Digital Product Passport (DPP)
The DPP is a digital record or “digital twin” of a product containing key information about its composition, origin, and lifecycle. The digital passport is a solution proposed to promote transparency, circularity, and sustainable production and consumption.
The goal of the DPP is to make relevant product information available to all stakeholders, including consumers, so they can better understand the products they use and their impact. Key Information Contained in the DPP:
- Product Traceability and Identification: Unique product code, materials, origin, specifications, place of manufacture, batch, and date.
- Ownership and Usage History: Manufacturer warranty.
- Environmental Impact: Carbon footprint, recyclability, and disposal suggestions.
- Authentication and Anti-Counterfeiting Measures.
How Does the DPP Work and How is Authentication Validated?
The DPP integrates authentication and RFID technologies to provide a secure and transparent digital identity for products. RFID tags are placed on materials, semi-finished and finished products, and/or reusable transport containers during manufacturing to automatically capture information about the product and/or process.
Data collected automatically from these RFID tags at various stages are sent to a central cloud system, capturing the entire journey and critical information of the product, creating a “digital twin.” Each product is assigned a unique EPC (Electronic Product Code) through an RFID tag that also includes a unique serial number. Both identifiers are linked to a cloud server to verify the product’s existence and authenticity.
When the tag is scanned, the user accesses an encrypted server to validate authenticity and view detailed product information, including origin, materials, environmental impact, care instructions, and recycling guidelines.
Regulatory Compliance
The EU Green Deal aims to make the economies of member countries and their suppliers more sustainable and reduce greenhouse gas emissions by 55% by 2030 compared to 1990 levels. The Circular Economy Action Plan (CEAP), part of this initiative, focuses on reducing consumption and increasing the use of circular materials in key sectors such as electronics, textiles, and furniture. It also aims to educate and empower consumers, making sustainable products the standard in the EU. Key Dates for Digital Product Passport (DPP) Compliance:
- July 2024: The Ecodesign for Sustainable Products Regulation (ESPR) was approved in the EU.
- December 2025: The CEN/CLC/JTC24 will deliver standard norms for the Digital Product Passport (DPP) system.
- January 2026: Publication of the act for textiles with specific requirements by product category.
- July 2027: Deadline for compliance with the standard and implementation of the DPP.
The U.S. is also considering regulatory changes under the U.S. Trade and Investment Law (The Americas Act) to reduce dependence on Chinese manufacturing and boost domestic and regional textile production. The law focuses on circular fashion with over $14 billion in incentives for textile recycling, resale, and waste sorting. As the first federal bill targeting textile circularity, it enjoys bipartisan support but faces a challenging legislative process. Key provisions include a 15% tax reduction for companies involved in textile reuse and recycling, reshoring and nearshoring incentives, and closing tax loopholes that currently allow e-commerce giants like Shein and Temu to avoid U.S. import duties.
Invento can guide you through these requirements, helping you implement the necessary measures to achieve full compliance, enhance product sustainability, and boost brand value. Contact us for more information.