TLMI addresses regulations impacting label converters

TLMI’s Regulatory Affairs Committee (RAC) recently addressing many of the legislative and regulatory issues facing label converters. Bryan Vickers of Pace, LLP updated TLMI members on a wide range of pressing topics, from sustainability legislation to nationwide issues like tariffs.

Regarding tariffs, Vickers noted US Customs and Border Protection (CPB) has started to refund IEEPA issued tariffs to importers of record and importing. Refunds are being provided solely through the Customs Authorized Parameter Evaluation (CAPE) portal in the Automated Commercial Environment (ACE). According to Vickers, validated refunds are expected to be issued 60-90 days after they have been approved. Meanwhile, initial refunds are started going out.

The legality of tariffs have been front and center, too. Most recently, a split three-judge panel at the Court of International Trade (CIT) found the 10% global tariffs were illegal. The decision comes after small businesses sued the Administration. These tariffs were put in place after the IEEPA tariffs were struck down by the Supreme Court.

The court ruled 2-1 that Trump overstepped the tariff power that Congress had allowed the president under the law. The Administration is expected to appeal the decision, which would send the case to the US Court of Appeals for the Federal Circuit. Following this measure, the case could conceivably go to the Supreme Court.

Vickers also stated the USTR is holding a 4-day public hearing on the Sec. 301 investigation. This investigation will determine if state-supported excess capacity and forced labor practices in foreign nations are unfairly distorting global markets and harming manufacturing in the US.

“A range of label-related industries are testifying at the hearing, including plastics, aluminum, steel, paper and brand/CPG-facing trade associations,” said Vickers. “Some are seeking additional tariffs, some are seeking reductions in rates.”

Sustainability legislation

Extended Producer Responsibility (EPR) has been discussed at length in relation to the label and package printing industry. EPR is an environmental policy approach that makes manufacturers financially and physically responsible for the entire lifecycle of their products. EPR policy focuses on end-of-life management that entails recycling and disposal.

Most recently, EPR legislation has involved California. The final regulation for SB 54 (California’s EPR Program) was recently published. This officially kickstarts the program for producers. In addition to registration by June 1st for all producers, reporting and paying EPR fees, producers have other obligations under the Act. According to Vickers, producers ultimately are required to ensure enaction by 2032.

SB 54 includes multiple mandates. They include 100% of single-use packaging and single-use plastic food service ware sold in CA is recyclable or compostable. Plus, 65% of single-use plastic packaging and single-use food service ware will have to be recycled. And finally, SB 54 requires a 25% reduction, compared to 2023, in the sale or distribution of single-use plastic packaging and single-use food service ware.

On the East Coast, New York is once again considering EPR as legislation has been amended. Of the multiple states currently considering EPR, New York is considered the final state to seriously consider EPR prior to the end of 2026.

While changes have been made to New York’s legislation – specifically to simplify reporting – numerous packaging and paper-related industries are concerned about source reduction, recycled content requirements, and the remaining toxic elements in packaging.

Vickers stated that the Assembly and Senate Committees are expected to pass the legislation, but full passage by the legislature is deemed uncertain.

APR in action

Vickers addressed initiatives from the Association of Plastic Recyclers (APR), as well. APR’s Recycling in Action, launched in 2025, offers 36 recycling facility tours across 20 states.

“On these tours, visitors see how mixed materials are sorted into streams, learn why certain materials could or could not be recycled, and gain a better understanding of how they could support their local recycling.”