82% of Companies Unprepared for Digital Product Passports, Loftware Research Reveals

Report highlights need for businesses to embrace digital transparency ahead of upcoming regulations

Portsmouth, NH — January 28, 2025 – 82% of companies are unprepared for EU Digital Product Passports (DPPs) according to research from global supply chain specialist Loftware, the world’s largest cloud-based labeling company. This comes at a time when a new era of product transparency is poised to transform the way consumers purchase items, spanning industries from automotive and retail to electronics, pharmaceuticals, and food and beverage.  

The global survey, which draws on insights from over 400 supply chain professionals across industries in 55 countries, found that only 18% of global manufacturers are currently using DPPs to provide an audit trail of their products through the supply chain - even though 63% expect DPPs to be more widely adopted within the next three years.

"A digital product passport enhances supply chain transparency and efficiency by centralizing real-time product data, improving traceability, streamlining operations, and ensuring regulatory compliance. It also fosters consumer trust and engagement by offering detailed product information and interactive experiences, while enabling swift responses to risks such as recalls or counterfeit issues,” said Jim Bureau, President & CEO at Loftware.

DPPs are being launched by the EU to improve supply chain traceability and sustainability. Being able to trace products both upstream and downstream is vital for managing the product lifecycle and ensuring sustainable sourcing. DPPs will be key to achieving this. By scanning a product’s digital passport, stakeholders can access information about its origin, ingredients, sustainability practices, and more, enabling them to make more informed choices.  

DPPs are expected to be introduced in the construction industry by 2026 and mandatory for industrial and electric vehicle batteries by 2027. Plans to expand DPPs to textiles, electronics, and building materials are also underway. 
For more information about Loftware’s research, access the full report here. 

About Loftware:

No matter what the challenge – digital transformation, time to market, or brand authenticity - Loftware can help you make your mark. We understand how global supply chains work and know that each item you produce, and ship is an expression of your company’s brand. We can help you improve accuracy, traceability, and compliance while improving the quality, speed, and efficiency of your labeling. Our end-to-end cloud-based labeling platform helps businesses of all sizes manage labeling across their operations and supply chain and our solutions are used to print over 51 billion labels every year. Loftware also fosters supply chain agility and supports evolving customer and regulatory requirements, helping companies save over $200 million in fines annually. And with over 500 industry experts and 1,000 global partners, Loftware maintains a global presence with offices in the US, UK, Germany, Slovenia, China, and Singapore making us a trusted partner for companies in automotive, chemicals, clinical trials, consumer products, electronics, food & beverage, manufacturing, medical device, pharmaceuticals, retail/apparel, and more.