Proposed EU Changes May Reduce EPR Burdens for Small Packaging Producers

The Council of the European Union has adopted a negotiating position on proposed changes to extended producer responsibility (EPR) requirements under the Packaging and Packaging Waste Regulation (EU) 2025/40 (PPWR). The proposal would provide targeted relief for smaller packaging producers operating across EU Member States as broader reforms to EPR rules continue to develop.

The Council's position is not yet final law. It establishes the mandate for negotiations with the European Parliament, with the presidency seeking an agreement on the proposal. Packaging producers can continue monitoring the legislative process while assessing their obligations under the PPWR and applicable national EPR schemes.

Why is the Council proposing EPR relief?

Under Article 45(3) of the PPWR, producers established in one EU Member State and making packaging or packaged products available directly to end users in another Member State would be required to appoint an authorized representative for EPR in that second Member State. For producers operating across multiple jurisdictions, separately appointing representatives could create substantial costs and administrative complexity.

The Council identified this fragmented framework as a particular challenge for small and medium-sized enterprises, especially micro-enterprises. Its negotiating mandate aims to reduce disproportionate burdens while maintaining the PPWR's broader environmental objectives and EPR principles.

Which producers could qualify for the suspension?

Under the Council's position, a producer established in an EU Member State could be exempted from appointing an authorized representative in another Member State where the producer makes less than one metric ton of packaging, including the packaging of packaged products, available for the first time during a calendar year. The suspension would apply until Jan. 1, 2032, subject to the outcome of the legislative process.

The proposed relief would not eliminate the underlying EPR obligations. If a competent national authority determines that an exempted producer has failed to meet applicable EPR requirements, it could order that producer to appoint an authorized representative.

The Council's position also calls for the European Commission to review the suspension by Dec. 31, 2030. A broader reform of the EU's EPR framework is expected through the forthcoming Circular Economy Act.

What should packaging producers consider now?

The proposal could reduce costs and administrative requirements associated with EPR for qualifying EU-established producers, but it would not create a general exemption from PPWR compliance. Companies can continue evaluating where they place packaging on the market, the quantities involved in each Member State, their role in the supply chain, and applicable national EPR requirements.

Producers established outside the EU should also note that the Council's mandate maintains the existing treatment of third-country producers. Member States may continue requiring those producers to appoint an authorized representative when first making packaging or packaged products available in their territory.

The proposed amendment is one development within a much broader regulatory transition. The PPWR introduces extensive requirements for sustainable packaging, including obligations involving recyclability, recycled content, substances of concern, reuse, and packaging minimization. Companies can consider the potential authorized-representative relief within their broader PPWR readiness programs.