Yum Brands shifts to more circular packaging

The group is reporting on new packaging initiatives at KFC, Pizza Hut and Taco Bell.
Picture: Yum! Brands

Yum Brands has published its Global Citizenship & Sustainability Report 2025. In it, the operator of KFC, Pizza Hut, Taco Bell, and Habit Burger & Grill describes progress in packaging, circular economy, and climate protection. In the packaging sector, the focus is on material savings, recyclability, and preparation for new regulatory requirements.

Packaging is one of the most visible touchpoints Yum Brands has with consumers, and it's also an area undergoing rapid change due to new legal requirements. According to the company, the strategy focuses on reducing material usage, improving recyclability where appropriate infrastructure exists, and preparing packaging systems for requirements such as Extended Producer Responsibility (EPR). At the same time, the company is testing reusable systems and new packaging solutions intended to be implemented worldwide across a restaurant network primarily operated by franchisees.

Brands implement different packaging solutions

Yum Brands cites several initiatives by its brands as examples. Habit replaced selected plastic packaging with fibre-based alternatives. These included industrially compostable salad and sandwich packaging. According to the company, this reduced plastic consumption and lowered packaging costs by four percent.

KFC is testing reusable packaging in multiple European markets for dine-in, takeaway, and delivery services. Pizza Hut USA has introduced a recyclable tray for chicken wings, which received the Association of Plastic Recyclers' Recycling Leadership Award in 2026. Additionally, the brand is gradually phasing out smaller plastic components such as the stabiliser in pizza boxes and is adding recycling instructions to its packaging.

Taco Bell has continued its sauce packet recycling programme in partnership with TerraCycle. In 2025, more than 415,000 sauce containers and pouches were collected, bringing the total to over one million packages diverted from landfill or incineration since the programme began in 2021. A pilot waste reduction project in restaurants has also increased the recycling rate in kitchen areas from 18% to 58%.

Climate targets and material use

Alongside its packaging projects, Yum Brands is reporting progress on its climate goals. Compared to the 2019 baseline year, Scope 1 and Scope 2 emissions have decreased by 18 per cent. In the area of packaging, the company highlights its aim to avoid unnecessary plastics, reduce the use of virgin plastic, and gradually make packaging reusable, recyclable, or compostable. At the same time, the group acknowledges that data collection for measuring packaging progress still needs to be expanded.

Source: Yum! Brands