firm therefore recommend that clients adapt their internal systems now to prove the date packaging is placed on the market.

Main Goals and Principles of Waste Reduction

The new regulation is based on several pillars, the first of which is waste prevention. By 2040, Member States must achieve a 15% reduction in the amount of packaging waste per capita compared to the reference year 2018.

This will translate into an obligation to minimise the weight and volume of packaging, limit unnecessary layers, and prohibit design elements with no function. This will translate into an obligation to minimise the weight and volume of packaging and to prohibit design elements with no real function.

By 2030, all packaging must be designed to be recyclable according to harmonised design-for-recycling criteria. By 2035, recycling is to be available at scale, i.e., actually implemented in the collection and sorting infrastructure.

The third pillar is mandatory recycled content in plastic packaging, which is intended to gradually reduce dependence on primary fossil raw materials. The regulation sets minimum recycled content shares for various types of plastic packaging from 2030. The third pillar is mandatory recycled content in plastic packaging, which is intended to gradually reduce dependence on primary fossil raw materials.

The fourth pillar is reusability, where for selected segments, such as beverage packaging or a portion of e-commerce, the regulation introduces mandatory targets for the share of reusable packaging. Minimum requirements for these systems are also being established.

The principle of Extended Producer Responsibility (EPR) is applied throughout the regulation, whereby the costs of collecting, sorting, and recycling packaging are borne by producers through mandatory fees. The principle of Extended Producer Responsibility is applied throughout the regulation, where fees will be eco-modulated according to recyclability.

The more recyclable the packaging and the more recycled content it contains, the lower the fee the producer will pay. This creates market pressure to redesign packaging and, from a business strategy perspective, becomes a matter of cost structure and competitiveness.

Scope and Roles in the Supply Chain

The regulation applies to all packaging and packaging waste in the Union, regardless of the material used, the type of packaging, or its origin. In terms of obligated persons, the key is who the economic operator placing the packaging on the market is.

Typically, this includes packaging manufacturers, fillers, importers of packaged goods, distributors, retailers, and online sellers. Unlike some national regulations, the regulation generally does not contain blanket exemptions for small or micro-enterprises.

Completely new are the clearly defined obligations for online marketplaces and platforms. If a digital marketplace provides logistics, packaging, or distribution of third-party products, it is considered an economic operator and must comply with the established obligations.

This is important for both large platforms and brands using fulfilment centres. The contractual allocation of responsibility will have to be precisely defined, otherwise there is a risk of disputes over who is liable for non-compliant packaging.

The producer in the sense of extended responsibility is not always just the one who physically manufactures the packaging, but the one who first places it on the market in a given Member State. The producer in the sense of responsibility is the one who first places the packaging on the market in a given Member State. The distributor and retailer then have an obligation to verify that the producer has fulfilled the registration requirements and that the packaging bears the prescribed labelling. For groups of companies, there is also the question of assessing related entities at the group level.

Poorly configured goods flows can lead to obligations being formally borne by an entity that is not prepared for them. Online marketplaces have an obligation to verify sellers' compliance with legislation, which will be reflected in strict contractual terms.

Territorial Scope and Distance Selling

The regulation applies to all packaging placed on the European Union market, which includes distance selling to end customers from third countries. It is therefore not the location of the business's headquarters that matters, but where the packaging ends up.

For businesses based outside the EU, an obligation is introduced to appoint an authorised representative in the Union who will fulfil registration duties. The European framework fully harmonises the national system, which means that Czech legislation will have to be amended to reflect the new definitions. Businesses therefore cannot automatically rely on past experience as a guarantee of compliance.

For cross-border sales, it must be taken into account that until the single European register is fully operational, producers must register in each country separately. The lawyers at the Prague-based ARROWS law firm recommend that exporters harmonise their packaging specifications for multiple markets simultaneously and in a timely manner.

One of the strongest impacts of the new legislation on business is the shift in the focus of obligations from the post-use phase to the packaging design phase itself. Packaging may only be placed on the market if it meets strict sustainability requirements.

After 2030, it will not be enough to simply claim that a certain material is technically recyclable. It will be necessary to actually prove that the packaging as a whole, including labels, caps, adhesives, and inks, meets European criteria.

Packaging will be graded and classified according to its recyclability, and it will not be possible to place packaging on the market at all below a set threshold. This means the effective end for many multi-material laminates and problematic film combinations.

The new regime also includes a significant tightening of the rules for environmental claims. Claims about recyclability must strictly be based on harmonised calculation methods and be supported by technical documentation.

This significantly increases the risk of regulatory action against unfair greenwashing and shifts the burden of proof directly onto the producer. The choice of materials has a direct impact on the level of fees and the overall negotiating position with large customers.

The lawyers at the Prague-based ARROWS law firm therefore recommend that clients involve not only technical teams but also the legal department in discussions about packaging redesign in a timely manner. The lawyers at the Prague-based ARROWS law firm recommend involving the legal department in redesign discussions and verifying marketing claims with an expert opinion.

Furthermore, from 2035, the actual availability of collection and sorting in the real waste management system will begin to be assessed. Companies that rely on difficult-to-recycle materials without a robust infrastructure risk being at an economic disadvantage.

The new rules also affect packaging that is currently labelled as compostable. The regulation generally prefers material recycling over composting, with the exception of clearly defined specific applications.

Mandatory Recycled Content and Minimisation

A crucial new element is the mandatory minimum recycled content in plastic packaging. The regulation extends these requirements to all types of plastic packaging placed on the European market.

The detailed parameters stipulate that from 2030, plastic packaging will have to contain recycled content within a defined range depending on the type of use. From 2030, plastic packaging will have to contain recycled content in the range of approximately 10% to 35% depending on the type of use.

Purely virgin plastic in packaging will become an exception and an economically disadvantageous choice. For businesses, this presents a challenge in terms of the limited availability of high-quality recycled material, which is already pushing raw material prices upwards. The requirements for traceability and auditability of recycled content mean the creation of new internal company processes. 

In addition to composition, the regulation also focuses on empty space in packaging, especially for e-commerce and transport packaging. A quantitative limit on empty space is being introduced, which must not be unnecessarily filled with mere void fill.

It is expected that from 2030, a maximum empty space ratio of around 50% will apply to transport packaging. Filling materials, such as air cushions or paper, are considered empty space for the purpose of the calculation.

Companies will have to rethink standard carton sizes and packaging strategies. The regulation explicitly prohibits design solutions such as false bottoms or unnecessary multiple layers that do not serve a protective function.

Chemical Safety and the Ban on PFAS

In addition to recyclability, the new regulation brings fundamental changes in the area of chemical safety of packaging. The aim is to demonstrably reduce human and environmental exposure to toxic substances and to significantly improve the quality of the resulting recycled materials.

For businesses in the food, beverage, cosmetics, and pharmaceutical sectors, this means the need to know the exact composition of the packaging they use in detail. The sum of the concentrations of selected heavy metals in the packaging or its components must not exceed 100 mg/kg.

This limit builds on older regulations, but the new regulation firmly harmonises it across the entire Union. Companies will have to ensure laboratory verification and the corresponding declaration of conformity, which will affect supply chains.

Businesses must be prepared for more extensive questioning of their suppliers about the exact composition of materials. Businesses must be prepared for more extensive questioning of their suppliers about the exact composition of materials. The lawyers at the Prague-based ARROWS law firm help coordinate the requirements from individual regulations and minimise the risks of penalties.

From a practical point of view, a major intervention is the complete ban on PFAS in food contact packaging above specified low limits. These substances have so far been widely used to achieve high resistance to grease and water. From a practical point of view, a major intervention is the complete ban on PFAS in food contact packaging.

From 12 August 2026, food packaging containing these substances may not be placed on the market. However, according to interpretative guidance, packaging placed on the market before this date may remain in circulation until stocks are sold out.

For producers in the food and gastronomy sectors, this means the need to switch to alternative materials very quickly. For producers in the food and gastronomy sectors, this means the need to switch to alternative materials very quickly.

Reuse and Deposit Return Systems

In addition to reducing the amount of packaging and increasing recycling, the regulation focuses on the reusability of packaging materials. The aim is for a significant portion of packaging in B2B logistics not to turn into waste after its first use.

From a business perspective, this means a transition to a model where crates or pallets are understood as circulating assets. For transport and industrial packaging, it is expected that a significant proportion will be reusable by 2030.

For e-commerce packaging, it is also envisaged that from 2030, customers will have to be offered the option of choosing returnable packaging. This choice must not be hidden or disadvantaged in the online shop's interface.

The implementation of these systems in practice requires thoughtful design and information systems for accurate tracking of circulation. From a legal point of view, it is crucial to clarify the ownership of reusable packaging and the responsibility for its hygiene. The lawyers at the Prague-based ARROWS law firm help clients set up contracts, general terms and conditions, and internal guidelines for reuse.

The regulation also assumes that states will introduce mandatory deposit return systems to achieve a high collection rate for beverage containers. For beverage producers and distributors, this means having to adapt their packaging to be compatible with the collection infrastructure. Participation in the systems will require entering into complex contractual relationships with the operator.

The lawyers at the Prague-based ARROWS law firm recommend that companies monitor the preparation of national deposit return systems and react in a timely manner.

Impacts on Retail and the Gastronomy Sector

The regulation also has significant impacts on the retail and the hotel, restaurant, and café sector. It explicitly supports systems where customers can bring their own containers for takeaway food and drinks.

For operators, this means having to think through logistics, storage, and ensuring strict hygiene during filling. Retail chains will face demands to allocate space for the take-back of deposit-bearing packaging.

This can have a direct impact on store design, back-of-house logistics flows, and internal IT systems. The lawyers at the Prague-based ARROWS law firm help clients set up internal guidelines and insurance programs for retail.

Administrative Burden and Digital Passports

The new legislation significantly increases the data and administrative requirements for businesses of all sizes. In addition to existing records, it introduces more detailed reporting and mandatory producer registrations in individual countries. The issue of packaging data is becoming a strategic agenda, as compliance cannot be demonstrated without accurate and auditable data. 

Harmonised labelling will be introduced throughout the European Union, providing information on material composition and the correct method of sorting. After a transitional period, Member States will not be able to require their own different national labels. 

In addition to physical labels, the massive deployment of QR codes and digital product passports is anticipated. The lawyers at the Prague-based ARROWS law firm recommend involving the IT and purchasing departments in the preparation of digital labelling in a timely manner.

Strategic Management and Compliance Audit

Implementing the regulation is a complex task that requires a proactive approach from top management. The first logical step should be a thorough audit of the existing portfolio of packaging used.

Based on the audit results, it is necessary to decide which packaging can be retained and which requires a fundamental redesign. The lawyers at the Prague-based ARROWS law firm recommend embedding clear obligations regarding the transfer of technical data into contracts.

The issue is also becoming crucial in the area of mergers, acquisitions, and risk assessment as part of due diligence. The absence of plans to redesign packaging can represent a hidden future cost in the millions for an investor. The ARROWS law firm has liability insurance up to CZK 350,000,000, which provides clients with certainty.

Conclusion

The European Packaging and Packaging Waste Regulation (PPWR) represents one of the biggest regulatory changes in recent years for all companies that place packaged products on the EU market. From August 2026, packaging becomes a ticket to the market: without compliance with the PPWR, it will not be possible to legally place packaging into circulation.

This means a real risk of lost revenue, reputational damage, sanctions, or sales being blocked by supervisory authorities or platforms. The PPWR does not just address waste sorting, but intervenes in the very design of packaging, choice of materials, recyclability, recycled content, chemical safety, reuse systems, digital labelling, and detailed data and contractual processes in the supply chain.

For entrepreneurs, management, and investors, it is therefore essential to understand the PPWR as a strategic issue that will affect cost structure, ESG profile, access to financing, and negotiating positions with customers and suppliers. Those who conduct a timely packaging audit, set up data and contractual processes, prepare a redesign, and plan for implementation in 2026–2030 can use the new requirements as a competitive advantage. Those who react only to the first inspections or problems with customers risk sudden investments, fines, lawsuits, and loss of market share.

If you do not want to risk unnecessary mistakes, it is wise to entrust the entire legal and procedural preparation to experienced experts. If you are interested in a consultation, you can contact a representative of the ARROWS law firm via e-mail at consultation@arws.cz.