Samsung, LG take Indian government to court over e-waste recycling fees

Samsung and LG Electronics have filed lawsuits against the Indian government, challenging a key provision in the E-Waste Management Amendment Regulations 2024. At the heart of the dispute is the “minimum recycling payment standard”, which requires manufacturers to pay a fixed fee of ₹22 per kilogram for consumer electronics and ₹34 per kilogram for smartphones sent for recycling.

Both companies argue that the new rates drastically increase their recycling expenses. Samsung claims these charges are five to fifteen times higher than what they previously paid. LG says the policy unfairly burdens manufacturers while disproportionately benefitting formal recyclers. They’ve also raised concerns about the informal sector, which continues to handle about 80% of India’s e-waste, yet remains largely unaccounted for in the regulation.

In 2024, India generated 3.8 million metric tons of e-waste, ranking it third in the world. However, just 43% of this waste was formally recycled. The government introduced the new fixed payment system to attract more formal recyclers and encourage investment in eco-friendly waste processing infrastructure.

The legal challenge isn’t limited to Samsung and LG. Other major companies, including Daikin, Havells, Voltas, and Blue Star, have also approached the courts, citing rising compliance costs and the risk of higher product prices for consumers.

The Delhi High Court is set to hear the matter on Tuesday. The court’s decision could have far-reaching consequences for India’s e-waste management strategies and the financial dynamics of the electronics industry.