How recycling companies should respond to Italy's 2026 plastic tax

Italy’s long-awaited Plastic Tax—set to launch in July 2026 after 8 postponements—has become a critical driver for the waste plastic recycling industry. Targeting non-recyclable packaging at €0.45/kg, the policy only exempts materials meeting strict standards (e.g., EN 15343 for recyclables), forcing businesses to shift from “basic recycling” to “high-purity production” to avoid tax burden. For recyclers, this means two core challenges: ensuring output meets exemption criteria, and proving compliance through transparent data—both of which DATABEYOND addresses with its integrated solutions.

DATABEYOND’s response focuses on three key pillars to help recyclers adapt:

1、Precision Sorting for Tax Exemption Eligibility

Leveraging AI and Optolelectronics intelligent sorting technology, DATABEYOND’s technology eliminates critical pain points like “yellow flakes” (aged plastic) and fluorescent/contaminated bottles—issues that traditional sorting (e.g., manual picking, basic aging machines) fails to solve. This ensures recycled plastic meets food-grade 3A quality standards, a key requirement for tax exemption. The system also distinguishes between tax-liable non-recyclables (e.g., composite plastics, heavily contaminated films) and exempt recyclables (PET, HDPE), achieving over 99.6% sorting accuracy to avoid accidental inclusion of taxable materials.

2、End-to-End Quality Traceability for Compliance

To meet Italy’s strict reporting mandates, DATABEYOND can integrate a  traceability system directly into its sorting workflow. This system builds a complete, on-site digital archive of recycled materials, automatically recording key data at every stage—from raw material intake and sorting to final output. Critical metrics like purity levels, contamination rates, and processing parameters are captured in real time, eliminating the need for manual data entry and reducing errors. Most importantly, the system enables recyclers to quickly compile and generate compliance reports: with just a few operations, they can pull together verified data to prove their products meet tax exemption standards, directly addressing Italy’s reporting requirements and lowering the risk of penalties.

3、Efficient Smart Equipment for Scaled Production

Beyond compliance, DATABEYOND’s solutions—centered on the FASTSORT series and FLAKESORT series—boost operational efficiency to offset potential costs from the tax. The FASTSORT series, designed for integrated plastic sorting, operates 24/7 with automated workflows, replacing labor-intensive manual picking. This not only cuts reliance on human labor but also reduces sorting errors caused by fatigue or subjective judgment. Complementing it, the FLAKESORT series specializes in post-shredding plastic flake processing: its high-speed sorting mechanism significantly increased daily processing capacity while maintaining strict quality consistency. Together, the two series lower unit production costs by streamlining workflows, turning compliance with Italy’s Plastic Tax into a driver of profitability rather than a financial burden.

With deployments across 40+ countries—including European neighbors of Italy—DATABEYOND’s solutions are tailored to global regulatory trends, ensuring recyclers are not just ready for 2026, but future-proofed for evolving environmental policies.