Economic/ Global Trends
Article

EU Digital Product Passport Introduction - What is DPP?

by
International Business Development Group
March 6, 2025
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Summary

Digital Product Passports (DPPs) provide comprehensive, machine-readable data on product performance, sustainability, and circularity to enhance supply chain transparency. Learn how the EU plans to implement these new passports in this overview by International Business Development Group.

Digital Product Passports (DPPs) are digital records embedded within products, offering comprehensive information regarding the product and its supply chain throughout the entire value chain. Their primary objective is to provide all stakeholders, including consumers, with enhanced insights into the materials utilized in products and their corresponding environmental effects. Consequently, DPPs are designed to improve transparency, sustainability, and efficiency by documenting and sharing essential data about a product’s origin, composition, environmental footprint, maintenance requirements, and options for disposal or recycling. 

The European Union has played a significant role in promoting DPPs as part of its European Green Deal and Circular Economy Action Plan. The European Green Deal serves as the EU’s primary policy framework aimed at transforming the region into a modern, sustainable, and competitive economy. Its ultimate goal is to achieve climate neutrality by 2050, which involves reaching net-zero greenhouse gas emissions. This initiative includes a range of policies and strategies designed to improve environmental sustainability while fostering economic growth and social equity. 

Consequently, DPPs are essential to the European Green Deal, aligning with its goals of promoting sustainability, supporting a circular economy, and achieving climate neutrality by 2050. They enhance the framework by enabling transparency, accountability, and better lifecycle management of products, all of which are crucial for the EU’s transition to a green economy. 

The European Green Deal emphasizes the principles of reusing, repairing, and recycling products to reduce waste and reliance on finite resources. In this context, DPPs are vital by providing detailed information about materials, components, and recyclability, thereby streamlining the processes of repair and recycling. They also enable resource traceability, which ensures the recovery of valuable materials at the conclusion of a product’s lifecycle. This assists businesses and consumers in making informed decisions regarding product sustainability. 

In summary, DPPs are vital for realizing the objectives of the European Green Deal by improving supply chain transparency, promoting circular and low-carbon economies, empowering consumers and businesses to engage in sustainable practices, and ensuring compliance with regulations for a greener Europe. By making environmental information readily available and actionable, DPPs contribute to the systemic changes necessary for transitioning to a sustainable, climate-neutral future. 

Who do DPPs apply to? 

DPPs will eventually apply to all products sold on the EU market, regardless of whether they are produced inside or outside the EU. Companies that export products to the EU will need to comply with 3 DPP requirements to maintain market access. This entails collecting and sharing detailed information about a product's composition, origin, and lifecycle. 

Key Elements of the DPP 

DPPs need to provide essential information about a product in three key areas: Performance, Sustainability, and Circularity. 

Performance refers to details about a product's functionality and efficiency. For example, a DPP for an appliance would include information like on its energy consumption, helping consumers understand its operational performance. 

Sustainability focuses on the environmental impact of a product. This includes its carbon footprint, which details greenhouse gas emissions across its lifecycle - from manufacturing and transportation to usage and disposal. Additionally, resource efficiency highlights how effectively a product uses essential resources like water, energy, and raw materials, which is particularly relevant in industries such as textiles. Another crucial aspect is chemical safety, which provides information on hazardous substances present in the product, ensuring consumers are aware of any potential health risks. 

Circularity provides insights into how a product can be reused, recycled, or disposed of responsibly. Repairability information includes the availability of spare parts and repair manuals, which is especially important for extending the lifespan of electronics. Recyclability outlines which materials can be recycled and how, such as a piece of furniture with specific recyclable components. Finally, end-of-life management offers guidelines for proper disposal to recover valuable materials and minimize waste. 

Which industries are applicable?

DPPs will play a crucial role in sectors where understanding a product's lifecycle can greatly enhance sustainability and circular economy efforts. Industries such as textiles, construction, electronic waste, plastics, chemicals, and automotive are currently facing substantial pressure and initiatives to implement more sustainable business practices. 

As outlined in the EU Ecodesign for Sustainable Products Regulation (ESPR), the first batch of products that will need to have DPPs include: 

• Iron and steel 

• Aluminium 

• Textiles (garments and footwear particularly) 4 

• Furniture 

• Tyres 

• Detergents 

• Paints 

• Lubricants 

• Chemicals 

• Energy-related products with eco-design requirements 

• Information and communication technology products & other electronics 

More categories will be known in the upcoming years, as the Commission is set to regularly update the list of products having to comply with the Regulation. Products with a high environmental impact and potential for improvement will be prioritized. 

When will DPPs be implemented? 

DPPs are not mandatory yet, but they will soon be required for a range of products. 

DPPs are anticipated to be adopted by the EU and mandated between 2026 and 2030. Their implementation will occur in phases. 

2024: The ESPR came into effect on July 18, 2024, laying the groundwork for DPP requirements. 

2026: The European Commission's digital registry is expected to be capable of storing unique identifiers for DPPs by 2026, marking a significant step toward full implementation. 

2026-2030: DPPs are anticipated to become mandatory for various product categories, with full implementation expected by 2030. 

What information needs to be included in a DPP? 

Data requirements for the specific products or product groups might vary and more information will be published closer to 2026. However, below are the data requirements for DPPs. Each DPP links to a unique product ID via a data carrier (e.g., barcode, QR code) placed on the product, its packaging, or in accompanying documentation. All information in the DPP is structured, machine-readable, and based on open standards, making it searchable and compatible with digital systems. 

• Comprehensive Product Information. The DPP should contain key details about the product model, batch, or individual item, enhancing transparency across the supply chain.  

• Clear details on Performance, Sustainability, and Circularity. For example, Material sourcing, Carbon footprint, Percentages of recycled materials used, Product durability, Repurposing and recycling guidelines. 

• Compliance with Global Standards. For example, ISO/IEC 15459:2015 standards to ensure consistency, quality, and global interoperability. 

Key Considerations 

• Regulatory Compliance: Adhering to DPP requirements will be essential for exporters to continue operating in the EU market. 

• Supply Chain Transparency: Companies will need to enhance transparency across their supply chains to gather the necessary data for DPPs. 

• Sustainability Reporting: DPPs will facilitate monitoring and reporting on Environmental, Social, and Governance (ESG) commitments, aligning with global sustainability trends. 

International Business Development Group
International Business Development Group

IBDG, the International Business Development Group, is a specialist business development consultancy operating in Europe; Eastern Europe; USA and Middle East.

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