Packaging EPR for B2B: When Transport Packaging Triggers EU Compliance Obligations

The result: companies operate for years without registration, only to discover the obligation during a tax audit, customs review, or distributor due diligence exercise. By then, back-fees, penalties, and corrective reporting across multiple years become unavoidable.

This article explains when and why B2B companies fall into scope and how to identify exposure before regulators do.

The Confusion – “We’re B2B, so EPR doesn’t apply”

The confusion originates from how Packaging EPR is often explained in simplified terms:

• Consumer waste
• Retail packaging
• Household recycling

But EU packaging law was never limited to consumer-facing products. It covers all packaging placed on the market, including:

• Transport packaging
• Industrial outer packaging
• B2B shipment materials
• Protective and handling packaging used in supply chains

What matters is not the end user. What matters is the act of placing packaging on a national market.

If your company introduces packaged goods into a country for the first time, you are often legally classified as the “producer” for that packaging—regardless of whether the recipient is a factory, distributor, or wholesaler.

What “Packaging” Means in Law

EU frameworks distinguish between three categories:

• Sales packaging – directly surrounds the product
• Grouped packaging – bundles multiple units
• Transport packaging – protects goods during logistics and handling

Transport packaging is where B2B companies get exposed. This includes:

• Pallets – wooden or plastic
• Stretch wrap and shrink film
• Strapping and banding
• Crates, cages, drums
• Protective cardboard and outer cartons
• Industrial bags and liners

If these materials cross a national border under your responsibility, they are usually considered placed on the market in that country.

It does not matter whether:

• The packaging is returned later
• The customer is another business
• The goods are components, not finished products
• The packaging never reaches a household

What matters is the first legal introduction into that market.

When B2B Companies Become “Producers”

In most EU countries, the following entities can become the “producer” for packaging:

• Importers
• Cross-border sellers
• Brand owners placing goods domestically
• Companies shipping goods into another EU state

Incoterms are often misunderstood here:

• DAP or DDP – You deliver into the customer’s country. You are usually placing packaging on that market.
• EXW or FCA – The customer arranges transport. The customer may become responsible.
• Intra-group transfers between EU warehouses – The sending entity may be the producer in the destination country.

A central warehouse model is especially risky:

• Goods imported into one EU state
• Stored centrally
• Shipped onward to multiple EU countries

Each outbound movement can trigger a new national packaging obligation.

From a regulatory perspective, tax footprints and logistics flows are routinely cross-checked against packaging registers. Discrepancies are easy to identify.

A Practical Example – How B2B Packaging Obligations Arise

Consider a German manufacturer producing industrial components:

• Goods are manufactured in Germany
• Products are palletized, shrink-wrapped, and strapped
• Orders are shipped under DAP terms to factories in France, Poland, and Spain

From an operational perspective, this feels like normal B2B trade.

From a regulatory perspective:

• Each pallet, wrap, strap, and outer carton enters a new national market
• The German entity is the first party placing that packaging on the French, Polish, and Spanish markets
• The company becomes the “producer” for packaging in each of those countries

If the company:

• Is VAT-registered in those countries
• Reports intra-EU supplies
• But has no Packaging EPR registrations or declarations

Authorities will see a mismatch between economic activity and environmental reporting.

What often happens in reality:

• The company operates for several years without packaging registration
• A tax audit, distributor review, or customs reconciliation flags the discrepancy
• The company is required to register retroactively
• Past years’ packaging volumes must be reconstructed
• Back-fees and penalties are applied

The exposure did not arise because the company sold to consumers. It arose because packaging crossed borders under its control.

This is the hidden risk profile of B2B logistics.

High-Risk B2B Scenarios

Certain operating models repeatedly create exposure:

• Central EU hub distributing across multiple countries
• Component manufacturers shipping on pallets to business customers
• Contract manufacturing under your brand
• Industrial goods packed in crates or drums
• Returns and repair loops creating reverse logistics flows
• Temporary packaging assumed to be exempt

In practice, regulators do not assess intent. They assess physical flow.

If packaging enters a country under your commercial control, you are expected to account for it.

What Authorities Actually Look For

Enforcement is increasingly data-driven.

Authorities compare:

• VAT registrations
• Customs and import records
• Intra-EU movement data
• Sales invoices
• Warehouse footprints
• Packaging register filings

When a company reports economic activity but no packaging declarations, it becomes a target.

Audits typically focus on:

• Import volumes vs declared packaging
• Cross-border shipping patterns
• Distributor complaints
• Marketplace data mismatches

The most common audit trigger is not suspicion of wrongdoing—it is inconsistency between datasets.

“We didn’t know” has no legal weight.

A Practical Self-Check for B2B Companies

Every B2B operator should ask:

• Do we ship packaged goods into any EU country from outside that country?
• Do we control the transport or delivery terms into that country?
• Do pallets, wrap, or protective materials cross borders under our responsibility?

If the answer is “yes” to any of these, there is a strong likelihood of Packaging EPR obligations.

A simple internal flow-mapping exercise—country by country—can usually identify exposure in a few days.

Why Proactive Structuring Matters

Packaging EPR is not a filing problem. It is a structural one.

Reactive compliance leads to:

• Backdated registrations
• Multi-year corrections
• Emergency data reconstruction
• Penalties and interest
• Disrupted commercial relationships

Proactive structuring delivers:

• Clear ownership of obligations
• Correct allocation across entities
• Predictable costs
• Audit-ready documentation
• Scalable cross-border operations

For B2B companies operating across Europe, the question is not whether Packaging EPR applies. It is where, how, and under which entity.

That is not something spreadsheets alone can solve. It requires a regulatory model aligned with your actual supply chain.

And that alignment is what determines whether EPR remains a manageable compliance layer—or becomes an operational liability.

How RegSurance Supports B2B Companies with Packaging EPR

For B2B operators, Packaging EPR is rarely a single-country problem. It is a structural, cross-border challenge tied to how goods move through your supply chain.

RegSurance supports industrial and B2B companies by:

• Mapping your physical packaging flows across all EU countries
• Identifying where legal “producer” status is triggered
• Structuring the correct entity-by-country compliance model
• Designing a defensible packaging responsibility framework
• Setting up registrations with the relevant national schemes
• Building audit-ready packaging data models
• Managing ongoing reporting and regulatory changes
• Aligning EPR strategy with upcoming PPWR requirements

All of this is delivered through our secure, cloud-based compliance platform.

Our platform enables you to:

• Centralize packaging data across countries and business units
• Translate operational data into regulatory-ready formats
• Track obligations by country, entity, and category
• Generate consistent, audit-ready reports
• Give internal teams and external partners controlled access
• Eliminate manual spreadsheets and fragmented workflows

The objective is not only to file on time. It is to ensure that:

• Each country obligation sits with the correct legal entity
• Your operational reality matches your regulatory model
• You are protected during audits and due diligence
• Compliance scales with your business growth

For B2B companies operating across borders, Packaging EPR cannot be treated as an afterthought. It must be engineered into your logistics and commercial structure.

That is where RegSurance adds value—by combining regulatory expertise with a cloud-based compliance platform that turns fragmented risk into a coherent, defensible, and scalable operating model across Europe.

Frequently Asked Questions

Does Packaging EPR apply only to consumer products?

No. Packaging EPR applies to all packaging placed on a national market, including B2B and industrial shipments. Consumer-facing use is not the legal trigger.

Are pallets and transport materials really in scope?

Yes. In most EU countries, pallets, stretch wrap, strapping, crates, and outer protective packaging are explicitly included.

What if the packaging is returned?

Returnable or reusable packaging may qualify for exemptions or alternative treatment, but it must still be declared and structured correctly. “It comes back” does not automatically remove the obligation.

Do Incoterms decide who is responsible?

Incoterms influence responsibility but do not override national law. In practice, DAP and DDP terms often result in the seller being treated as the producer.

If my customer is a business, can they take responsibility instead?

Only if the legal framework in that country allows a transfer and the parties structure it contractually and operationally. By default, the party placing packaging on the market remains responsible.

What is the first step to assess exposure?

Map physical packaging flows by country:

• Where goods physically enter each market
• Who controls transport
• Which entity invoices the customer
• What packaging crosses the border

This immediately reveals where obligations are likely triggered.

Is this something we can fix later if needed?

Technically yes. Practically, it becomes far more expensive. Retroactive compliance involves data reconstruction, penalties, and reputational risk. Structuring it correctly from the outset is always cheaper.