This chapter analyzes the regulatory and policy mechanisms guiding the sustainable development and life cycle management of polymer composites. Regulatory frameworks (e.g., REACH, RoHS, and TSCA) establish mandatory legal requirements for chemical safety, environmental protection, and human health, while policy frameworks offer strategic guidance to encourage innovation and circularity. International standards and certifications, including ISO 14001, the Global Recycled Standard, and Cradle to Cradle, promote environmentally responsible practices and product transparency. Regional frameworks vary: the EU emphasizes circular economy principles through the Green Deal and Eco-design directives, while countries like Japan and India focus on green procurement and extended producer responsibility (EPR). The chapter highlights tools such as life cycle assessment (LCA), eco-design, and EPR, which are essential for evaluating environmental impact and facilitating sustainable material design. Despite growing support for bio-based and biodegradable composites, manufacturers face challenges related to cost, performance, and certification demands. Health and occupational safety regulations address risks from hazardous substances in polymer composites, with enforcement by agencies such as the EPA, OSHA, and EU-OSHA. Innovation is further supported through government funding, tax incentives, and public–private partnerships that advance material recycling and green technologies. Enforcement remains a challenge in global supply chains, where regulatory fragmentation and traceability limitations hinder compliance. Case studies from Patagonia, Covestro, and Japan illustrate effective regulatory integration. The chapter concludes by emphasizing future needs: stricter circularity standards, digital traceability, and international regulatory harmonization to ensure the sustainability of polymer composites at scale.