Digital Product Passport in brief
What is the Digital Product Passport?
- he Digital Product Passport (DPP) is a unique product label that gives every stakeholder access to product information. This information covers the entire life cycle of a product across the whole value chain.
- This increases product transparency and traceability for all stakeholders, thereby encouraging circularity and sustainable design.
- The Digital Product Passport applies to all products placed on the European market, even if they originate from outside the EU. Excluded sectors include food, animal feed, and pharmaceutical products.
- The party placing the product on the European market is responsible and must ensure a passport is available for the product. If this party is based outside Europe, responsibility shifts to the retailer or party placing the product on the market in Europe.
When Do Digital Product Passports Become Mandatory?
- The DPP forms part of the Ecodesign for Sustainable Products Regulation (ESPR), which came into force on 18 July 2024.
- The first product categories required to meet ESPR requirements are resource- and energy-intensive products: iron and steel, aluminium, textiles (clothing and footwear), furniture (including mattresses), tyres, detergents, paints, lubricants, chemicals, energy-related products (including new measures and revisions of existing ones), and ICT products and other electronics.
- The first product groups expected to fall under the DPP regulation in 2026 are textiles and footwear, as well as batteries. By 2030, most legislation will be in force for all relevant products.
The EU’s Digital Product Passports
Digital Product Passports (DPPs) form part of the Ecodesign for Sustainable Products Regulation (ESPR). The Digital Product Passport is a particularly innovative aspect of the ESPR and will provide consumers with the information they need to make more sustainable choices.
Digital Product Passports are unique product tags (e.g., a QR code) allowing any stakeholder to access a product's sustainability information across the entire value chain. This applies to consumers, importers, and regulatory authorities alike. Digital Product Passports will improve the transparency of product value chains. This makes it easier for relevant authorities to monitor and enforce regulatory compliance. It also enables consumers to make better-informed purchasing decisions.
Furthermore, the European Commission expects the ESPR to prevent false sustainability information from being shared by manufacturers and retailers, a practice known as greenwashing. Under the ESPR, businesses will have to substantiate all claims regarding their product's environmental performance with supporting evidence.
What information must be included in the Digital Product Passport?
The Digital Product Passport will contain information on the product's environmental impact, such as its carbon footprint and options for reuse and recycling. This information will help consumers make informed decisions and encourage manufacturers to design products sustainably.
The exact information to be disclosed will be specified for each product group in Delegated Acts. However, the following information must be included in the Digital Product Passport:
- Sustainability performance information
- Traceability
- Declaration of conformity
- Technical documentation
- User manuals
- Information on the manufacturer, importer, or authorised representative
The information will be stored in a register established by the Commission and will be accessible via a data carrier on the product, its packaging, or documentation. The information in the passport is not static and is continuously updated. Other parties along the supply chain—suppliers, consumers, and subsequently repairers or recyclers—can also add data to the passport.
Context: Ecodesign for Sustainable Products Regulation
On 30 March 2022, the European Commission proposed a new regulation aimed at establishing a general framework for ecodesign requirements for sustainable products. The proposed regulation replaces existing rules, which primarily focused on energy-related products.
The goal of the new legislation is to make all products on the internal market more environmentally friendly by ensuring they are more durable, reusable, repairable, upgradable, and recyclable.
In addition to the Digital Product Passport, the proposed legislation includes rules on green public procurement. This means public authorities will be encouraged to prioritise sustainable products in their purchasing decisions. The legislation also aims to prevent the destruction of unsold goods by partially banning the practice.
Overall, the proposed legislation represents a step towards a more sustainable future. It introduces new rules to help reduce the environmental impact of products and encourages manufacturers to design with sustainability in mind.
Read more in our article Ecodesign for Sustainable Products Regulation (ESPR) context, consequences and how to comply - Hedgehog Company (hhc.earth)
Which product sectors are first in line for ESPR?
The Digital Product Passport initially targets consumer electronics, batteries, and textiles. Environmental regulatory frameworks already exist for most of these sectors, and the ESPR is intended to work alongside current relevant legislation.
The Digital Product Passport will apply to businesses of all sizes—from large enterprises to SMEs, and across both B2B and B2C companies.
This sets clear expectations and full transparency for all supply chain actors. However, it may also place additional pressure on SMEs and delay implementation. As an alternative, the European Commission is considering applying DPPs to large companies first, phasing in SMEs at a later stage.
Preparing for your Digital Product Passport
Businesses can already take several steps to prepare for the upcoming Digital Product Passport:
- Collect and organise product data: Start gathering and organising information about your products, including details on their composition, energy efficiency, and overall environmental impact. These insights will ultimately form the core of your Digital Product Passport. This process requires close collaboration across internal teams, including product design, engineering, and sustainability. Seeking support from LCA (Life Cycle Assessment) consultants may also prove beneficial.
- Explore digital platforms and technologies: Begin exploring digital platforms and technologies that can help manage Digital Product Passports. Tools such as blockchain and Internet of Things (IoT) sensors can ensure data accuracy and transparency. Additionally, collaborate with trade associations and standardisation bodies to ensure product information remains consistent and aligned with forthcoming legal requirements.
- Engage with stakeholders: Speak with customers and other stakeholders to understand their expectations and priorities regarding sustainability and transparency. This insight helps align your product information and communication strategies, while feedback can highlight opportunities for product improvement and innovation.
- Invest in employee training: Invest in training and education for your staff to build internal expertise on Digital Product Passports and broader sustainability topics. This ensures team members possess the knowledge and skills necessary to implement and manage DPPs effectively.
By proactively taking these steps, you can successfully position your business in a rapidly changing regulatory and market landscape focused on sustainability and transparency.
