Small Producer Thresholds: De Minimis Rules Across UK, EU, and US State EPR
Most EPR programs exempt or reduce obligations for small producers below specific thresholds. The thresholds differ by jurisdiction, and producers near the line need to track carefully. Here is what the de minimis rules actually look like across UK, EU, and US states.
By Kevin Kai Wong, Managing Partner at gCurv Technologies
May 23, 2026
Table of Contents
Why thresholds matter
EPR programs generally aim at producers placing meaningful volume on the market. Very small producers, local brands, startups, niche imports, would impose disproportionate administrative cost relative to the environmental benefit of capturing them. Most regimes set thresholds below which producers are exempt from full obligations or subject to a reduced regime.
Three operational realities make thresholds important:
- Crossing a threshold creates a step-change in obligations. A producer at 99% of the threshold has minimal obligation; at 101%, full registration, reporting, and fees.
- Thresholds are jurisdiction-specific. A producer below the UK threshold may be above the California threshold, and vice versa.
- Thresholds change. Several regimes have planned reductions over time, pulling smaller producers into scope.
A producer that ignores thresholds because "we are small" can find itself unexpectedly in scope when a single jurisdiction's threshold drops.
How thresholds are typically structured
Threshold structures vary in what they measure:
- Revenue-based thresholds. A minimum annual revenue (often jurisdiction-specific revenue, sometimes global revenue).
- Tonnage-based thresholds. A minimum tonnage of packaging placed on the market.
- Combined thresholds. Some regimes apply both, exemption requires being below both the revenue and the tonnage threshold.
- Reduced-obligation thresholds. A middle band where producers are obligated but with simplified reporting or reduced fees.
The threshold can also affect not just whether a producer is obligated, but also what they pay (some regimes scale fees by producer size).
UK pEPR thresholds
UK pEPR distinguishes "small" and "large" producers based on turnover and packaging tonnage thresholds. Small producers generally have reduced reporting obligations relative to large producers, while large producers are subject to full reporting and fee schedules.
The specific thresholds and the obligations attached to each tier are set in UK regulations and may be adjusted over time; consult current UK pEPR guidance for 2026 small-producer thresholds and obligations.
A producer near the UK threshold should monitor tonnage closely, particularly in scaling years, to anticipate the transition.
EU PPWR and member-state thresholds
PPWR sets EU-wide rules but EPR fee schedules and registration thresholds remain member-state specific. Across major member states:
- Germany. The packaging law (VerpackG) requires registration for all producers placing packaging on the market, with no general de minimis registration exemption. Fees scale with tonnage, but the registration obligation begins at the first unit.
- France. The CITEO scheme has its own registration and fee structure, with thresholds and category rules; consult CITEO's current published guidance for 2026 thresholds.
- Other member states. Each operates its own EPR scheme with its own threshold rules; consult each member state's current published guidance for thresholds.
A US brand expanding into EU sales should not assume EU-wide threshold treatment. Each member state where the brand has placement-on-market activity has its own rule.
US state EPR thresholds
US state EPR programs have varying threshold structures:
- California SB 54. Includes a small-producer threshold based on revenue ($1 million annual gross revenue from sales of covered material, with packaging tonnage considerations). Producers below the threshold may have reduced or no obligations under SB 54; consult CalRecycle's current published rule for 2026 small-producer threshold details.
- Oregon. Has a small-producer threshold based on tonnage and other criteria; small producers typically have reduced obligations through the program. Consult Oregon DEQ's current published rule for 2026 thresholds.
- Colorado. Sets a small-producer threshold; producers below the threshold pay reduced dues or have alternate compliance paths. Consult Colorado's current published rule for 2026 threshold details.
- Maine. Distinguishes producers by tonnage and revenue, with small producers subject to a different fee structure or registration approach. Consult Maine DEP's current published rule for 2026 threshold details.
- Maryland. Has its own threshold structure; specific thresholds are set in HB 254 implementation. Consult Maryland's current published rule for 2026 threshold details.
- Minnesota. Has small-producer provisions in the Packaging Waste and Cost Reduction Act. Consult Minnesota's current published rule for 2026 threshold details.
- Washington. Recycling Reform Act includes producer-size differentiation. Consult Washington Department of Ecology's current published rule for 2026 threshold details.
Common scenarios
Scenario 1, Mid-size brand growing into scope. A regional brand with $0.8M California revenue is below the SB 54 small-producer threshold. As they grow to $1.2M, they cross the threshold and trigger full obligations. The transition needs to be planned, not discovered.
Scenario 2, Multi-state brand with varying status. A brand may be above the threshold in California and Oregon but below in Colorado and Minnesota. Filings have to reflect the per-state status, not a uniform "small producer" claim.
Scenario 3, Aggregated entity. Some thresholds apply at the corporate group level, not the individual legal entity. A producer with multiple small subsidiaries may exceed the threshold in aggregate even if each subsidiary individually is below; aggregation rules vary, so consult each jurisdiction's current published rule.
Scenario 4, Acquisition crossing the line. A brand below the threshold acquires another brand. Combined volume crosses into full obligations. The acquisition completion date is the relevant date, not the next reporting period.
Common failure modes
Failure 1, Failing to register because below threshold. Some regimes require registration even below the obligation threshold. Below-threshold producers should confirm whether registration is required regardless of fee obligations.
Failure 2, Using one threshold for all jurisdictions. A brand applies "we are below California's threshold" globally and ignores other states with different thresholds.
Failure 3, Threshold based on outdated data. Threshold determinations made years ago are not refreshed annually. The producer is unknowingly in scope for several reporting cycles before discovering it.
Failure 4, Aggregation missed. Multiple legal entities filing as separate small producers when corporate aggregation rules require combined treatment.
What this means operationally
For producers near any threshold:
- Track revenue and tonnage in each jurisdiction explicitly, not in aggregate.
- Refresh threshold assessments annually at minimum, with monitoring for trigger events (acquisitions, market expansions, large product launches).
- Confirm registration obligations separately from fee obligations, being below the fee threshold does not always exempt from registration.
- Document the threshold determination per jurisdiction with the rule applied.
What to do in 2026
- Build a per-jurisdiction threshold tracker covering all jurisdictions where you place packaging on the market.
- Refresh threshold status at least annually, more often if you are within 10% of any threshold.
- Plan transition operations before crossing thresholds, registration, reporting infrastructure, fee budgeting.
- Watch for threshold reductions in upcoming regulatory cycles. Several regimes have plans to lower thresholds over time.
How Packgine helps
Packgine tracks tonnage and revenue inputs per jurisdiction, surfaces threshold proximity per regime, and flags transitions before they happen. When a brand is approaching a threshold or has crossed one, the registration and reporting workflow shifts automatically rather than requiring discovery during filing season.
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