PPWR is a new EU law about packaging, and it covers pallets too. It starts applying from 12 August 2026. In simple terms, packaging sold into the EU will need to be easier to recycle, made with some recycled material, free of certain heavy metals above a set limit, and in the case of pallets and similar transport packaging, built to be reused rather than thrown away after one trip. It doesn't matter if the packaging was made in the EU or imported from somewhere like Malaysia. The rule applies either way.
A pallet made from a single plastic type, instead of mixed materials bolted or glued together, is much easier to recycle. That's the direction the EU wants packaging design to move in.
Pallets are also expected to include a share of recycled material over time. One thing worth knowing here: it has to be material recovered from actual used consumer products. Factory offcuts that get reground and reused don't count the same way under this rule, even though people often call both "recycled."
Reusability matters too. A pallet built to survive many trips instead of just one fits where the regulation is heading.
The one requirement that applies immediately, from August 2026, is a limit on heavy metals. Lead, cadmium, mercury, and hexavalent chromium combined can't go above 100mg per kg of packaging material.
Picking a supplier who's already building toward these standards now is a lot easier than switching suppliers later once your EU customers start asking for it.
Butterfly Plastic (Teo Mah Poh Plastic Industry Sdn Bhd) has manufactured plastic products in-house in Ipoh, Malaysia since 1990, under ISO 9001 and ISO 14001 certified management systems. Our pallets are built from single-material HDPE/PP construction and designed for repeat use, which lines up with where PPWR is pushing the industry. Since we design, tool, and produce everything ourselves, we can work directly with you on material specification as your EU customers' requirements get more specific, instead of offering one fixed product with no room to adjust.
Explore our plastic pallet range, or get in touch to talk through your export timeline and specification needs directly with our team.
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