Recycling Labels Are Changing. Here's What It Means for Your Packaging

BY ff Fox Packaging | May 29, 2026

If you've heard talk about recycling label changes and California regulations, you're not imagining it. There's a lot happening right now, a major label system overhaul and a federal lawsuit, and depending on where you sell your product, one or both of these could affect how your bags are labeled.

Two Things Happening at the Same Time

How2Recycle, the recycling label program used on packaging across North America, is retiring its current label design and rolling out a new version called the How2Recycle Pro Label. This rollout began in September 2025. If your packaging currently carries a How2Recycle Legacy Label, there is a transition window to make the switch.

The key dates to know:

September 2025 — New Pro Labels became available to members
August 2025 through February 1, 2026 — Transition period; either label version is accepted
February 1, 2026 — Legacy Labels can no longer be submitted for approval
October 4, 2026 — California compliance deadline under SB 343

The new Pro Label design went through multiple rounds of consumer research before launch. The core format is similar (it still tells consumers what to do with the package) but the layout, language, and iconography have been updated for clarity. There is also an optional upgrade called How2Recycle Plus that includes a QR code linking to localized recycling information, though that is a separate membership tier and not required.

California SB 343 Is Being Challenged in Court

California's SB 343, known as the Truth in Recycling law, was passed in 2021 and is set to take effect on October 4, 2026. The law restricts who can use the chasing arrows recycling symbol on their packaging. Under SB 343, a recyclable claim (including the chasing arrows) is only permitted if the packaging meets four specific criteria set by the state: consumer access to recycling, sortation infrastructure, packaging design for recyclability, and the absence of certain chemicals like PFAS.

In March 2026, a coalition of 18 industry groups, including the Flexible Packaging Association, Western Growers Association, and several California produce commissions, filed a federal lawsuit to block enforcement of the law before it takes effect. The lawsuit argues two main points.

First, that SB 343 violates the First Amendment by restricting truthful, accurate speech. Specifically, the coalition argues that a producer should be able to say their packaging is recyclable if it actually is, even if it does not meet every one of California's criteria. The state's criteria, they argue, do not reflect how recycling actually works across different municipalities and local programs.

Second, that the law is unconstitutionally vague under the Fourteenth Amendment. Because recyclability under SB 343 depends partly on decisions made by local recycling program operators, decisions outside the control of producers.

The lawsuit also argues that removing recycling guidance from packaging is likely to reduce consumer participation in recycling, not improve it. When a bag does not tell someone how to recycle it, that material is more likely to end up in the trash.

California and its supporters hold that SB 343 is a consumer protection measure. The argument on the other side is that most single-use plastics in the state are recovered at low rates, and that the chasing arrows symbol has misled consumers into thinking materials are being recycled when they are not.

The court has not yet ruled on the injunction request. Until it does, or until a broader ruling comes down, the October 4, 2026 compliance date remains on the books.

What the Difference Is Between These Two Things

How2Recycle and SB 343 are related but not the same thing.

How2Recycle is a voluntary labeling program. Brands join as members, submit their packaging for review, and receive label approval based on the program's standards. The Pro Label rollout is a program-level update, a design change driven by consumer research and a need to stay ahead of the regulatory environment.

SB 343 is a state law. It is not a label program, it is a restriction on what any producer can put on their packaging sold in California, regardless of whether they participate in How2Recycle or any other program.

The two are connected because How2Recycle has specifically acknowledged SB 343 in its July 2025 Guidelines for Use, and the Pro Label transition is partly designed to support compliance. But being a How2Recycle member does not automatically mean SB 343 compliance, and the lawsuit outcome could change what compliance even looks like.

What This Means if You Sell Into California

If your produce goes to California retail, this is worth paying attention to now. Label changes take time. Print runs have lead times. If your bags need to be updated to comply with SB 343's criteria by October 4, 2026, the window to make those changes without disrupting your supply chain is getting shorter.

The lawsuit could result in enforcement being paused or the law being struck down. It could also go nowhere, leaving the October deadline intact. Planning around a court outcome that has not happened yet is not a reliable strategy.

Questions About Your Current Bags

If you are a Fox Packaging customer and you are uncertain whether your current bags would meet SB 343 criteria, or if you need to think through label updates as part of a packaging change, we are happy to work through it with you. The materials that go into a flexible produce bag, and how those materials are classified under SB 343, depends on the specific construction, and it is worth looking at your bags specifically rather than making broad assumptions.