June 2026
MOE Establishes Taiwan's Circular Label System Guidelines for Promoting Circular Products and Circular Services Officially Take Effect (Taiwan)
To promote the circular economy and sustainable development, the Resource Circulation Administration, Ministry of Environment (the “MOE”), announced the Guidelines for Promoting Circular Products and Circular Services (the “Guidelines”) on May 6, 2026, thereby formally establishing Taiwan's circular label system. Through the authorization of the use of the “Circular Label”, the MOE aims to encourage industries to engage in the production of circular products and the provision of circular services, thereby promoting products that incorporate circular characteristics during the design, manufacturing, and usage stages, such as reducing the consumption of natural resources, utilizing recycled materials, or enhancing recyclability. The MOE also seeks to increase procurement willingness among public and private entities, as well as consumers, with the goals of improving resource efficiency, reducing waste generation, and lowering carbon emissions.
Pursuant to the Guidelines, businesses that manufacture, import, sell, or provide products or services possessing “Circular Characteristics” may apply to the MOE for authorization to use the circular label. “Circular Characteristics” refer to attributes of products or services that contribute to improving resource efficiency and reducing waste generation, including reduced consumption of natural resources, complete recyclability through the use of a single material, utilization of recycled materials, reusability, and repairability that extends product life (Article 2 of the Guidelines).
Regarding the application procedure for the circular label, applicants are required to submit an application form, company or business registration documents, explanatory materials regarding the Circular Characteristics of the relevant products or services, and documentation demonstrating actual provision of such products or services, depending on the nature of the product or service involved (Article 3 of the Guidelines). In particular, where the application concerns circular services, the explanatory materials regarding Circular Characteristics must satisfy specific requirements. For example, where the Circular Characteristic is reusability, the applicant must demonstrate compliance with circular requirements through cleaning, washing, operation and maintenance leasing platforms, or other methods recognized by the MOE. Where the Circular Characteristic relates to repairability and life extension, the applicant must provide services such as collection, refilling, leasing, deposit-refund programs, or buy-back services (Article 4 of the Guidelines). After receiving an application, the MOE will conduct both a formal review and a substantive review. During the formal review stage, the MOE will verify whether the application documents are complete, while during the substantive review stage, the MOE may invite experts, scholars, and relevant authorities to provide opinions and may conduct product testing or on-site inspections of service locations as part of the review process (Article 5 of the Guidelines).
Upon approval of the application, the MOE may grant the right to use the circular label for a period of three years. If continued use is necessary, the holder must apply for an extension between three and six months before the expiration date. The extension period is also three years and may be granted only once (Articles 6 and 9 of the Guidelines). In addition, circular label holders are required to report to the MOE, by the end of March each year, the quantity of circular products produced and sold or the volume of circular services provided during the preceding year. Holders must also cooperate with product testing, manufacturing process audits, and inspections of service locations conducted by the MOE. The MOE may further disclose such information on designated websites to enhance market transparency and improve consumer recognition of circular products and circular services (Article 8 and Article 13, Paragraph 1 of the Guidelines).
In conjunction with the implementation of the Guidelines, the MOE announced the “Technical Specifications for Circular Products and Circular Services” on May 28, 2026, which cover twelve technical standards across five major categories, namely textiles, plastics, glass containers, circular services, and inorganic materials [1] . Beginning in July 2026, products and services meeting the foregoing technical specifications may apply for the circular label in accordance with the Guidelines [2] .
With respect to related legislative developments, the Legislative Yuan passed the Resource Circulation Promotion Act (formerly known as the Resource Recycling Act) (the “Act”) on June 2, 2026, and the Act was promulgated by the President on June 17, 2026. The Act also incorporates a circular label and product information disclosure system within its chapter on sustainable consumption. Pursuant to the Act, the MOE may require manufacturers, importers, or sellers of designated products or their packaging and containers to disclose and label information such as the percentage of recycled materials used, durability, repairability, and recycling methods within a certain period and in the manner specified by the MOE (Article 22, Paragraph 1 of the Act). Accordingly, in addition to using the circular label to demonstrate the circular value of their products or services, businesses may also be required to comply with statutory disclosure obligations in order to assist consumers in identifying and selecting products that align with circular economy principles.
Overall, as international supply chains increasingly incorporate the Circular Characteristics of products and services into procurement evaluation criteria, the circular label system serves not only environmental protection purposes but may also become an important tool for businesses to demonstrate sustainability competitiveness and enhance market recognition. With the implementation of the Guidelines and the passage of the Act, Taiwan's circular label system has formally entered the substantive implementation stage. Businesses in relevant industries are advised to review whether their product designs, raw material usage, and service models satisfy the Circular Characteristics requirements and to evaluate the feasibility of applying for authorization to use the circular label in order to position themselves advantageously in the growing markets for green procurement and sustainable supply chains.
[1] MOE Announcement and Meeting Information Platform. Ministry of Environment. https://docmeet.moenv.gov.tw/IFDEWebBBS_RECA/ (Last accessed: June 14, 2026)
[2] More Than Environmental Protection—A Competitive Advantage! Applications for the Circular Label Open in July, Creating New Business Opportunities for Resource Circulation. (June 1, 2026). Ministry of Environment. https://enews.moenv.gov.tw/page/3b3c62c78849f32f/ee793e59-c7ae-421f-b343-4dcff895627d (Last accessed: June 14, 2026)
Pursuant to the Guidelines, businesses that manufacture, import, sell, or provide products or services possessing “Circular Characteristics” may apply to the MOE for authorization to use the circular label. “Circular Characteristics” refer to attributes of products or services that contribute to improving resource efficiency and reducing waste generation, including reduced consumption of natural resources, complete recyclability through the use of a single material, utilization of recycled materials, reusability, and repairability that extends product life (Article 2 of the Guidelines).
Regarding the application procedure for the circular label, applicants are required to submit an application form, company or business registration documents, explanatory materials regarding the Circular Characteristics of the relevant products or services, and documentation demonstrating actual provision of such products or services, depending on the nature of the product or service involved (Article 3 of the Guidelines). In particular, where the application concerns circular services, the explanatory materials regarding Circular Characteristics must satisfy specific requirements. For example, where the Circular Characteristic is reusability, the applicant must demonstrate compliance with circular requirements through cleaning, washing, operation and maintenance leasing platforms, or other methods recognized by the MOE. Where the Circular Characteristic relates to repairability and life extension, the applicant must provide services such as collection, refilling, leasing, deposit-refund programs, or buy-back services (Article 4 of the Guidelines). After receiving an application, the MOE will conduct both a formal review and a substantive review. During the formal review stage, the MOE will verify whether the application documents are complete, while during the substantive review stage, the MOE may invite experts, scholars, and relevant authorities to provide opinions and may conduct product testing or on-site inspections of service locations as part of the review process (Article 5 of the Guidelines).
Upon approval of the application, the MOE may grant the right to use the circular label for a period of three years. If continued use is necessary, the holder must apply for an extension between three and six months before the expiration date. The extension period is also three years and may be granted only once (Articles 6 and 9 of the Guidelines). In addition, circular label holders are required to report to the MOE, by the end of March each year, the quantity of circular products produced and sold or the volume of circular services provided during the preceding year. Holders must also cooperate with product testing, manufacturing process audits, and inspections of service locations conducted by the MOE. The MOE may further disclose such information on designated websites to enhance market transparency and improve consumer recognition of circular products and circular services (Article 8 and Article 13, Paragraph 1 of the Guidelines).
In conjunction with the implementation of the Guidelines, the MOE announced the “Technical Specifications for Circular Products and Circular Services” on May 28, 2026, which cover twelve technical standards across five major categories, namely textiles, plastics, glass containers, circular services, and inorganic materials [1] . Beginning in July 2026, products and services meeting the foregoing technical specifications may apply for the circular label in accordance with the Guidelines [2] .
With respect to related legislative developments, the Legislative Yuan passed the Resource Circulation Promotion Act (formerly known as the Resource Recycling Act) (the “Act”) on June 2, 2026, and the Act was promulgated by the President on June 17, 2026. The Act also incorporates a circular label and product information disclosure system within its chapter on sustainable consumption. Pursuant to the Act, the MOE may require manufacturers, importers, or sellers of designated products or their packaging and containers to disclose and label information such as the percentage of recycled materials used, durability, repairability, and recycling methods within a certain period and in the manner specified by the MOE (Article 22, Paragraph 1 of the Act). Accordingly, in addition to using the circular label to demonstrate the circular value of their products or services, businesses may also be required to comply with statutory disclosure obligations in order to assist consumers in identifying and selecting products that align with circular economy principles.
Overall, as international supply chains increasingly incorporate the Circular Characteristics of products and services into procurement evaluation criteria, the circular label system serves not only environmental protection purposes but may also become an important tool for businesses to demonstrate sustainability competitiveness and enhance market recognition. With the implementation of the Guidelines and the passage of the Act, Taiwan's circular label system has formally entered the substantive implementation stage. Businesses in relevant industries are advised to review whether their product designs, raw material usage, and service models satisfy the Circular Characteristics requirements and to evaluate the feasibility of applying for authorization to use the circular label in order to position themselves advantageously in the growing markets for green procurement and sustainable supply chains.
[1] MOE Announcement and Meeting Information Platform. Ministry of Environment. https://docmeet.moenv.gov.tw/IFDEWebBBS_RECA/ (Last accessed: June 14, 2026)
[2] More Than Environmental Protection—A Competitive Advantage! Applications for the Circular Label Open in July, Creating New Business Opportunities for Resource Circulation. (June 1, 2026). Ministry of Environment. https://enews.moenv.gov.tw/page/3b3c62c78849f32f/ee793e59-c7ae-421f-b343-4dcff895627d (Last accessed: June 14, 2026)
