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Depending on the industry you work in, that might hinge on you being able to provide a Digital Product Passport together with your product.
Digital P... Whatdidyoucallit?
The European Union is introducing the Digital Product Passport regulation, starting by the end 2027. The regulation requires products sold in the EU to be accompanied by a DPP providing, in a standardised and comparable format: data on circularity, environmental impact, repairability, reusability, proper disposal and ethical production methods. (Complete details coming by end of 2025)
In other words, all kinds of data that you probably have no clue about today. At least if you aren't a rare exception to the rule. Do you know the carbon footprint of your products, for example? From "cradle to grave", that is. Not only in your segment of the production chain but from extraction/production of raw materials to recycling or deposit.
The Purpose of Digital Product Passports
DPP is part of the larger Ecodesign for Sustainable Products Regulation (ESPR). As the name tells, the regulation is intended to lead to products and production processes increasingly being designed with circularity and reduced environmental impact as a prime factor from the outset. Not, as is so often the case today, as an afterthought. "Here we have a fancy new product with all kinds of bells and whistles, how can we make it less bad for the environment?"
DPP's are intended as a mechanism where the increased transparency and comparability of products will lead sufficient numbers of concerned consumers to choose products with better environmental performance, leveraging the commercial forces of the market to make it essential for producers to improve circularity and environmental performance for competitive reasons.
No DPP, No Sale.
If you're in one of the concerned industries, it will be quite clear-cut: Without a Digital Product Passport, you will not be able to sell your goods in the EU. It will be like trying to sell a car without an engine, a chair without legs. Providing a Digital Product Passport will be as essential as providing a complete physical product.
What Kind of Data?
The specifics are still being worked on, but the principles are clear. Environmental impact, circularity, ease of repairs, absence of substances impacting the environment negatively as well as the absence of production methods impacting people and the environment negatively (child labour or deforestation, for example).
All of this in standardised formats to make it easy to compare products with each other.
Goodbye greenwashing
Obviously, this is not a one-time effort. DPP's will need to be kept up-to-date. As suppliers and methods change, as products develop, as certificates expire, the Digital Product Passports will require updating. It will be a major initial task, followed by new processes for continued validity.
Which Industries?
The most recent list of industries to be in the front line that we have seen is:
Batteries (a separate, but parallel directive)
Garments and footwear
Iron and steel
Electronics and ICT
Furniture
Chemicals, detergents and paints
Aluminium
Tyres and lubricants
Read more in this blog post from January 2024
What You Need to Do
As you might have started guessing by now, there's no time to lose, ir you're a producer or retailer in any of those industries wanting to be able to sell in the EU. This blog is full of advice and pointers.
We suggest you start by reading last week's blog post 8 challenges facing businesses when implementing Digital Product Passports. Then, we suggest you browse through the full list of blog posts here
One thing is for sure: If you're in one of the industries listed, there's no time to lose in getting started.
Image by CoffeeAndMilk on iStock
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