The German federal government is drafting a Kunststoffverpackungsteuergesetz that would take effect on 1 January 2027, with companies liable to pay from 1 July 2027. The levy is set at EUR 550 per tonne of plastic (55 cents per kilogram) on plastic packaging, film and multi-material packaging where the plastic share exceeds 5 percent, with a possible exemption for recycled-content packaging. The bill is still a draft and not yet passed into law.
Why this mattersA per-tonne plastics levy would raise costs across food, beverage and consumer-goods packaging and push brand owners and converters toward paper, board or recycled-content alternatives.
- Proposed tax rate: EUR 550 per tonne of plastic, equivalent to 55 cents per kilogram.
- Law intended to enter into force on 1 January 2027; companies would start paying from 1 July 2027.
- Applies to plastic packaging and films, and multi-material packaging where plastic content exceeds 5 percent.
- German ministry estimates the tax would add about 0.28 cents to a yogurt cup and about 1.93 cents to a large PET bottle.
- Draft includes a possible exemption for packaging made from recycled plastic.
- Measure is intended to let Germany pass on part of the EU's existing per-tonne charge on non-recycled plastic packaging waste, which it has funded from the federal budget since 2021.
A coalition of South Korean publishers is organising a joint damages lawsuit against the six printing paper makers found by the Korea Fair Trade Commission to have fixed prices between February 2021 and December 2024. The KFTC set fines at KRW 338.325bn (USD 253.8m) in April, then cut the final amount to KRW 144.1bn (USD 108.1m) after leniency applications. The coalition will recruit claimants from 13 October to 15 November and file in December, putting publishers' losses at more than KRW 400bn (USD 300m).
Why this mattersCustomer-led damages claims add a second front of financial exposure for the cartel members beyond the regulatory fines and reset orders already under appeal.
- Publishing-industry coalition recruits claimants from 13 October to 15 November 2026 and plans to file a joint damages claim in December
- Publishing sector puts its own losses from the collusion at more than KRW 400bn (USD 300m)
- KFTC imposed fines of KRW 338.325bn (USD 253.8m) in April, reduced to a final KRW 144.1bn (USD 108.1m) under the leniency programme
- Hansol Paper, Moorim P&P, Moorim Paper, Moorim SP, Korea Paper and Hongwon Paper account for about 95% of domestic printing paper sales and held at least 60 meetings between February 2021 and December 2024, agreeing seven price increases
- Average printing paper prices rose about 71%, from KRW 841,000 to KRW 1,439,000 per tonne (USD 631 to USD 1,080), on sales of about KRW 4.03 trillion (USD 3.02bn)
- Seoul High Court suspended the price-reset orders for four of the six companies pending the main proceedings; Korea Paper and Hongwon Paper were referred to prosecutors
Nippon Dynawave Packaging Co. LLC, which runs a Pacific Northwest pulp and paper mill where 11 employees died when a chemical tank burst in May 2026, has told a Washington judge that a wrongful death suit over the incident cannot proceed. The company argues the claim is barred by the state's workers' compensation law, which generally shields employers from civil suits over workplace injuries. The filing is dated 9 October 2026.
Why this mattersA successful immunity defence would limit civil liability exposure for pulp and packaging mill operators after mass-fatality workplace incidents.
- A chemical tank burst at the Pacific Northwest mill in May 2026, killing 11 employees.
- Nippon Dynawave Packaging Co. LLC made its filing in Washington state court on 9 October 2026.
- The company argues Washington's workers' compensation law bars the wrongful death suit from proceeding.
Saudi producer Middle East Paper Co (MEPCO) reported second-quarter 2026 revenue of SAR 298.0m, up 8% year on year, as containerboard and industrial paper sales grew 17% and gross margin rose to 19% from 13%. The company invested SAR 238.9m in capital work-in-progress during the quarter, with its PM5 containerboard machine and TM6 tissue line still expected to begin soft operations in late 2027.
Why this mattersContinued capex and margin recovery despite earlier project delays suggest MEPCO is sustaining its capacity expansion through a period of rising regional containerboard demand.
- Q2 2026 revenue reached SAR 298.0m, up 8% year on year
- Containerboard and industrial paper sales rose 17% in the quarter
- Gross margin improved to 19% in Q2 2026 from 13% a year earlier
- Net profit rose to SAR 15.3m in Q2 2026
- The company invested SAR 238.9m in capital work-in-progress during the quarter for its PM5 and TM6 projects
- PM5 and TM6 are on track to begin soft operations by late 2027
A paper and board recycling plant is under construction in Pavlodar, Kazakhstan, with an investment of over KZT 10bn. The plant is expected to start operations in 2028 with capacity to process up to 75,000 tonnes of recovered paper a year, reducing reliance on imported raw material and creating about 250 jobs.
Why this mattersNew domestic recovered-fibre capacity in Central Asia cuts a regional corrugated converter's reliance on Russian-sourced raw material.
- Plant investment exceeds KZT 10bn
- Planned annual processing capacity of 75,000 tonnes of recovered paper
- Start-up expected in 2028
- About 250 new jobs expected to be created
- The operator's existing corrugated packaging plant currently buys raw material from Russia
- Production halls are currently under construction and equipment installation sites are being prepared
Malaysian paper and packaging manufacturer Muda Holdings has acquired Singapore-based stationery distributor Wenfang Pte Ltd for S$1.42m (RM4.26m), via its 70%-owned subsidiary Intrapac (Singapore). The deal adds Wenfang's agency distribution rights for brands including Deli, Comix, Hopax, Kapamax and TiTi to strengthen Muda's position in the Singapore stationery market.
Why this mattersThe deal extends Muda from paper and packaging manufacturing into Singapore stationery distribution, adding five agency brands for USD 1.11m.
- Deal value S$1.42m (USD 1.11m), equivalent to RM4.26m
- Buyer is Intrapac (Singapore) Pte Ltd, 70%-owned subsidiary of Muda Holdings
- Sellers were Kang Yiang Li and Kuah Lian Lee
- Wenfang distributes stationery under agency brands Deli, Comix, Hopax, Kapamax and TiTi in Singapore
- Muda Holdings shares rose 1.8% to RM1.70, giving a market capitalisation of RM518.59m
- Announcement made in a filing with Bursa Malaysia
Asia Symbol (Shandong) Pulp and Paper is completing the second phase of its tissue project, which adds 150,000 tonnes a year of capacity for facial tissue, toilet paper and kitchen paper sold under the Vinda brand. The TM35 and TM36 machines are in the final stage of installation and two soft-pack converting lines are in commissioning. The first line is due to start up in November 2026, with all lines at full production in the first half of 2027.
Why this mattersA 150,000-tonne addition at a single Shandong site raises branded converted-tissue supply in China at a time of already heavy domestic capacity growth.
- Phase two at Asia Symbol (Shandong) Pulp and Paper adds 150,000 tonnes a year of tissue capacity.
- Output will be sold as facial tissue, toilet paper and kitchen paper under the Vinda brand.
- TM35 and TM36 are in the final stage of installation; two soft-pack converting lines are in commissioning and testing.
- More than 550 construction workers are on site.
- The first production line is expected to start up in November 2026.
- All lines are targeted to reach full production in the first half of 2027.
Dow and Amcor have agreed a strategic collaboration pairing Dow's low-carbon polyethylene and resin research with Amcor's flexible packaging manufacturing and brand-customer network. The partnership targets food and personal care flexible packaging, covering material-packaging co-development, supply-chain integration and standardised carbon-footprint data for customers' ESG reporting. The two companies previously co-developed a mono-material all-PE recyclable toothpaste tube as a pilot project.
Why this mattersA materials-converter alliance aimed at scaling low-carbon mono-material flexible packaging could help brand owners meet Scope 3 and PPWR-driven recyclability targets at lower cost.
- Dow and Amcor have agreed a strategic collaboration on low-carbon packaging, reported on 12 October 2026.
- The partnership focuses on flexible packaging for food and personal care.
- Work covers low-carbon resin and packaging co-development, early involvement of value-chain partners, and verified carbon-footprint data for customers' reporting.
- The two companies previously co-developed an all-PE recyclable toothpaste tube.
- No investment amount, capacity figure or implementation date was disclosed.
Körber is preparing to close its manufacturing site in Konstanz, Germany, which employs 450 people making letter and parcel sorting machines, and is in talks to relocate production abroad. The Hamburg-based group acquired the business from Siemens in 2022, when it was described as a market leader in mail and parcel sorting equipment.
Why this mattersMoving mail and parcel sorting equipment production out of Germany reverses the 2022 Siemens purchase and shifts supply for logistics customers abroad.
- Körber plans to close its Konstanz production site
- The site employs 450 people making letter and parcel sorting machines
- Körber is in talks to relocate production abroad
- Körber acquired the Konstanz business from Siemens in 2022
- The business was described as a market leader in its field at the time of acquisition
Unicharm is piloting a closed-loop recycling scheme for used nappies in two local authorities in Kagoshima Prefecture, Japan, recovering cellulose pulp for reuse in new nappies rather than downcycling it into paper or fuel. The company plans to extend recovery to plastics and absorbent materials by 2028, as Japan's government targets 100 municipalities starting nappy recycling by 2030.
Why this mattersA working closed-loop route for a mixed-material disposable product could offer a template for recovering hard-to-recycle multi-material packaging and absorbent hygiene goods elsewhere.
- Japan produced 9.6 billion adult nappies and 8 billion baby nappies in 2024, reversing the historic market balance.
- Soiled nappy waste in Japan is projected to reach 2.6 million tonnes a year by 2030, up from about 2.2 million tonnes in 2020.
- The Kagoshima trial, using Unicharm's process, achieves an 80% recycling rate, four times the cited national average for this waste stream.
- Processing steps include shredding, washing, separation of cellulose, plastics and superabsorbent polymers, and ozone treatment of pulp for sterilisation and deodorisation.
- Unicharm aims to add recycling of plastics and absorbent materials into new products by 2028.
- Japan's government wants 100 of its more than 1,700 municipalities to have begun work on nappy recycling by 2030.
Keurig has opened limited US preorders for Alta, a USD 499.99 single-serve brewer that replaces plastic and aluminium pods with pressed coffee pucks called AltaRounds. Keurig says each round, coating included, is certified for both home and commercial composting; the coating is plant-based and seaweed-derived. The early-access bundle runs to 15 October 2026 with shipping from 21 October, and the pucks still ship in individual plastic freshness wrappers that Keurig says it will replace with paper.
Why this mattersRemoving the pod itself from a single-serve platform would take multi-material plastic and aluminium volume out of the category if the format gains share.
- Keurig's Alta brewer is priced at USD 499.99 and opened for limited US preorder this month.
- AltaRounds replace plastic and aluminium single-serve pods with pressed coffee pucks bound by a plant-based, seaweed-derived coating.
- Keurig states the rounds are certified for both home and commercial composting.
- Preorder bundle includes the brewer, six boxes of rounds and glassware, with the offer running through 15 October and shipping starting 21 October.
- The pucks currently ship inside individual plastic freshness wrappers, which Keurig plans to replace with paper.
- Compostability outcomes depend on local composting access, which varies by city.
German beverage producer Rhodius Mineralquellen and machinery maker KHS have converted an existing filling line at Burgbrohl, Germany to handle resealable aluminium bottles, restoring output to 50,000 containers per hour. The nine-month conversion, completed with commissioning in July 2026, marks the first use of this high-performance format on a high-speed line in Germany. Rhodius is launching a 400ml water bottle and a Halloween special edition of its Bluna brand in the new format, with further product launches planned for year-end.
Why this mattersA first high-speed German line for resealable aluminium bottles could open a new RTD packaging format in Europe, where the technology remains rare outside Japan.
- The conversion took about nine months with production continuing, and commissioning took place in July 2026.
- The converted line runs at up to 50,000 containers per hour, the output of the canning line it replaced.
- Rhodius imports the aluminium bottles pre-painted from Japan, as no European manufacturer currently makes them.
- Rhodius installed KHS's Innofill Glass DNRF long-tube filler in place of a conventional dosing filler.
- Further new equipment includes the KHS Innopal AS 1 HZ, the Innoket Neo labelling machine and the Innocheck LIS label inspection system.
- Rhodius decided in 2025 to add aluminium screw-top bottles; it is a contract filler for the Bluna and afri cola brands and runs six KHS lines.
India's Plastic Waste Management (Amendment) Rules 2026 turn recycled-content targets into binding obligations: producers, importers and brand owners must put at least 30% recycled plastic into rigid packs such as PET and HDPE bottles and jars in FY26, with the threshold rising ten points a year to 60% by FY29. Flexible packaging targets double to 20% and multi-layer packaging to 10% over the same period, while shortfalls may be carried forward over three years provided at least a third is cleared each year. Gujarat recyclers including JB rPET, Chemco and Deluxe Recycling are already adding rPET and multi-layer capacity.
Why this mattersMandated recycled content above half of each rigid pack redirects a substantial slice of India's 1.56mt annual PET-chip demand from virgin resin producers to recyclers.
- Rigid packaging recycled-content mandate rises from 30% in FY26 to 60% by FY29, up ten percentage points annually under the Plastic Waste Management (Amendment) Rules 2026.
- Flexible packaging target doubles from 10% to 20%; multi-layer packaging target doubles from 5% to 10% over the same period.
- The 2026 amendment allows compliance shortfalls to be carried forward over three years, provided at least a third is cleared each year.
- India consumed 1.56 million tonnes of PET chips in FY25, with 97% produced domestically.
- JB rPET's Surat plant is rated at 58,000 tonnes/year; Deluxe Recycling doubled multi-layer recycling capacity to 27,400 tonnes/year with a new Sarigam plant.
- Chemco opened a new PET recycling plant in Gujarat in January 2026.
Valmet has won an order from Anhui Linping Circular Development for a complete board making line, PM 9, for its mill in Xiao County, China, targeting lightweight fluting and liner grades. The order value was not disclosed; it is booked in Valmet's third-quarter 2026 orders received, with start-up scheduled for 2028. Valmet previously supplied an earlier board machine, PM 8, to the same site.
Why this mattersAdds dedicated lightweight fluting and liner capacity in China, reflecting converters' continued shift toward lower-weight containerboard substrates.
- Anhui Linping Circular Development ordered a complete board making line, PM 9, from Valmet
- PM 9 is designed for lightweight fluting and liner grades
- Start-up of PM 9 is scheduled for 2028
- Valmet previously delivered board machine PM 8 to the same Xiao County, China site
- Order value was not disclosed
- Order is included in Valmet's Q3 2026 orders received
Kazakhstan Petrochemical Industries (KPI) has signed agreements with local converters FIBC and Taraz Plastic to raise domestic consumption of its polypropylene under a government Investment Acceleration programme. FIBC, which makes PP bags, has expanded capacity and installed new equipment to produce multifilament yarn, a product new to Kazakhstan; Taraz Plastic, which makes hay-baling twine from KPI's polypropylene, plans a capacity expansion and higher raw-material purchases.
Why this mattersA new Kazakh resin supplier is building local downstream demand, a step that could reduce the region's reliance on imported polypropylene packaging materials.
- KPI signed agreements with FIBC and Taraz Plastic under Kazakhstan's Investment Acceleration programme.
- FIBC produces bags from KPI polypropylene and has installed equipment for multifilament yarn, not previously made in Kazakhstan.
- Taraz Plastic uses KPI polypropylene to make hay-baling twine and plans to expand production and raw-material purchases.
- The programme assists domestic polypropylene processors with equipment purchases and capacity expansion.
Ruifeng Paper, a unit of China's Dahe Paper, reported monthly output and sales above 4,000 tonnes for the first time in September, a year after converting existing equipment into a 50,000 tonne-a-year chemi-mechanical fluff pulp line. The pulp is sold into the hygiene products sector, including care pads, and the company says it plans further capacity expansion.
Why this mattersA new domestic Chinese fluff pulp source for hygiene products adds supply to a market historically reliant on imports, with knock-on effects for regional pulp pricing.
- The chemi-mechanical fluff pulp line has 50,000 tonnes a year of capacity.
- Monthly output and sales exceeded 4,000 tonnes for the first time in September 2026.
- The line was built by converting existing equipment over about one year.
- Output is sold into the hygiene products sector, including care pads.
- The project is part of Dahe Paper's pulp and paper transformation programme.
- The company says it plans further capacity expansion and brand building.
The UK Environment Agency has said it will not normally pursue enforcement against English producers that meet at least 83% of their 2026 plastic packaging recycling obligations under the EPR PRN/PERN system, after data showed the country running well behind target. Monthly reports to August put recycling at about 49% of the roughly 1.2 million tonne annual obligation with 67% of the year elapsed, driving PRN/PERN prices from about GBP 350 (USD 463) in May to about GBP 600 (USD 794) in early October. Prices fell back to GBP 500 (USD 662) after the announcement, and the regulatory position statement is due to be withdrawn by 31 January 2027.
Why this mattersThe relaxed threshold directly cuts near-term compliance cost and PRN/PERN price risk for every large UK plastic packaging producer and obligated brand owner.
- The Environment Agency will not normally enforce against English producers meeting at least 83% of their 2026 plastics recycling obligations.
- Minimum proportions are set at 90% for wood and 92% for steel; other materials must still be met in full.
- UK plastic packaging recycling stood at about 49% of the year's obligation by August, with 67% of the year elapsed.
- The EA estimates almost 1.2 million tonnes of plastic packaging recycling is needed in 2026 to meet EPR obligations.
- PRN/PERN prices rose from about GBP 350 (USD 463) in May to GBP 550-560 (USD 728-741) at end-August and about GBP 600 (USD 794) in early October.
- Prices fell to GBP 500 (USD 662) after the announcement, with one market participant expecting about GBP 400 (USD 529); the regulatory position statement is scheduled to be withdrawn on 31 January 2027.
Pakistan's government has told traders in Islamabad to clear single-use plastic bag stock by 20 October 2026 and return it to manufacturers, ahead of a pledged city-wide plastic-free deadline of 31 December 2026 covering bags, water bottles and other items. The federal environmental regulator has already raided and sealed three factories, seizing 1.4 tonnes of polythene bags, while food packaging and bottled water (exempt until 2028) remain outside the ban's scope.
Why this mattersA city-wide single-use plastic ban, if enforced this time, would force Islamabad-area bag manufacturers and traders to shift to alternative materials on a tight timeline.
- Islamabad targets a complete end to plastic products, including shopping bags of all thicknesses and water bottles, by 31 December 2026
- Traders have until 20 October 2026 to return single-use bag stock to manufacturers and switch to alternatives
- Three factories in Islamabad have already been raided and sealed, with 1.4 tonnes of polythene bags confiscated
- Federal Board of Revenue asked to stop auctioning seized plastic goods, a channel the minister said puts imported bags back into circulation
- Food packaging for bread, rice and pulses is exempt as it is not classed as single-use carry bags
- Bottled water is exempt from the ban until 2028
Assocarta, the Italian paper industry association, told the Miac 2026 trade fair in Lucca that electricity prices have risen 127% since February 2026, to about EUR 80/MWh, pushing the sector's gas bill to EUR 1.3bn, up 50.6% year on year. The association also flagged a 31% rise in Asian paper imports into Italy in the first half of 2026 and projects EU ETS costs of EUR 215m a year, over EUR 1bn over five years, 40% above the 2020-2025 period.
Why this mattersRising energy costs and Asian overcapacity threaten Italian mill utilisation and the paper-for-recycling loop that supplies roughly 70% of domestic mills' raw material.
- Average electricity price up 127% since February 2026, from EUR 35 to about EUR 80 per MWh, Assocarta said
- Sector gas bill reached EUR 1.3bn, up 50.6% versus 2025
- Assocarta forecasts 2026 paper production down 30% versus 2022, with plant utilisation at 75% against a historical 90%
- Asian paper imports into Italy rose more than 31% in the first half of 2026
- Projected EU ETS cost for the sector is EUR 215m a year, over EUR 1bn over five years, 40% above 2020-2025 levels
- Lucca's paper and machinery cluster comprises 324 companies, 11,000 employees and EUR 5.6bn revenue, including over EUR 1.8bn from exports
The IKV-coordinated Loopcycling consortium has completed its first phase, qualifying post-consumer LDPE recyclate to DIN Spec 91521 quality level B for rinse-off cosmetics packaging. The group is now launching a second phase for 2027-2028 that extends the mechanical recycling process chain to printed and metallised flexible polypropylene film, and is seeking additional international partners, including recyclers, sorters, machine builders, resin and film producers and brand owners, by the end of 2026.
Why this mattersCosmetics-grade recyclate from household LDPE waste widens the use cases for mechanically recycled flexible film, a format that has lagged rigid plastics in closed-loop recycling.
- Phase one ran from 2025 to 2026 under coordination by the Institut für Kunststoffverarbeitung (IKV)
- Post-consumer LDPE recyclate reached DIN Spec 91521 quality level B for rinse-off cosmetics packaging, confirmed by 50 percent ethanol-water migration tests
- De-inking of printed film was identified as the key lever, reducing defects and improving mechanical film properties
- Multi-layer composite films of mixed polymers remain a material challenge
- Loopcycling 2 (2027-2028) extends the process chain to printed and metallised flexible PP packaging
- IKV is recruiting additional international partners by the end of 2026, including recyclers, sorting and washing specialists, machine builders, resin producers, film makers and brand owners
Perum Bulog, Indonesia's state food logistics agency, plans to build a plastic sack factory, starting in Jakarta, to supply its own rice packaging needs. A director said the move follows improved finances, with profit of IDR 2.4 trillion to end-September 2026 projected to reach IDR 3 trillion by year-end, and that further plants are planned on other major islands, though no investment figure, capacity or timeline was given.
Why this mattersA state buyer moving to produce its own packaging in-house would remove captive demand from Indonesia's plastic sack converters if the plan proceeds.
- Perum Bulog plans a plastic sack factory in Jakarta as its first site, to be followed by plants on other major Indonesian islands
- Director Ahmad Rizal Ramdhani said Bulog has never had its own sack factory despite decades of operation
- Bulog's profit reached IDR 2.4 trillion by end-September 2026, projected to rise to IDR 3 trillion by year-end
- Bulog also plans to reactivate damaged Grain and Rice Processing Unit (UPGB) infrastructure
- No investment amount, production capacity or construction timeline was disclosed
