With months to go in 2025, Walmart reported last week it does not anticipate meeting its recycled content and virgin material reduction goals in its private-label packaging portfolio.
Walmart’s PCR use in its private-brand plastic packaging portfolio inched up to 8% in 2024, but progress is still less than halfway to a goal of 20% it set for North America for calendar year 2025. That’s according to the retailer’s fiscal year 2025 ESG report, covering the 12 months ended Jan. 31, 2025.
As in previous updates, the company expressed that global demand for recycled material is challenging its own procurement.
“Increased demand has led to a global shortage of recycled materials, making it difficult to source feedstock in the necessary quantities and at price points that support our packaging goals and everyday low prices,” the company says in the new ESG report.
“Consequently, without a breakthrough in the cost and availability of recycled content, we do not anticipate meeting our recycled content and virgin material reduction goals,” the company concluded.
Progress on 2025 sustainability targets for Walmart's private brand packaging
| Goal area | 2025 target | CY2022 | CY2023 | CY2024 |
| PCR in private brand plastic packaging | 20% (North America) 17% (globally |
7.2% 7.5% |
7.3% 7.6% |
8% 7.6% |
| Circular design for private brand packaging | 100% recyclable, reusable or industrially compostable (globally) | 63.4% | 68.2% | 66.1% |
| Reducing virgin plastic in private brand packaging | 15% reduction from 2020 baseline (globally) | +5.9% | +8.1% | +5.4% |
Additionally, Walmart saw year-over-year improvement in the trajectory of its virgin plastic use. But those volumes are still above a 2020 baseline, versus the reduction it had targeted.
The company also reported a year-over-year decline in the proportion of its global private brand packaging portfolio it deems recyclable, reusable or industrially compostable.
The company has not commented on the future of its packaging sustainability goals, which are pegged to 2025. Earlier this year the company confirmed it had exited the U.S. Plastics Pact, so it is not committed to that group’s updated 2030 goals.
Within its own operations, Walmart said it’s growing its cardboard recycling and reuse program.
