Let’s look first at how an ABT is made. In the interconnected, automated, all-weather world of modern aviation, tags must be resistant to cold, heat, sunlight, ice, oil, and especially moisture. Tags also can’t tear—and crucially, if they’re nicked, they must not tear further—as the bag lurches through mechanized airport baggage systems. And the tag must be flexible, inexpensive, and disposable. Plain old paper can’t begin to meet all these requirements. The winning combination is what IATA’s spokesperson described as a “complex composite” of silicon and plastic; the only paper in it is in the adhesive backing.
via Airline baggage tags: How their brilliant design gets bags from Point A to Point B. – Slate Magazine