This is part of our series recapping sessions from the 2024 Hybrid IMDS, Product Compliance & Sustainability Conference.
Are you in the know about extended producer responsibility (EPR) around packaging? A session at the 2024 Hybrid IMDS, Product Compliance & Sustainability Conference titled “Introduction to the Packaging EPR and the Impacts for Original Equipment Manufacturers (OEMs) and the Automotive Supply Chain” covered the latest information.
Dan Hankinson, program manager of Mopar global product regulatory compliance at Stellantis, gave the presentation. “I think everyone can have an agreement that recovering waste is not a bad thing, and then reusing the materials from waste is not a bad thing,” he began. Here are some highlights.
EPR Background
EPR regulations hold companies that sell products containing single-use packaging (producers) responsible for funding the handling of packaging waste at the end of its life, as opposed to municipalities using consumer tax dollars to manage it. “It’s becoming harder and harder for municipalities to manage and more costly as well,” Hankinson said.
The many EPR schemes for packaging include waste tonnage reporting and fees, deposit-refund systems, environmental handling charges, recycled material content thresholds, and end-of-life product recycling. "There are a lot of benefits,” Hankinson shared, including waste prevention, encouraging reuse and recycling, generating economic value, saving energy, reducing carbon dioxide emissions, and reducing incineration.
Progression of EPR Regulations
EPR is growing globally, with regulations evolving and new trends emerging, Hankinson noted. Each country is different regarding EPR requirements, from mandatory to voluntary to limited, while some have established a framework, emerging framework, or emerging legislation. Here’s a snapshot of the last 25 years.
Within the U.S., EPR is also gaining momentum, with individual states piecing together various EPR aspects to fit their specific goals. Six states enacted EPR regulations, 29 bills were introduced across 15 states, and three federal bills were introduced as of Hankinson’s October 2024 presentation.
Effect on OEMs
EPR laws define OEMs as producers, and the framework will require producers to do the following: Join Producer Responsibility Organizations (PRO), collect state-specific details, determine dealer responsibility, gather sales information, calculate and submit tonnage reports, pay tonnage-based fees starting in 2025/2026, ensure all packaging is recyclable by January 2032, and increase PCR content for certain packaging types.
Effect on Packaging Suppliers
Since OEMs are obligated to comply with EPR regulations, they will request additional packaging information from suppliers using methods such as OEM-specific supplier portals or Excel spreadsheets.
The EPR data subject to collection includes a full material breakdown, weight of packaging materials, and sustainability details, such as recycled material percentage, compostability, and recyclability.
To prepare, Hankinson suggested that suppliers contact packaging material suppliers and representatives at OEMs, verify packaging specifications, research regulations, and attend information sessions.
SAVE THE DATE FOR THE 2025 IMDS CONFERENCE
This topic and more will be covered at the 2025 Hybrid IMDS, Product Compliance & Sustainability Conference October 8–9, 2025, at Suburban Collection Showplace in Novi, Michigan. More details will be forthcoming. Sign up here to be notified when registration opens!