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DPP Fundamentals

Empowering sustainability and transparency with Digital Product Passports and Product Information Management

Digital Product Passport

Why do Digital Product Passports matter?

Digital Product Passports are about to transform information management across many industries by enabling better decision-making, guaranteeing regulatory compliance, and driving sustainable practices.

Retailers: 

Providing consumers with key details about a product’s origin, materials used, and ethical sourcing of those materials.

Distributors:

Streamlining supply chain visibility, enabling efficient tracking and verifiable compliance.

Manufacturers:

Supporting sustainable production, regulatory adherence, and circular economy initiatives

How Product Information Management (PIM) Supports DPP

PIM (Product Information Management) plays a critical role in enabling DPPs. By centralising and standardising product data, PIM software ensures that all required information is accurate, accessible, and ready for regulatory or consumer-facing use. With a suitably chosen PIM system for its aims, any business can:

Consolidate data

Unifying product data from multiple sources into a single, consistent view.

Ensure accuracy

Maintaining up-to-date, regulatory-compliant product details

Enable scalability

Adapting easily to new DPP standards as regulatory needs evolve.

Resources for DPP

DPP Guide

Insights to help businesses understand and adopt this standard.​

DPP Readiness Tool

Interactive tool to evaluate an organisation’s readiness for DPP adoption.​

What is a Digital Product Passport?

A Digital Product Passport (DPP) is a digital record that contains extensive information about a product’s lifecycle. From raw material sourcing to end-of-life disposal, it tracks every stage a product goes through. It is attached to physical products via QR codes, NFC chips, or RFID tags, and provides stakeholders – manufacturers, suppliers, business partners, retailers, distributors, regulators, and consumers – with real-time access to essential data.

The core purpose of a DPP is to create transparency in supply chains, foster accountability, and enable more sustainable business models. It can be seen as a digital bridge linking physical products to their associated data, promoting traceability and the principles of the circular economy. DPPs also enable efficient resource use, reduce waste, and guarantee regulatory compliance.

Digital Product Passport format and product data stored

A Digital Product Passport (DPP) is a digital twin of the physical product and is typically linked via a unique identifier such as a QR code, barcode, or Near Field Communication (NFC) tag affixed to the product or its packaging. When scanned with a smart device, this identifier grants access to the DPP. 

The exact range and extent of information stored on a DPP varies among industries, but the following elements are likely to be universally included:

  • Product identification: Unique product identifiers such as name, model, serial number, batch number, and unique identifiers like SKU or UPC.
  • Material composition and origins: Details on raw materials, their origins, composition percentages. and suppliers involved.
  • Manufacturing and production details: Data on manufacturing sites, production processes, energy use, carbon footprint, and labour practices.
  • Compliance with environmental and safety standards: Certification details to demonstrate conformity with legal standards.
  • Repair, reuse, and recycling guidance: Instructions for disassembly, repair, recycling, or reuse, to support circularity.
  • End-of-Life Option: Guidelines for disposal, recycling of the product.
  • Sustainability Performance: Data on carbon footprint, energy consumption, and relevant certifications.
  • Warranty and maintenance information: Product warranty details and schedules for maintenance and updates. 

The DPP is designed to be machine-readable, structured, and searchable, ensuring interoperability across various platforms. Specific data requirements and format are determined by regulations such as the European Union’s Ecodesign for Sustainable Products Regulation (ESPR), which mandates the inclusion of information on product compliance and sustainability.

By embedding a QR code, barcode, or NFC tag on the product or its packaging, stakeholders – including consumers, regulators, and recyclers – can easily access the DPP using a smart device. This enables informed decision-making and promotes transparency throughout the product’s lifecycle.

Key EU regulations driving DPP adoption

The introduction of Digital Product Passports (DPPs) is largely driven by regulatory mandates from the European Union, reflecting a broader strategy to promote transparency, sustainability, and circular economy principles. Several key regulations play a pivotal role in shaping the framework for the implementation and use of DPPs:

The European Green Deal is the European Union’s comprehensive strategy to achieve climate neutrality by 2050. Launched in December 2019, it encompasses policies aimed at reducing greenhouse gas emissions, promoting resource efficiency, and fostering biodiversity. Key initiatives include the “Fit for 55” package, which sets intermediate targets for 2030, and the Circular Economy Action Plan, focusing on sustainable resource use. The Deal also introduces the Just Transition Mechanism to support regions and industries most affected by the green transition. Digital Product Passports are central to this strategy, as they promote circularity by providing the necessary data for recycling, repair, and reuse processes.

The European Union’s Circular Economy Action Plan (CEAP) emphasizes the importance of product traceability and transparency throughout their lifecycle. A key initiative under this plan is the development of Digital Product Passports (DPPs), which will provide comprehensive data on a product’s materials, origins, and environmental impacts. This initiative aims to enhance transparency and traceability, supporting the EU’s transition to a circular economy.

The European Union’s Sustainable Products Initiative (SPI) introduces specific regulations for Digital Product Passports (DPPs) across sectors such as electronics, textiles, and batteries. As part of the Ecodesign for Sustainable Products Regulation (ESPR), these passports will provide comprehensive information about a product’s environmental sustainability, enhancing traceability and transparency along the entire value chain. The implementation of DPPs is expected to commence with the first product groups in 2027, aiming to support the EU’s transition to a circular economy.

The ESPR is the most significant regulation driving the adoption of DPPs. It aims to improve the sustainability of products sold in the EU by embedding circular economy principles into their design, production, and disposal. As part of this initiative, DPPs will become mandatory for a wide range of products, initially including textiles, construction materials, electronics, and batteries. The regulation requires that essential product information be accessible digitally throughout the product’s lifecycle, empowering stakeholders such as manufacturers, regulators, and consumers (B2C and B2B) to make informed decisions.

The CSRD requires companies to disclose detailed sustainability information, including the environmental and social impacts of their products and operations. DPPs enable businesses to meet these disclosure requirements by providing comprehensive product data on material composition, emissions, and circularity. This information can be used to produce sustainability reports required under the CSRD.

The CS3D focuses on identifying, preventing, and mitigating human rights violations and environmental harm within supply chains. Companies must demonstrate due diligence efforts and ensure traceability of raw materials and products. DPPs facilitate compliance with this directive by making product lifecycle data accessible to regulators and auditors, enabling companies to document responsible sourcing practices and supply chain transparency.

The WFD establishes waste management requirements across EU member states. It promotes waste prevention, encourages the reuse of materials, and prioritises recycling. DPPs play a key role in supporting compliance with this directive by providing detailed information on a given product’s material composition, making it easier for recyclers to identify and recover valuable components at the end of the product’s lifecycle.

The purpose of this initiative is to digitise industries and create common European data spaces which facilitate the secure sharing of information. DPPs are regarded as a key enabler of this initiative as they support interoperability and data exchange across supply chains. This interconnected data ecosystem enhances traceability, simplifies compliance, and drives innovation in product design and circular economy practices.

The CPR regulates the marketing of construction products in the EU and aims to make sure reliable information on product performance is available. DPPs are expected to be applied to construction products to support the tracking of raw materials, enable reuse, and promote better resource management in the construction sector.

The EU Battery Regulation sets a precedent for DPPs by making them a legal requirement for industrial and electric vehicle batteries starting from 2026. This regulation governs the tracking of battery performance, recycled material content, and information about the end-of-life disposal process. Its aim is to ensure greater transparency in battery production, make battery recycling easier, and reduce the environmental impact of battery waste.

How will DPPs be rolled out?

The rollout of Digital Product Passports (DPPs) will be prioritised in sectors which have the greatest potential for environmental impact, resource recovery, and supply chain transparency. Initially, four of the key sectors where DPPs will become mandatory are batteries, electronics, textiles, construction materials and the automotive industry. Each of these sectors faces specific sustainability challenges which DPPs will address.

The battery sector is one of the first to be impacted by mandatory DPPs under the EU Battery Regulation, with enforcement beginning in 2026. The battery industry is not only a fast-evolving sector, but is pivotal to Europe’s energy transition, particularly in the areas of electric vehicles (EVs) and renewable energy storage.

Why DPPs are necessary for batteries

  • Traceability and transparency: DPPs enable tracking of raw material origins, which is critical given the ethical concerns surrounding the sourcing of cobalt, lithium, and other rare earth metals.
  • End-of-Life management: As EV batteries reach the end of their lifecycle, DPPs provide clear instructions for recycling, disassembly, and material recovery, supporting the EU’s circular economy goals.
  • Carbon footprint monitoring: DPPs document the carbon footprint of battery production, supporting sustainability targets and driving the use of recycled materials in battery production.
  • Facilitating regulatory compliance: Compliance with the EU Battery Regulation requires businesses to disclose key product information. DPPs ensure companies can meet this requirement by making battery data easily accessible to regulators and stakeholders.

The electronics sector, including information and communication technology (ICT) products, is characterised by rapid obsolescence, e-waste, and limited recycling infrastructure. The EU’s Ecodesign for Sustainable Products Regulation (ESPR) has targeted electronics as a priority sector for DPP adoption.

Why DPPs are necessary for electronics 

  • eWaste management: Electronics have a short product lifespan, contributing to large amounts of electronic waste. DPPs provide recyclers with data on material composition and disassembly methods, supporting the recovery of valuable components.
  • Repairability and right-to-repair: Consumers and repair shops can use DPPs to access repair instructions, making it easier to repair smartphones, tablets, and other ICT products. This supports the EU’s Right-to-Repair initiatives.
  • Supply chain traceability: DPPs help track the origin of minerals like tin, tungsten, tantalum, and gold (3TG), ensuring compliance with EU Conflict Minerals Regulations and supporting ethical sourcing initiatives.
  • Enabling circular economy models: With DPPs, electronics manufacturers can explore new business models such as “product-as-a-service” leasing models, where electronics are returned and reused instead of discarded.

The textile sector is on the cusp of transformative change with the adoption of Digital Product Passports (DPPs), which align with EU initiatives to promote sustainability and a circular economy. Textiles is one of the most resource-intensive and waste-generating industries. In particular, ‘fast fashion’ has come under heavy criticism for its environmental impact. The introduction of Digital Product Passports will be a critical part of the EU’s Strategy for Sustainable and Circular Textiles, which aims to promote circular fashion[1] as well as the critical challenges in transparency, material traceability, and waste reduction. 

Why DPPs are necessary for textiles

  • Material transparency: Consumers are increasingly demanding information on the origin of textiles, such as cotton, polyester, and other materials. DPPs enable visibility into the production and sustainability of these materials.
  • Supporting circular fashion: DPPs provide detailed data on fibre content, enabling sorting and recycling processes at the end of the product’s life. This supports the reuse and upcycling of garments.
  • Enhancing consumer trust: By scanning a QR code on a garment’s label, consumers can access information about the product’s origin, the labour conditions under which it was manufactured, and its environmental impact.
  • Facilitating compliance: The EU’s push for circular textiles relies on clear data on fibre composition, production methods, and end-of-life options. DPPs make it easier for brands to comply with the EU’s sustainable textiles regulations.

The automotive sector is poised to adopt mandatory Digital Product Passports (DPPs) as part of evolving EU regulations, following the model set by the battery industry. These innovations aim to support circular economy initiatives while enhancing sustainability across the value chain. 

Why DPPs are necessary for the automotive industry

  • Enhanced tracking of materials and parts: DPPs facilitate the precise tracking of materials and components throughout a vehicle’s lifecycle, enabling improved recycling and remanufacturing processes. This promotes resource efficiency by empowering businesses to recover and reuse high-value parts.
  • Sustainability reporting: DPPs capture critical environmental data, such as emissions during manufacturing, thus supporting the industry’s sustainability objectives and regulatory reporting needs.
  • Lifecycle management: By providing detailed records of a vehicle’s components, DPPs simplify maintenance, refurbishing, and end-of-life processes, reducing waste and encouraging remanufacturing initiatives. 
  • Consumer transparency: DPPs equip consumers with access to the information which enhances their trust and engenders informed decision-making, especially in areas like vehicle origin, material composition, and repair options.

The construction sector is responsible for significant resource consumption and waste generation, making it a prime candidate for DPP adoption under the EU’s Circular Economy Action Plan. Construction Products Regulation (CPR) supports the implementation of DPPs in this sector. 

Why DPPs are necessary for construction materials

  • Material reuse and recovery: DPPs enable the tracking of raw materials in construction products like steel, concrete, and wood, allowing them to be reused when buildings are deconstructed.
  • Design for disassembly: DPPs facilitate the design of modular construction components that can be disassembled and reused in new projects, reducing demand for virgin materials.
  • Reducing carbon footprint: By capturing data on embodied carbon, DPPs help builders and developers reduce their environmental impact, supporting the EU’s climate-neutrality goals.
  • Sustainability certification: Green building certifications like BREEAM and LEED require documentation of material origins and environmental impact. DPPs streamline this certification process and ensure compliance with sustainable building standards.

These sectors are among the first to be subject to mandatory Digital Product Passport requirements. Each sector has its unique characteristics, but the overarching goals are to increase transparency, support recycling, and reduce the environmental impact of production.

Businesses operating in these sectors need to prepare to implement DPPs as part of their compliance strategy, leveraging PIM systems to manage and share product data effectively.

Why should you start now?

Time is of the essence. The clock is ticking for businesses to prepare for the rollout of Digital Product Passports (DPPs). With regulatory deadlines approaching fast, companies need to act now to avoid potential compliance risks, disruptions to operations, and potential reputational damage. Many businesses are still unprepared for the shift, and the complexity of DPP implementation adds to the urgency. Early adopters will gain an all-important competitive edge by enhancing their operational efficiency, enabling the growth of new business models, and engendering a greater level of consumer trust in their brand.

Here’s why timely preparation is critical:

  1. Fast approaching regulatory deadlines Several EU regulations, such as the Ecodesign for Sustainable Products Regulation (ESPR) and the EU Battery Regulation, set clear deadlines for DPP compliance. Businesses selling products in the EU will face enforcement of DPP requirements starting as early as 2026 for batteries and 2027 for textiles, electronics, and other key product categories.
  2. Limited time and expertise Many businesses lack the internal knowledge, systems, and capacity to meet DPP requirements on their own. Implementing DPPs requires expertise in regulatory compliance, data management, and digital transformation. Companies that delay action risk being overwhelmed by these demands as the deadline draws near.
  3. Avoid supply chain disruption Supply chain partners, including suppliers and distributors, also need to be aligned with DPP requirements. Businesses which fail to prepare will run the risk of suffering disruptions in supply chain continuity, delayed shipments, and higher operational costs as suppliers struggle to meet DPP obligations.
  4. Competitive advantage for early adopters Businesses that move early will be better positioned to gain access to sustainability-focused markets, achieve regulatory compliance ahead of time, and market themselves as sustainability leaders. Early movers can establish partnerships and customer loyalty well before their competitors catch up.
  5. Reduced risk of penalties and market exclusion Failure to meet DPP deadlines will likely result in fines, restrictions on market access, and reputational damage. As DPP compliance becomes a precondition for doing business in the EU, companies which are unprepared could face costly enforcement actions and potential market exclusion.
  6. Build greater business resilience and agility Companies that adopt DPPs proactively are better positioned to respond to future regulatory changes. As sustainability requirements evolve, having a DPP system in place ensures agility and resilience, enabling businesses to meet new obligations quickly.

The time to act is now

Prepare your business for the future by embracing DPPs now. Avoid compliance risks, reduce costs, and gain a competitive edge by ensuring your data is accurate, accessible, and ready for evolving regulations. Start your journey with a robust PIM solution to simplify implementation and drive efficiency.

Get Started—Contact Us for a Consultation or Download Our DPP Guide Today!