Alliance Targets Plastic Film Waste as Regulations Loom

CHICAGO, IL – March 05, 2026 – In a significant move to combat one of recycling's most persistent challenges, sustainable material science leader Charter Next Generation (CNG) has joined the US Flexible Film Initiative (USFFI). The partnership places a key materials innovator inside a coalition of consumer brand giants, signaling an escalation in the industry's race to create a viable, circular economy for plastic bags, wraps, and pouches before stringent new regulations render them obsolete.

CNG becomes only the second non-consumer packaged goods (CPG) company to join the initiative, which was founded by household names like PepsiCo, Nestlé, Mars, and General Mills. The alliance's stated mission is to prove that flexible films can be successfully collected, sorted, and remade into new products on a national scale. By bringing its materials expertise to the table, CNG’s membership underscores a critical shift from discussion to action, driven by a rapidly closing window of legislative patience.

The Regulatory Gauntlet: California's Laws Force Industry's Hand

The urgency behind this collaboration is being fueled in large part by a seismic legislative shift in California, which often serves as a bellwether for national policy. The state's one-two punch of Senate Bill 343 (Truth in Recycling) and Senate Bill 54 (Producer Responsibility Act) has created a non-negotiable timeline for the packaging industry to solve its waste problems.

SB 343 fundamentally redefines what can be labeled as "recyclable." As of this year, for a package to bear the familiar chasing-arrows symbol, it must not only be technically recyclable but also be actively collected by programs serving at least 60% of California's population and sorted by facilities that handle a similar majority of the state's recycling streams. With curbside access for flexible films currently available to a mere 2% of U.S. households, virtually no flexible packaging meets this standard today.

Layered on top is SB 54, a sweeping Extended Producer Responsibility (EPR) law that makes manufacturers financially responsible for the entire lifecycle of their packaging. The law sets aggressive targets, including a 65% recycling rate for single-use plastics and a 25% reduction in all plastic packaging by 2032. Companies that fail to meet these goals or use packaging deemed non-recyclable under SB 343 will face steep fees managed by a Producer Responsibility Organization (PRO). These penalties, which can reach $50,000 per violation per day, are designed to fund pollution mitigation and create a powerful financial incentive to design for true circularity.

This regulatory framework, with similar EPR laws now active or pending in states from Oregon and Colorado to New York and Maryland, has effectively ended the era of voluntary, small-scale recycling efforts. For flexible films, the message is clear: evolve or face significant financial consequences.

An Alliance of Brands and Innovators

The USFFI represents a strategic response to this new reality. Rather than relying on consumers to find sparse drop-off locations, the initiative focuses on bolstering the recycling infrastructure itself. The core of its strategy is to provide direct operational funding to Material Recovery Facilities (MRFs) and reclaimers, bridging the economic gap that has historically made sorting and processing flimsy, lightweight films an unprofitable venture.

CNG's role in this alliance is pivotal. While the CPG brands provide the market demand and funding, CNG brings the deep material science knowledge required to make the system work. The company will contribute its expertise in designing films that are not only high-performance but also compatible with emerging recycling technologies. This includes developing packaging that is easier to sort and reprocess, and, crucially, creating robust end markets by incorporating more post-consumer recycled (PCR) content into new films.

"Meeting future curbside recycling requirements is a high priority for the flexible film industry, and one we cannot wait for others to solve," said Kristin Edie, Director of Sustainability and Regulatory at CNG, in the company's announcement. "Economic barriers and limited end markets have long challenged film recycling. By combining our expertise in sustainable film design with USFFI, CNG is committed to helping make flexible films a practical, scalable part of the circular economy."

From Waste Stream to Value Stream

For decades, flexible films have been a recycling nightmare. Often made of multiple, laminated layers of different plastics, they are difficult to identify with optical sorters at MRFs. Their tendency to get tangled in machinery makes them a source of contamination and costly shutdowns. The result is that the vast majority of this material, despite its light weight, ends up in landfills or as environmental litter.

CNG is tackling this problem from the source with its GreenArrow™ portfolio of sustainable films. The company has already received over 450 How2Recycle® pre-qualification letters for its recycle-ready film designs, which are engineered to be compatible with store drop-off recycling streams—the primary collection method for films today. The company is a major demand generator for recycled material, offering films that incorporate up to 65% PCR content, with some options even being FDA-approved for food contact. This demonstrates a viable pathway for turning old packaging back into new, high-value products.

The market has responded with enthusiasm. CNG reported 100% sales growth for its GreenArrow™ portfolio in the last fiscal year, with products containing PCR materials growing over 400%. By securing a stable supply of recycled material through initiatives like USFFI and proving its commercial viability in new products, CNG is helping to build the business case that has long been the missing link in flexible film recycling.

A Crowded Field for a Common Goal

The partnership between CNG and USFFI does not exist in a vacuum. It is part of a larger, industry-wide mobilization to address the plastics crisis. Other significant players include The Recycling Partnership's Film & Flexibles Recycling Coalition, which funds pilot projects and technology development, and the Plastics Industry Association's Flexible Film Recycling Alliance (FFRA), which focuses on public education and expanding collection access through its vast directory of drop-off locations.

Together, these overlapping and collaborative efforts represent the most significant push to date to solve the flexible packaging puzzle. The convergence of brand owner commitment, material science innovation, and intense regulatory pressure has created a unique moment of opportunity. As states across the nation look to California's legislative model, these collaborative efforts are rapidly shifting from best practice to a critical requirement for the future of the American packaging industry.