With the U.S. EPA’s Final Rule related to reporting of Per- and Polyfluoroalkyl Substances (PFAS) set to go into effect just a few short months from now, it’s becoming increasingly clear what is required of the nonroad equipment industry in order to meet compliance requirements and maintain the long-term viability of its product offerings.
More and more, equipment manufacturers are investing in resources to understand rulemakings, prioritize key markets, track regulations, team up with industry peers, and partner with trade associations. In taking a proactive approach to tackling challenges associated with PFAS, the industry is successfully minimizing risk and protecting market access.
“All of these activities help to confirm whether or not you are on the right track,” said AEM Senior Director of Safety & Product Leadership Jason Malcore. “Obviously, at the end of the day, your own company’s compliance is contingent on doing your own work. But hearing from other people, understanding what the rules are, and submitting comments, helps.”
To help the nonroad equipment manufacturing industry meet new PFAS requirements, AEM and its member companies offer a number of educational resources intended to outline the best practices for impacted stakeholder companies looking to ensure compliance.
EPA’s PFAS Rule Explained
Almost one year ago, in October of 2023, EPA released its pre-published version of its Final Rule, TSCA Section 8(a)(7) Reporting and Recordkeeping Requirements for Perfluoroalkyl and Polyfluoroalkyl Substances. The rule requires any chemical manufacturer, or importer, of Per- and Polyfluoroalkyl Substances (PFAS), in any year since Jan. 1, 2011, to submit to EPA information on these substances regarding chemical identities, production volumes, industrial uses, commercial and consumer uses, worker exposures, disposal, and any existing information related to potential environmental and health effects. The scope of this rule applies to PFAS found in chemical mixtures, complex articles, or in its bulk form.
Reporting for most manufacturers will be required between Nov. 12, 2024, and May 8, 2025. The Final Rule requires submission of PFAS manufacturing and importation data from 2011 through 2022, which includes PFAS that are incorporated into imported articles.
Equipment manufacturers should note:
- Under the rule, imported articles containing PFAS are included in the scope.
- The rule applies to everyone who has "manufactured" or imported a PFAS in any year between 2011-2022.
- Manufacturers or importers of PFAS are required to provide detailed data within 18 months (by May 8, 2025) of the publication of the final rule.
- Substances in scope of reporting are those that meet a definition provided by the EPA (rather than a fixed substance list). [note: we could reference the list we included on our pfas website, it contains a nonexhaustive list of pfas chemicals companies should be aware of.
- Distributors and contract manufacturers are also in scope if they import materials containing PFAS.
PFAS are a large family of durable, synthetic chemicals that provide properties such as waterproofing, high-temperature stability, and electrical insulation. Persistent, bioaccumulative, and toxic, PFAS are more commonly known as “forever chemicals,” because they don’t break down easily. Due to their highly advantageous properties, PFAS can be found in several different applications, including:
- Electronics
- Wires
- Tubing
- Lubricants
- Plastic
- Gaskets
- O-rings
- Seals
- Adhesives
- Packaging
“If you lose access to these PFAS chemistries and you don’t have viable replacements – and many of these chemicals do not have replacements that will be able to perform up to the same level that PFAS does – then the components you are going to use and the equipment you are going to build is not going to have critical functionalities,” said Malcore.
"At the end of the day, your own company’s compliance is contingent on doing your own work. But hearing from other people, understanding what the rules are, and submitting comments, helps.” -- AEM's Jason Malcore
Understanding and Responding to Regulatory Demands
To further complicate matters, there are a significant number of different and emerging PFAS regulations being developed and finalized. Many possess different requirements and impact different jurisdictions, and often they lead to added complexity and cost for equipment manufacturers.
“It means that you, as an organization, need to spend more money trying to understand a rule, collect different forms of data, and perform different kinds of activities in whatever jurisdiction you’re trying to sell into at the moment,” said Malcore.
Another significant concern for equipment manufacturers is the implications of replacing PFAS with alternative substances. According to Malcore and Assent Vice President of Sustainability Cally Edgren, companies are starting to shorten their warranties because they lack confidence in the quality and durability of redesigned products with replacement parts.
“If you have to replace PFAS with something that doesn’t perform as well, it is absolutely going to impact the performance of the product itself,” explained Malcore. “You may lose certifications and not only have to spend money redesigning products, but also requalifying them for those markets.”
As the impact of EPA’s rule and others like it being developed continue to come into focus for the nonroad equipment industry, OEMs are beginning to see the risk to their operations. However, that is less so the case with many suppliers, because:
· While Tier-1 suppliers are likely to understand the risks associated with PFAS, smaller suppliers often don’t possess resources and bandwidth to assess or deal with these types of regulatory situations.
· At certain levels of the supply chain, organizations aren’t even required to restrict their activities or report just yet.
“The awareness isn’t there, because these suppliers aren’t regulated parties,” said Malcore. “The end manufacturer is.”
Looking Ahead
It seems reasonable to suggest OEMs’ supply chains will continue to mature with time. And, as the nonroad equipment industry continues to grow and evolve, it will become increasingly important for manufacturers to determine what systems and applications contain PFAS.
“That’s an important step one,” said Edgren. “Because you can’t really understand your risk or what impact supply chain obsolescence will have on you until you know where the PFAS is and why.”
PFAS is quite useful in making parts more durable. It’s often employed for heat resistance, chemical resistance, and to minimize wear and tear. In addition to being found in gaskets, O-rings, and Teflon-coated hoses, PFAS is also in electronic components and future technologies (such as battery technology).
“So, as we’re trying to move toward this green transition, a critical part of battery manufacturing or hydrogen fuel cell manufacturing will go off the table without PFAS. And there are no known replacements for these types of things, or at least none that are commercially available. So, in the medium to short term, we’re not seeing anything that could replace these things,” explained Malcore.
“That’s just one example of many different systems, at least in our industry, which are going to be critically impacted by the availability and regulatory issues associated with losing PFAS,” he added.
According to Malcore and Edgren, a perfect-world scenario would be for a full material disclosure to exist that would detail every single chemical that goes into a product. It would allow for systems to be redesigned and prioritized as necessary.
Then responding to the different requirements becomes easier. We don’t have that right now, unless you make a really simple product,” said Malcore.
It seems reasonable to suggest OEMs’ supply chains will continue to mature with time. However, the regulatory environment, especially around chemical rules, is (and will continue to be) incredibly complex. And while the regulatory rulemaking process at the federal and state levels mirror one another, they both differ significantly from what takes place in Canada and Europe.
“So, ultimately, the best way for manufacturers to understand what’s happening and what it means for them is to develop a strong understanding of what each regulator is doing and then respond accordingly,” said Malcore.
Learn More
AEM recently launched an EPA PFAS Reporting and Requirements Compliance Webpage, which not only offers a comprehensive and up-to-date overview of the compliance requirements associated with the PFAS reporting rule and outlines best practices for impacted stakeholder companies looking to ensure compliance. For more information, visit the webpage here or contact AEM’s Jason Malcore at jmalcore@aem.org.
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