Plastic waste remains one of the most pressing environmental and economic challenges for the beauty industry. While much attention has been paid to large-scale packaging waste, small-format plastics—such as bottle caps, travel-size containers, cosmetic tubes, and closures—pose a unique and often overlooked problem.

Despite call to action campaigns and the rise of initiatives to dismantle the problem, billions of small plastic packaging units are still discarded, with the vast majority ending up in landfills due to inefficiencies in recycling infrastructure.

The updated Small Plastics Recovery Report 2025 by the Center for the Circular Economy at Closed Loop Partners explores an untapped opportunity in the recycling industry—the recovery and reintegration of small-format plastics into the supply chain. Backed by leading industry sponsors such as Kraft Heinz, L’Oréal, P&G, Target, and Maybelline New York, the report provides a detailed roadmap for tackling this waste stream, emphasizing technological advancements, regulatory pressures, and market demand for recycled materials.

By implementing targeted recovery solutions, the industry could divert tens of thousands of tons of plastics from landfills, meet rising regulatory standards, and unlock new economic opportunities. “This is inherently a cross-industry challenge, as small-format packaging is used in beauty, pharmacy, food service, beverage, retail, and beyond. We’re inviting our research-phase partners and brands across various sectors to join the Consortium [for Small-Format Packaging Recovery] and help address an urgent waste challenge,” Kate Daly, Managing Partner, the Center for the Circular Economy at Closed Loop Partners, said in a statement to BeautyMatter.

BeautyMatter dives into the findings of the report, outlining the current barriers to small plastics recycling and the actionable solutions proposed for a more circular future.

The Urgency of Small-Format Plastic Recovery

Despite the growing momentum toward sustainability, small-format plastics continue to be a blind spot in recycling systems. These materials, often smaller than two inches in at least two dimensions, slip through standard sorting equipment at materials recovery facilities (MRFs), contaminating the glass stream and eventually being landfilled.

Key Challenges Identified in the Report:

• Equipment Limitations: Traditional MRFs and glass recycling plants are not designed to handle small plastics effectively, leading to massive material losses.
• Market Underutilization: Polypropylene (PP), polyethylene terephthalate (PET), polyethylene (PE), and metals in small formats have strong market demand, yet they remain largely unrecovered.
• Regulatory Pressures: States like California, Maine, and Oregon have implemented Extended Producer Responsibility (EPR) laws, mandating higher recyclability standards, placing increasing pressure on brands to reduce plastic waste.
• Consumer Awareness Gap: Most consumers do not recognize that small plastic packaging is not widely recyclable, often “wish-cycling” these materials into blue bins where they ultimately get discarded.

According to the study, failure to address these inefficiencies results in not just environmental harm but also economic losses. Brands reliant on recycled content to meet their sustainability commitments are struggling to secure consistent supplies of high-quality, post-consumer resin, making the case for recovering small plastics even stronger.

In-Field Research and Breakthroughs in Recovery Feasibility

To develop real-world solutions, the Center for the Circular Economy conducted extensive field research at MRFs and glass recycling plants across the US, testing new methods for capturing and reintegrating small-format plastics into the recycling loop.

Findings from the Field:

• 67% Reduction in Plastic Contamination: Upgrading the glass screen at a major MRF significantly reduced mid-to-large-sized “small” plastics contaminating the glass stream, proving that targeted interventions can be effective.
• Reclaimer Interest in Small Plastics: Mechanical recyclers showed strong demand for clean, sorted polypropylene and PET, with many willing to pay premium prices for these materials.
• Glass Plant Colocation Opportunities: The study found that locating small plastic recovery systems at glass recycling plants could improve collection rates and reduce transportation costs, making recovery financially viable.
• Packaging Design Impacts Recovery: Items like plastic pumps with metal springs and mixed-material closures were consistently lost, highlighting the need for upstream design changes to improve recyclability.

The research confirms that existing technologies can be reconfigured to improve small plastics recovery, but widespread implementation requires financial support from brands and policymakers.

Technological Innovations Driving Recovery

Advancements in recycling technology offer a promising path forward for small plastics recovery. The report identifies several key innovations that can be leveraged to enhance collection and sorting processes.

Key Technologies Identified:

• AI-Enabled Sorting: Artificial intelligence (AI) and machine learning can improve optical sorting efficiency, distinguishing between small plastics and contaminants more accurately.
• Density Separation Systems: These allow MRFs to extract valuable plastics from glass fines, preventing valuable resins from being discarded.
• Enhanced Screening Equipment: Upgrading MRF screens to better capture small-format plastics without disrupting regular operations.
• Robotic Sorting Arms: Capable of precisely picking small plastic items from mixed waste streams, increasing recovery rates.

The report posits that with the right tweaks and creative applications of existing technologies, recycling facilities can significantly improve material recovery, reduce waste, and redirect valuable plastics from landfills to the secondary commodities market. However, the effectiveness of these technologies depends on proper implementation and coordination across different recycling facilities.

The Business Case for Small Plastics Recovery

While environmental sustainability is a primary driver for small plastics recovery, the economic argument is equally compelling.

Financial Benefits of Small Plastic Recovery:

• Revenue Generation: Capturing and reselling small plastics such as PP and PET can create additional revenue streams for MRFs and glass plants.
• Landfill Cost Reduction: Diverting plastics from landfills lowers disposal costs for recycling operators.
• Higher Value Glass Streams: Reducing plastic contamination in glass recyclables increases the value of recovered glass, benefiting manufacturers.

The challenge remains that most MRFs do not currently prioritize small plastics recovery due to perceived low volumes and infrastructure costs. However, EPR programs and brand investment could offset these costs, making small plastics recycling financially sustainable in the long term.

A Call to Action: The Consortium for Small-Format Packaging Recovery

To turn research into real-world action, the Center for the Circular Economy has launched the Consortium for Small-Format Packaging Recovery, an initiative designed to bring brands, recyclers, and policymakers together to implement recovery solutions.

Key Objectives of the Consortium:

• Deploy equipment upgrades in key MRFs and glass plants to increase small plastics recovery.
• Engage brands in packaging redesign efforts to improve recyclability at the product level.
• Drive policy alignment with recyclers and state legislators to secure funding and regulatory support for small plastics recovery.
• Expand consumer education initiatives to encourage correct disposal and recycling behaviors.

According to Daly, “We’re eager to put our findings to the test and, through the Consortium to Recover Small-Format Packaging, deploy equipment and infrastructure upgrades to drive real-world proof-of-concepts in the field. It’s critical that we advance solutions to recover valuable small-format materials, like polypropylene, that otherwise typically end up in landfills.”

Brands including L’Oréal, P&G, and Maybelline New York have already committed to participating in pilot programs like this. As Marissa Pagnani McGowan, Chief Sustainability Officer, North America for L’Oréal Groupe says in a statement to BeautyMatter, “L’Oréal is excited to partner with Closed Loop Partners to develop innovative solutions for recovering packaging materials, reducing waste, and creating opportunities in a fragmented national recycling infrastructure. Closed Loop Partners’ Center for the Circular Economy provides practical and scalable approaches for recovering small-format plastics that end up in landfills. We believe scaling these innovations will improve the recyclability of plastic and create a viable end-market for our materials.”

The Small Plastics Recovery Report 2025 provides a groundbreaking analysis of the opportunities and challenges associated with recycling small-format plastics. While the road ahead requires investment, collaboration, and policy support, the potential benefits—from environmental impact reduction to economic value creation—make small plastics recovery a critical next step in the evolution of circular economy initiatives.

As brands face increasing pressure to meet sustainability commitments and secure reliable sources of post-consumer recycled materials, the time for action is now. By leveraging cutting-edge technologies, aligning with regulatory frameworks, and actively participating in industry-led recovery programs, beauty and personal care brands can play a pivotal role in turning this hidden waste stream into a valuable resource. The question is no longer if small plastics should be recovered—but how fast the industry can scale solutions to meet the demand for a more sustainable future.