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Japan Recycled Plastic Materials

Japan is tightening its policies on recycled materials use, creating both compliance requirements and market opportunities for U.S. companies that supply recycled plastics, components, or related technologies. By engaging with initiatives such as the Sustainable Plastics Initiative (SusPla) and aligning with Japan’s new government recycling targets, U.S. firms have a chance to enter or expand in Japan’s growing circular economy market, and position themselves as trusted partners to major Japanese manufacturers across automotive, consumer goods, and packaging sectors.

Similar to Europe, Japan is enacting legislation to require the use of recycled materials across various industrial sectors such as automotive, consumer appliances, and packaging. In February 2025, Japan’s Cabinet approved amendments the Resource Circulation Act, including provisions requiring companies to submit plans and reports regarding their use of recycled resources. Covered businesses must therefore respond and adapt to these regulatory changes.

According to data from Japan’s Plastic Waste Management Institute, in 2023 Japan generated 7.69 million tons of plastic waste. Of that amount, 1.7 million tons were material recycled and approximately 1.25 million tons were exported. As a result, only 460,000 tons—or six percent of Japan’s total plastic waste—were recycled and reused domestically. To address this shortfall, Japan’s Ministry of Environment (MOE) and Ministry of Economy, Trade and Industry (METI) have set a goal of increasing the use of recycled plastics to 1 million tons by 2030. Subsequently, in March 2025, MOE announced the goal to increase use of recycled plastics for automotive applications to 25,000 tons by 2031, and to 200,000 tons by 2041.

Suppliers and consumers must work together to meet the growing requirements for recycled plastic use. To advance these efforts, the Sustainable Plastics Initiative (SusPla) was established in April 2025. SusPla’s goals are as follows: 
•    Implement the Sustainable Plastic Certification (SPC) system, which supports the assurance of recycled plastic quality and stable supply, 
•    Develop and evaluate performance indicators carbon neutrality policies, 
•    Facilitate collaboration between suppliers and consumers, and 
•    Raise public awareness and understanding of recycled plastics across society.

At present, SusPla has over 150 members from across a range of industries on both the supply and demand side, including major players such as Toyota and Panasonic, as well as trading companies and chemical manufacturers. Members also include local (i.e., city and prefectural) governments, academic institutions, and consulting firms.

CS Japan encourages U.S. companies that supply, or who are considering supplying, plastic materials and parts to Japanese manufacturers to familiarize themselves with Japan’s material recycling efforts. SusPla has expressed its willingness to actively engage in communication and collaboration with relevant associations and institutions, particularly in areas such as enhancing the value of recycled plastics, increasing usage, and establishing systems for proper evaluation and certification. While SusPla is a Japan-based organization, it has indicated that foreign-affiliated companies with a presence in Japan are eligible for membership.

For more information, please contact the U.S. Commercial Service at Office.Tokyo@trade.gov.