The United States packaging sector is entering a new phase of environmental regulation. Federal lawmakers and state governments are pursuing measures designed to reduce waste, improve the accuracy of sustainability claims and limit the use of difficult-to-recycle materials.
For packaging manufacturers, converters, brand owners and foodservice suppliers, the direction of travel is becoming increasingly clear: greater scrutiny of environmental claims and tighter controls on packaging materials.
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One of the most significant developments is growing support for the Packaging and Claims Knowledge (PACK) Act. The proposed federal legislation aims to create a consistent national framework for environmental claims on packaging, including terms such as “recyclable”, “compostable” and “reusable”.
At the same time, states including Virginia and New York are strengthening restrictions on polystyrene foam products, reflecting a broader effort to reduce problematic waste streams.
Why the PACK Act matters for packaging claims
Environmental marketing claims have become a major compliance issue across the United States. In recent years, several states have introduced their own rules governing how packaging can be labelled and marketed.
This has created a complex regulatory landscape for businesses selling products nationwide.
The proposed PACK Act seeks to address this challenge by establishing a harmonised federal framework overseen by the Federal Trade Commission (FTC). Supporters argue that a national standard would provide greater clarity for consumers while reducing compliance burdens for companies operating across multiple states.
The legislation is intended to create consistent requirements for claims relating to recyclability, compostability and reusability, replacing the current patchwork of state-level approaches.
For packaging businesses, the potential benefits are significant. A unified system could simplify package design, artwork approvals, regulatory reviews and supply chain management.
It could also reduce the risk of conflicting requirements between states and help build consumer confidence in environmental labelling. Industry organisations supporting the proposal have argued that clear and science-based standards are essential for effective recycling and circular economy initiatives.
State action continues to shape material choices
While federal discussions continue, state governments are moving ahead with their own waste-reduction measures. Expanded polystyrene foam remains a key target because it is difficult to recycle, can easily break into smaller pieces and often becomes litter in the environment.
New York already prohibits many single-use expanded polystyrene foodservice containers and loose-fill packaging materials.
The state has now expanded its restrictions to include certain foam containers used for cold storage, with the new requirements taking effect from 1 January 2026. State regulators have cited concerns about litter, waste management challenges and the material’s limited recyclability.
Virginia has also moved forward with phased restrictions on foam foodservice containers, adding to a growing list of US jurisdictions limiting the material’s use. These measures reflect a broader trend among state regulators seeking to reduce packaging waste and encourage the adoption of alternative materials.
For foodservice operators and packaging suppliers, the expansion of foam bans is increasing demand for fibre-based, recyclable and compostable alternatives. As more jurisdictions adopt similar policies, businesses are reassessing material portfolios to ensure long-term regulatory compliance.
What packaging companies should watch next
The combination of federal standardisation efforts and state-level material restrictions is reshaping packaging strategy across the United States. Although the PACK Act has not yet become law, its growing support highlights industry demand for regulatory consistency and clearer rules on environmental claims.
At the same time, state governments continue to act independently on waste reduction and material bans.
Packaging companies should monitor both developments closely. Environmental claims are becoming a more important area of compliance, while material selection is increasingly influenced by waste management policies and circular economy objectives.
Businesses that invest in verifiable sustainability claims, transparent labelling and packaging formats aligned with evolving regulations are likely to be better positioned as the regulatory landscape continues to develop.
The broader message for the industry is straightforward. Regulators are focusing not only on what packaging is made from, but also on how its environmental benefits are communicated.
As waste reduction remains a policy priority across the United States, packaging design, labelling and material innovation will remain at the centre of regulatory attention for years to come.
