The US-ASEAN Business Council (USABC) is driving cross-sector collaboration to implement Extended Producer Responsibility (EPR) frameworks, aiming to transform packaging waste management and boost sustainable investment across Southeast Asia
(JOHOR, MALAYSIA & JAKARTA, INDONESIA) – To accelerate Southeast Asia’s transition to a circular economy, the US-ASEAN Business Council (USABC) is actively fostering cooperation between the private and public sectors. Its focus is on establishing practical, investment-friendly Extended Producer Responsibility (EPR) systems that enhance the lifecycle management of packaging products across the region.
Implementing effective EPR systems in Southeast Asia is not without challenges. The integration of the vast informal waste sector, limited institutional capacity, persistent funding gaps, and scarce reliable waste data all hinder the ability to set targets and measure performance. These factors complicate the evaluation of current waste management initiatives and the scaling of circular solutions.
“Clear, predictable, government-mandated and industry-run EPR frameworks are essential for scaling circular economy solutions across ASEAN,” said Nugraheni Utami, Chief Country Representative for Indonesia, USABC. “Regional alignment on core principles, supported by transparent reporting, creates a level playing field for industry and investment in the infrastructure needed for effective, inclusive EPR systems to drive circular outcomes for packaging.”
ASEAN member states are moving beyond traditional ‘take-make-dispose’ models, highlighting the need for unified approaches. Regionally aligned standards boost investor confidence in local recycling infrastructure while promoting the seamless movement and exchange of materials across borders. Malaysia’s upcoming EPR framework, according to Tina Jamaluddin, Chief Country Representative for Malaysia, USABC, is a key opportunity to build a multi-material system that combines environmental impact with investment certainty. “Mutually recognised principles across ASEAN, paired with national flexibility, reduce fragmentation and support efficient implementation across the region,” she added.
Industry leaders are already demonstrating commitment to this transition. Umesh Madhavan, Director of Packaging Sustainability at Coca-Cola, emphasised the importance of collective action. “Across Southeast Asia, together with our bottling partners, we collaborate with governments, industry, recyclers, and NGOs to strengthen local recycling and collection systems and infrastructure. Our efforts include advocating for well-structured EPR systems in Malaysia and Indonesia, and well-designed Deposit Return Systems (DRS) in Singapore. Through ongoing investments and partnerships, we are committed to reducing plastic packaging waste.”
Key partners such as Mahija Foundation and innovative recycling facilities like Hiroyuki Industries in Malaysia and Amandina Bumi Nusantara in Indonesia provide the technical and operational backbone for national EPR systems. Ardhina Zaiza, Chairwoman of Mahija Foundation, highlighted the human aspect of the transition. “By embedding human rights and fair labour standards into the supply chain, we ensure that the high-quality material entering the recycling loop is both environmentally sustainable and socially responsible, uplifting the waste pickers who are the heroes of this ecosystem.”
Despite the inherent challenges, Southeast Asia’s journey toward a circular economy is gaining momentum. By uniting policymakers, industry leaders, and local recycling innovators, the region is creating a practical, investment-focused roadmap. Collaborative action remains the key to overcoming obstacles, transforming packaging lifecycles, and pioneering sustainable, inclusive solutions across Southeast Asia.
