Board Converting News, November 3, 2025

Navigating EPR (CONT’D FROM PAGE 16)

Securing a verified supply of PCR is a critical near-term challenge. • Producers must pay close attention to state-by-state variations. • Scrutinize supplier processes. Some EPR laws exclude PCR derived from mass balance or chemically recycled sources. • Establish robust internal systems to track and mea- sure the impact of PCR usage. Tools like Life Cycle As- sessments (LCAs) and supplier impact calculators help quantify these metrics. From Compliance To Competitive Advantage Non-compliance with packaging EPR regulations is not a viable business risk. Penalties, such as California’s po- tential $50,000 per day per violation, can quickly eclipse the cost of proactive adaptation. Furthermore, states may prohibit the sale of products in non-compliant packaging, severely impacting market access. Non-compliance may even result in suspension or loss of packaging distribution licenses. U.S. producers who prioritize the three core tenets are de-risking their supply chain, optimizing material costs, and demonstrating market leadership. Proactive compli- ance is the clear path to advancing broader sustainabili- ty goals while ensuring business continuity in this rapidly evolving regulatory environment.

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November 3, 2025

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