Retailers Convert to Recyclable Formats for Compliance
Retailers are converting fulfillment centres away from plastic air pillows and foam inserts specifically to clear extended producer responsibility packaging audits that increasingly penalise non-recyclable cushioning materials at the point of sale. Roughly 41% of major United States fulfillment operators reported converting at least one distribution centre to corrugated bubble formats in 2025, up from under 15% three years earlier, largely driven by regulatory compliance pressure rather than cost savings alone. Packaging makers are responding by designing bubble cushioning that separates cleanly from the corrugated shell during recycling, since single-stream recyclability increasingly decides which format a fulfillment centre adopts first.
Market Impact: 26% rise in shipment volume tracked








