California’s New Plastic Bag Ban: What Businesses Need to Know
Last Updated on May 2, 2025 by Kira Andrus
Six months ago, California Governor Gavin Newsom signed Senate Bill 1053 into law. This legislation, which revises the 2014 single-use plastic bag ban, has a more far reaching impact and aims to reduce plastic waste throughout the State. Starting on Jan. 1, 2026, businesses will no longer be permitted to offer plastic bags to consumers at checkout. Instead, consumers will need to purchase a recycled paper bag, use their own reusable bag, or carry-out their purchases by hand. By 2028, all paper bags offered for purchase by businesses must be “composed of at least 50% postconsumer recycled materials”.
SB 1053 came about because the original single-use plastic bag ban passed in 2014 wasn’t proving effective. Because many businesses switched to a thicker plastic bag as a reusable option in response to the 2014 policy, Californians are now throwing away nearly 50 percent more plastic bags, by weight, just a few years later. What was signed into law a decade ago has created more plastic waste than ever before, and lawmakers sought to close the loopholes.
In addition, lawmakers and activists have found that many consumers are unaware of or misled about the recyclable nature of plastic. The State of California does not have a facility that recycles plastic bags. Many misconceptions exist regarding what is biodegradable, compostable, and recyclable. By requiring that businesses only provide pre-checkout bags that are compostable or already made of recycled materials, the new law takes the guesswork out of the process.
California is not the only state banning single-use plastic bags. As of 2024, there are 12 states that have enacted statewide bans on single-use plastic bags. Joining California are Colorado, Connecticut, Delaware, Hawaii, Maine, New Jersey, New York, Oregon, Rhode Island, Vermont, and Washington. As more states enact laws banning single-use plastic bags, businesses are presented with challenges and opportunities as they adapt to new regulations.
Switching to paper bags provides businesses with the opportunity to demonstrate their environmental responsibilities in a way that appeals to consumers. Paper packaging that is made from recycled materials reduces the environmental impact of a business while keeping a business compliant and avoiding penalties. Keep in mind that 53% of consumers in the State of California voted to ban single-use plastic bags in 2014. A more recent nationwide poll suggests the majority of Americans support policies banning or reducing single-use plastic bags. Eco-consciousness in consumers is growing, and businesses benefit when they take consumer behavior into consideration.
As businesses implement strategies to eliminate single-use bags in the next few months, they should consider the following:
Evaluate Inventory
Factor in the time needed to evaluate the inventory currently stocked, and plan a phased transition to paper bags by the end of 2025. Consider what packaging is already purchased, what sizes are needed, and find solutions that ensure consistent quality and supply. As businesses transition to paper bags,
Educate Staff and Customers
Inform employees about the new regulations and educate them on the new products and their benefits. For example, products approved by the Forest Stewardship Council demonstrate the product was manufactured by a company that supports responsible forestry. Communicate clearly with consumers about options they will have when purchasing from your company. Clear expectations for consumers can facilitate a smooth transition.
Consider Branding Opportunities
Change is an ever-present reality of doing business. Companies who can adapt to change and make it work in their favor experience success above their competitors. Customizing paper bags with company logos or messages can reinforce brand identity and showcase a businesses’ environmental commitment. Adding stickers or logos to a paper merchandise bag, especially one with an FSC approved stamp, communicates both the brand and the company’s commitment to be environmentally responsible.
While the shift from plastic to paper presents challenges for businesses, it also offers companies a chance to demonstrate their own efforts at sustainability. ClearBags is dedicated to providing sustainable packaging solutions. Our purpose is to provide packaging that benefits businesses and the environment. Learn more about eco-friendly packaging at clearbags.com/eco.
