Malaysia bans US plastic waste imports, dealing blow to global recycling chain

The US has become increasingly dependent on countries like Malaysia to handle its plastic waste, sending more than 35,000 tons there last year alone

Malaysia has officially banned plastic waste imports from the United States, disrupting a key channel in the global trade of discarded plastics and intensifying scrutiny on how wealthier nations manage their trash. The decision, which took effect Tuesday, comes after Malaysian authorities uncovered hundreds of shipping containers containing mislabelled plastic and electronic waste from the US, the New York Times reported.

The US has become increasingly dependent on countries like Malaysia to handle its plastic waste, sending more than 35,000 tons there last year alone. But following a string of high-profile seizures of hazardous waste, Malaysia’s environment minister declared that the country would no longer act as “the world’s rubbish bin.”

The ban specifically targets nations that haven’t signed the Basel Convention—a global pact that controls hazardous waste shipments—leaving the US, which has not ratified the agreement, especially exposed. Under Malaysia’s amended Customs Act, even shipments from compliant countries must meet stringent purity standards: a single type of plastic and no more than 2 percent contamination, a level rarely achievable with mixed consumer waste.

A global shift since China’s exit from the plastic trade

Malaysia’s move follows a broader shift that began in 2018 when China—then the world’s largest importer of plastic waste—abruptly stopped accepting foreign shipments. In the aftermath, countries like Thailand, Indonesia, and Malaysia became new destinations. But as their waste management systems struggled to cope, backlash mounted.

The global production of plastic has more than doubled in the last 20 years, and less than 10 percent of plastic waste in the US is recycled. Many forms of plastic packaging, including those with multiple layers or food contamination, cannot be recycled economically. What doesn’t go to recycling is either buried in landfills, burned—releasing toxic emissions—or dumped into the environment, contributing to ocean pollution.

“Many Americans think they’re recycling, but in reality, much of it is redirected to waste,” said Tony R. Walker, a researcher at Dalhousie University in Canada.

Impact on industry and American recyclers

The policy shift has left US exporters scrambling. Steve Wong, head of the global plastic waste brokerage Fukutomi, said in an email to clients that plastic shipments to Malaysia had “come to a virtual standstill.”

Meanwhile, US industry groups like America’s Plastic Makers are still evaluating the full effects. “Our industry remains focused on scaling up the use of recycled plastics in new products,” said president Ross Eisenberg, emphasizing that domestic recycling efforts will continue to grow.

Malaysian manufacturers, however, have pushed back against the sweeping ban. While they support measures against illegal waste dumping, they argue that clean, pre-sorted plastic imports are vital for meeting corporate recycled-content targets. Brands like Coca-Cola, Pepsi, and Nestlé have pledged to increase recycled material in packaging—a goal harder to meet without access to clean imported waste.

Calls to reduce plastic production at the source

Experts warn that more countries could soon follow Malaysia’s lead, pushing plastic waste toward less regulated nations. “The recycling industry still hasn’t caught up with the disruption,” said Kate O’Neill of UC Berkeley, who studies global waste flows.

That’s why some researchers and policymakers say recycling alone isn’t enough. Instead, they’re calling for limits on the production of single-use plastics and stronger rules holding companies responsible for their packaging waste.

Some US states have already begun enacting such measures. On Tuesday, Illinois banned small plastic toiletry bottles in large hotels, while Delaware restricted the use of foam containers and single-use plastic stirrers in restaurants.

As countries negotiate a new global plastics treaty, pressure is building to address not just how we manage plastic waste—but how much of it we create in the first place.