How the Digital Product Passport Will Reshape Fashion Supply Chains

Consumer CompactSoftlinesJan 21, 2025

The textile and apparel industry is on the cusp of transformation. The EU Green Deal targets carbon neutrality by 2050, reinforced by regulations such as the Green Claims Directive and the Eco-design for Sustainable Products Regulation (ESPR). These mandate unprecedented transparency in supply chains. Central to this transformation is the Digital Product Passport (DPP), a revolutionary tool that enhances transparency, sustainability and traceability across the product life cycle.

Legislative moves

Sustainability is now a key market driver as consumers increasingly demand proof that purchases align with their ethical standards. Until now, companies in the fashion sector have relied on voluntary certifications to demonstrate sustainability. However, while these can be effective, they often only address a single issue – e.g. ‘organic’ – leaving room for inconsistencies in their application and interpretation.

New European Union (EU) legislation is ushering in a paradigm shift. Fashion brands operating in the EU will need to transition from market-driven, voluntary compliance to legislatively mandated compliance. Adherence to regulatory baselines for assessment and verification will reduce the issues related to perception and consistency.

Introduced in 2019, Ursula von der Leyen, President of the European Commission, described the EU Green Deal as Europe’s “man on the moon moment.” At its core, the deal seeks to establish a climate-neutral EU by 2050. A critical pillar of this ambition is promoting a circular economy, where products and materials are used, reused and recycled to minimize our dependency on virgin resources.

The EU Green Deal has already resulted in several pivotal legislative initiatives, including:

Green Claims Directive – expected to take effect in 2025 but still subject to legislative finalization, this directive will require companies to substantiate all environmental claims through impartial, third-party verification. The aim is to eliminate misleading ‘greenwashing’ practices
ESPR – replacing the Ecodesign Directive, the ESPR mandates that products be durable, repairable and recyclable. Although requirements may vary depending on the product, this regulation enables consumers to make informed decisions by ensuring the attributes are clearly communicated

What is the Digital Product Passport?

The DPP is the cornerstone of the EU’s strategy for achieving the sustainability goals outlined in the Green Deal. Serving as a digital twin to each physical product, the DPP documents the product’s entire lifecycle, capturing key events alongside critical sustainability data.

The exact metrics are currently being finalized by the EU and may evolve, but currently, they follow the key principles of durability, repairability, recyclability, recycled content, greenhouse gas emissions and water consumption. Each metric will be presented in a standardized format as a comprehensive ‘score’ to ensure consistency and comparability. The DPP enhances trust in environmental claims by centralizing and systematizing the collection and verification of this information through third-party assessment bodies accredited by EU member states.

With reliable and transparent data at their fingertips, consumers are empowered to make informed, sustainable purchasing decisions with greater ease, fostering confidence and driving demand for eco-friendly products.

Each DPP consists of three key components:

Verified environmental data on the product’s sustainability metrics
DPP platform – stores and provides access to verified data
QR code on the product, offering consumers instant access to the verified data without overwhelming them

Beyond point-of-purchase benefits, the DPP also functions as a comprehensive digital biography, tracking the product’s journey from cradle to grave. This will include details such as ownership, maintenance and repair history, facilitating true circular economy practices.

While currently an EU initiative, the potential for the DPP to become a global tool is undeniable, with far-reaching implications for fashion supply chains worldwide. However, widespread adoption would require international cooperation and alignment with non-EU regulations.

Next steps

Compliance with the requirements of the EU Green Deal and ESPR, including the DPP, will be mandatory for all businesses operating in the EU. While some regulations are still being finalized, companies must act now to ensure readiness.

Key actions include:

Conducting an environmental control audit to evaluate current practices and identify gaps in compliance
Appointing an accredited third-party assessment body to support the transition

bluesign^® solution

bluesign, an SGS company, is a trusted partner in compliance and sustainability for textile manufacturers, fashion brands and retailers. Through the bluesign SYSTEM, businesses can ensure consumer safety, minimize environmental impact, and transition seamlessly to the requirements of the DPP.

Services include:

Expert consultation on chemicals and textiles to ensure products are safe, sustainable and compliant
Data verification for product labels in accordance with DPP requirements
Development of an action plan to enhance sustainability efforts

As the EU’s ambitious sustainability agenda reshapes global markets, businesses must prepare for a wave of legislation that will fundamentally alter how they operate. Working with bluesign ensures trusted, in-depth support, enabling compliance while fostering innovation and resilience in a rapidly evolving marketplace.

Future-proof your business and embrace the sustainable future with bluesign’s expertise.