Can INC-5.2 Force Plastic and Supply Chain Change?
The scale of the plastic problem is vast and unavoidable. More than 460 million tonnes of plastic are made each year and around 20 million tonnes of it pollute the environment.
According to EarthDay.org, the presence of plastic increases the chance of disease on coral reefs by 22 times.
At the United Nations’ INC-5.2 plastics treaty talks in Geneva, governments, civil society groups and businesses are gathered under one roof, aiming to reach an agreement that could determine how the world tackles plastic pollution for decades.
Yet a draft text from the Chair has triggered almost universal pushback for omitting one of the most crucial measures: reducing plastic production itself.
Chris Jahn, President and CEO at the American Chemistry Council, sums up the goal from an industry perspective: “A successful agreement must reflect those differences while keeping our shared goal in focus: keeping plastics in the economy and out of the environment.”
He adds: “The global plastics industry is ready to do its part.”
Treaty decisions ripple through supply chains
The Intergovernmental Negotiating Committee process, established in 2022, is tasked with creating the first legally binding global treaty to end plastic pollution. Its outcomes will not only affect environmental policy but also reshape how plastics move through supply chains.
If the treaty includes production caps, the impact will begin with petrochemical firms such as BASF, DOW and LyondellBasell, which produce virgin plastics.
Reductions at this stage would cascade down to consumer goods companies like Nestlé, Unilever, Procter & Gamble, Coca-Cola and PepsiCo, which use these materials in packaging.
Retailers and logistics providers such as Walmart, Amazon and Costco would also need to adapt operations. This could involve redesigning packaging to suit reusable systems, rethinking warehousing for bulk handling and working with suppliers on recyclability requirements.
Chemical innovators, including BASF, LG Chem and Merck, may find commercial opportunities in alternatives to single-use plastics, while financial institutions such as Chase and Citibank could face pressure to channel investment toward companies compliant with the treaty’s terms.
In effect, every link in the chain - from raw material extraction to retail display - would be subject to treaty-driven scrutiny.
Pushback on a weakened draft
The Chair’s draft text strips out measures supported by a majority of nations, including production cuts, mandatory phaseouts of harmful chemicals and a dedicated health article. The move has alarmed groups like the Global Alliance for Incinerator Alternatives (GAIA), a network active in more than 90 countries advocating for a full lifecycle approach to plastics.
Ana Le Rocha, GAIA’s Director of Global Plastics Policy, delivers an unflinching critique: “This new text sends a clear message to the world: we do not care about your health. We do not care about the science. We do not care about human rights. We do not care about your future. We only care about consensus.”
Other voices echo this frustration. Juan Carlos Monterrey Gómez, Vice President of the Bureau - Latin America & the Caribbean at UN Climate Change, states: “The clock is ticking. Either our leaders meet this moment or our planet will drown in the brutal cost of inaction. No excuses. No delay.”
Mohamed Kamal of the Greenish Foundation calls the draft “a clear reflection of a weak process,” while SiPeng from C4 Center in Malaysia condemns the approach as “undemocratic.”
Thais Carvajal of Alianza Basura Cero Ecuador warns: “No treaty is better than a bad treaty,” adding that walking away could be the braver choice if it stops fossil fuel influence.
The stakes for business and the planet
The Organisation for Economic Co-operation and Development estimates that more than a billion tonnes of plastic waste now exist globally.
With 98% of single-use plastic derived from fossil fuels, the treaty’s strength will determine whether supply chains are forced to adapt or allowed to continue unchecked.
Chris Hogg, Global Head of Public Affairs at Nestlé, highlights an unusual moment of unity: “We feel this is really important. It’s rare to see business and civil society so aligned on environmental issues, this is one of those moments."
If the INC-5.2 text remains weak, businesses across petrochemicals, consumer goods, retail, logistics and finance may carry on with minimal change.
A strong agreement could shift sourcing strategies, packaging design, transport systems and investment flows toward a circular economy, forcing companies to reconfigure supply chains in ways not seen before.
