CARE Reports on Q2 California Program Results

Dalton, GA, September 22, 2026—CARE executive director/CEO Bob Peoples offered the following report on Q2 California program results,

“Following a soft start to 2026 in Q1, Q2 showed some improvement, with gross collections of 19.1 million pounds and recycled output of 16.8 million pounds. Both numbers are up vs. Q1 but still below the average quarterly result in 2025, reflecting persistent weakness in demand for PC carpet materials and the continued decline in new carpet sales. Turbulence in the global economy and supply chains continues to weigh on markets. Inflation and the price of oil continue to drive price increases of virgin materials. Normally, that is good for PC polymer. However, demand remains weak and no meaningful price increase has yet been possible on PC carpet materials.

“Carpet sales in Q2 were 12.6 million square yards, down 1.3% vs. Q2 2025 and the lowest second quarter since the California Carpet Stewardship Program began. Full-year 2026 sales are projected at 46.4 million square yards, 54% below their peak of 2013. As a reminder, new sales are the major source of post-consumer (PC) carpet for recycling.

“The Q2 Recycling Rate was 36.1%, down from 37.8% in Q1 and below our 2026 target of 41%. The Gross Collections Rate was 41.1%, vs. a 55% target. CARE continues to work with recyclers to provide support wherever possible. As AB 863 requires PC carpet content starting in 2028, CARE is supporting efforts to enable work on advanced recycling approaches as the only long-term viable option to meet these targets. 

“CARE is also finalizing a set of guidelines for back stamping as required in AB 863. However, a new law, AB 904, has passed the legislature and is expected to be signed by the governor. Upon signature, the date for implementation of back stamping will likely be delayed until July 2028.”