2026 Sustainable Packaging Trends Report

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What will make life easier for global companies and their packaging designers?

Streamlined, standardized definitions of recyclability and sustainability. When countries and even entire regions get on the same page about what success looks like, packaging teams can align with these definitions toward exceeding expectations.

In our first trend, we’re seeing that increasingly, guidance on recyclability and sustainability is being defined by producer responsibility organizations (PROs) in the context of extended producer responsibility (EPR), as well as by regional packaging groups. Around the world, regions are beginning to formalize definitions for “recyclable” and “sustainable.”

Global harmonization awaits

The greatest opportunity lies in global harmonization. If requirements and definitions were harmonized across regions, packaging teams could start to work towards packaging portfolios that they know will be considered recyclable — and recycled in practice — around the world, from London to Lisbon to Los Angeles. A shared set of criteria across regions will allow us to accelerate the shift to sustainable packaging like never before.

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For healthcare and OTC waste, the benefits of action are substantial

Plastic packaging has been an essential staple across modern healthcare, supporting infection prevention, patient safety, and pharmaceutical product integrity. Yet it also has significant consequences: A 2025 Systemiq and Eunomia report found mounting waste, rising greenhouse gas (GHG) emissions, and escalating costs across healthcare packaging. In a Business as Usual scenario driven by inaction, plastic waste, GHG emissions and costs could grow by 35 – 40% by 2040.

Perhaps even more widespread is the over-the-counter (OTC) packaging that sits so ubiquitously in household cupboards around the world. The OTC category often relies on virgin plastic and non-recyclable formats like blister packs or other formats that may be too small to be accepted in curbside recycling programs. With compliance and health on the line, it’s not surprising that this category has lagged when it comes to sustainable packaging.

Industry innovation is catching up to sustainability challenges

The good news is that across the healthcare system, applying circular economy levers can cut plastic use by up to 53%, GHG emissions by up to 55%, and system costs by up to 24% by 2040. The benefits of better design for OTC packaging, while not calculated, are likely to be similarly staggering.

What can this look like in practice? Reduction, reuse, material substitution, improved recycling, and lower-emissions plastics are all part of the solution set. Stakeholders are already on board: According to a 2024 industry survey, minimizing plastic material and using recyclable materials were the top two priorities for those working in healthcare packaging.

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The challenges are clear, and uncertainty remains

Five years into EPR laws being proposed, passed, and entering early implementation with the help of Producer Responsibility Organizations (PROs) like Circular Action Alliance (CAA), we’ve moved from being completely in the dark to being able to clearly list EPR’s challenges. High on this list: the various definitions and producer requirements aren’t aligned across states.

Knowing enough to act

Though we’re missing some important details surrounding EPR implementation, the industry knows enough to plan and act. We know which product categories currently have single-digit recycling rates and are unlikely to meet strict new requirements. We know, based on approved program plans in Oregon and Colorado, the range of fees that more difficult-to-recycle packaging materials will face. We know that on-pack labeling, while still one of the best ways to educate consumers about what is recyclable, will require more supporting data than ever before. And we know that EPR-funded improvements to recycling infrastructure — while critical to improved recycling rates — will take time.

Rather than waiting for the regulatory landscape to settle, companies can commit to a proactive path forward. Expect that packaging regulations will stay as strict as they are today — or get stricter. Plan for packaging fees to increase significantly, particularly for difficult-to-recycle materials, with real consequences for falling short. Assume a sizable investment in recycling infrastructure will be needed, and that your company will be part of the group paying for it. By setting these assumptions now, you’re building a strategy on your terms, not reacting to someone else’s timeline.

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Toward collective proof of recyclability

Recycling data has always been critical, but today’s EPR programs are laser-focused on recycling rates by packaging material and format. In response, the industry is shifting how relevant data is collected and shared. Recognizing that no single company can solve systemic recycling challenges alone, brands, converters, and industry organizations are increasingly pooling resources and sharing data to gain clearer insights into packaging recyclability across the value chain. Collaboration and transparency around curbside program acceptance and end market data is officially here.

From data to action: the sound of recycling gets louder

Our industry’s mandate is clear: what gets measured gets managed, and what gets managed gets recycled. As data-sharing initiatives break down information silos, we’re moving from philosophical debates about recyclability to practical solutions backed by hard numbers. The success stories of beverage cups and the promising pipeline of new recyclability for PE tubes, PET thermoforms, and small-format plastics prove that when industry players share data, recyclability isn’t just a label — it’s a trackable, reachable reality.