PolicyBrief
S. 5302
119th CongressAug 6th 2026
Truth in Labeling Act of 2026
IN COMMITTEE

The Truth in Labeling Act of 2026 establishes national, standardized labeling requirements for recyclable, compostable, reusable, and refillable packaging to reduce consumer confusion and prevent deceptive environmental marketing claims.

Jeff Merkley
D

Jeff Merkley

Senator

OR

LEGISLATION

Truth in Labeling Act of 2026 Sets Strict 60% Market Access Rule for Recycling Claims

We’ve all stood in front of a trash can with a plastic container, staring at that little 'chasing arrows' triangle and wondering if it actually goes in the blue bin or the landfill. The Truth in Labeling Act of 2026 is designed to end that kitchen-counter guesswork. The bill basically tells companies: if you want to call your packaging 'recyclable,' 'compostable,' 'reusable,' or 'refillable,' you have to prove it meets strict national standards. No more 'greenwashing' with vague symbols that don't actually mean the item will be processed by your local facility.

The 60 Percent Rule

Under Section 5, a product can’t be labeled 'recyclable' unless it meets a '60 percent rule.' This means the item must be accepted by recycling programs that cover at least 60% of the U.S. population and have a 'responsible end market'—essentially a real buyer who turns that waste back into new products. For items that aren't quite there yet, the bill allows a 'qualified claim' if they hit a 40% threshold, but only if the producer has a two-year plan to reach full recyclability. For you, this means the labels on your grocery haul will finally reflect what your local waste management can actually handle, rather than a theoretical possibility.

Cleaning Up the Compost Bin

Section 6 takes aim at 'compostable' plastics that often end up contaminating organic waste streams. To use a compostable label, a product must be free of 'forever chemicals' like PFAS and heavy metals, and it must be accepted by at least 50% of U.S. composting programs. The bill even goes as far as banning green or brown tinting on plastic items that aren't compostable, preventing that split-second confusion when you're trying to do the right thing at a coffee shop or cafeteria. If a company breaks these rules, the FTC can step in, treat it as a deceptive practice, and issue fines that go toward funding better recycling infrastructure.

The End of the 'Chasing Arrows' Loophole

One of the biggest changes for digital natives and busy parents alike is the fix for Resin Identification Codes—those numbers 1 through 7 inside the triangle. Section 4(c) prohibits putting that code inside the chasing arrows symbol unless the material actually meets the new recyclability criteria. This stops the common industry practice of using the recycling symbol just to identify the plastic type, which has led millions of us to 'wishcycle' items that facilities just throw away. By 2028, you should see standardized, easy-to-read labels that tell you exactly how to prep an item for disposal, including whether you need to rip off a non-recyclable sleeve or cap before tossing the rest.