From Waste to Wealth: Advancing ASEAN’s Circular Economy through EPR Alignment is a joint report by the EU-ASEAN Business Council and the ASEAN Business Advisory Council. It sets out a practical roadmap for strengthening and aligning Extended Producer Responsibility (EPR) frameworks across Southeast Asia, drawing on global best practices, regional case studies, and key design principles. The report highlights how EPR, when effectively implemented, can serve not only as an environmental obligation but also as an economic opportunity—fostering investment, innovation, and cross-border collaboration to accelerate ASEAN’s transition to a circular economy.
The urgency of this transition is clear. The ASEAN region generates millions of tonnes of packaging waste each year, with six ASEAN countries among the world’s top contributors to marine plastic pollution. Despite rising sustainability commitments, waste collection and recycling rates remain critically low: more than half of the region’s waste goes uncollected, and less than a quarter of collected waste is recycled. A shift towards circularity is therefore essential, and EPR is a pivotal policy tool in driving this change. By making producers responsible for the end-of-life management of their products, well-designed EPR systems can channel investment into collection and recycling infrastructure, incentivise sustainable product design, and reduce environmental impact.
ASEAN countries are progressing at different speeds in developing EPR systems. Vietnam and the Philippines have enacted EPR legislation, Indonesia has introduced a Roadmap for Waste Reduction by Manufacturers, and Thailand and Malaysia are preparing regulations. Yet, the regional EPR landscape remains fragmented, with varying policy designs, producer obligations, and enforcement mechanisms. This misalignment creates compliance challenges for businesses and hinders the region from unlocking the full potential of a circular economy.
Currently, ASEAN’s EPR progress is constrained by three key challenges: underdeveloped national frameworks and waste management infrastructure, regulatory misalignment, and weak regional markets for recycled materials. Addressing these challenges through coordinated and aligned EPR frameworks will not only improve environmental outcomes but also strengthen resource security, reduce dependence on virgin material imports, and stimulate investment in recycling industries—laying the foundation for a resilient and sustainable ASEAN economy.