Global Digital Product Passport Market Size, Trend & Opportunity Analysis Report, by Offering (Software, Services, Discrete ATE, Others), and Forecast, 2024–2035

Market Definition and Introduction

The global Digital Product Passport market was valued at USD 213.9 million in 2024 and is anticipated to reach USD 93,367.44 million by 2035, expanding at a CAGR of 41.00% during the forecast period (2024–2035). The new-age industries engaged with manufacturing, retailing, and consumer products are undergoing a metamorphosis to embrace extensive transparency and sustainability. Thus, the fast adoption of Digital Product Passports (DPPs) was seen. These electronic passports or records that go along with the product give information about anything and everything from beginning to end with respect to the origin, composition, life cycle, and eventual recycling of the product. With recent initiatives in Europe to bring down regulations regarding digital traceability for textiles, electronics, and automotive products, firms need to fast-track investments into DPP platforms seamlessly linked to their corporate supply chain systems. Growing awareness of the principles of a circular economy is ensuring that manufacturers are now tracking not only the inputs to their production but also preparing in advance for recovery, remanufacturing, and recycling at the end of a product's life-creating new value streams.

At the same time, regulatory requirements are intertwined with consumers' demand for authenticity and ethical sourcing. From luxury fashion houses to electronics components manufacturers, the race for adoption of DPP technology is both a reputational safety net and a competitive advantage. Increasingly, consumers are making purchase decisions based on verified sustainability data, while governments and policymakers continue setting aggressive net-zero targets. The Digital Product Passport thus becomes the bridge that links regulatory obligation with competitive differentiation, allowing companies to pivot the way they engage with their customers.

On the supply side, technology providers are working on scalable solutions built on blockchain, cloud, and AI-driven architectures. These solutions not only capture real-time product lineage but also enable data integrity and interoperability across ecosystems. Enterprises that formerly viewed compliance as a cost centre are now discovering that the digital passport unlocks predictive maintenance, secondary market monetisation, and customer loyalty enhancement. Hence, the ensuing growth in this market is not just driven by regulation but has been strategically anchored in redefining industrial competitiveness, brand transparency, and digital-first customer engagement.

Recent Developments in the Industry

With this in mind, SAP has launched a captivatingly integrated, cloud-based passport platform for manufacturers and retailers.

In March 2024, SAP unveiled a cloud-based Digital Product Passport solution, which will enable manufacturers to glean more insights for testing purposes on compliance with EU sustainability legislation, alongside ensuring product raw material-to-recycling life tracing.

IBM, with Everledger, expands its scope for the creation of solutions that authenticate products using a blockchain-based platform.

In June 2024, the collaboration entered into between IBM Corporation with Everledger increased the strength of the association to introduce blockchain-integrated DPPs for luxury products as well as critical raw materials, thereby achieving supply chain resilience and tamper-proof authentication.

Microsoft Debuts Artificial Intelligence Analytics in Digital Product Passport Systems.

In February 2025, Microsoft Corporation will deploy AI-enabled modules in its sustainability cloud, aimed at predictive lifecycle assessments, and will automate regulatory reporting on digital passports.

Circularise raises significant investment to establish decentralised passport solutions at scale.

In September 2023, Circularise announced the launch of a EUR 25 million funding round to scale up its decentralised DPP blockchain infrastructure throughout Europe's automotive and plastics industries.

Oracle Corporation integrates digital passport modules into the ERP ecosystem.

In November 2024, Oracle incorporated additional DPP modules into its ERP suite additional DPP modules, providing enterprises with end-to-end integration of sustainability reporting, product lifecycle data, and compliance documentation within a single platform.

Market Dynamics

Global regulatory compliance challenges are hastening the adoption of digital product passport frameworks.

Government mandates, especially in the EU, are the main drivers of the Digital Product Passport market, as the regulatory frameworks under the Green Deal are leading to transparency in reporting product sustainability. Firms are being forced to digitise supply chain data to ensure compliance and market access, thus thrusting DPP integration from a compliance-oriented voluntary exercise to a much-needed commercial imperative.

The growing consumer consciousness for transparency makes product information a key factor of competition.

The sustainability-aware and brand-conscious consumer is now putting the onus squarely on the brands for disclosing the traceability information. An elaborate DPP can allow customers to scan and access information on carbon footprint, ethical sourcing, and recyclability, enhancing brand credibility and loyalty. The trend is to have corporates view DPP as a consumer engagement tool and competitive brand-building tool rather than a compliance headache.

Integration challenges and data interoperability are constraints to realisation across industries.

The tremendous potential of DPPs is hindered mainly by cross-industry interoperability and standardisation. Lack of common protocols for digital passports is disturbing some of the tech vendors versus some of the global companies operating in different areas. High implementation costs and the difficult integration of legacy systems are still holding back adoption, particularly among SMEs.

Fast technological changes provide the opportunity for building scalable and future-proof passport systems.

Artificial Intelligence, blockchain, and IoT-based connectivity are opening doors for scalable and secure digital passports. Technology providers are building interoperable frameworks that interconnect the diverse actors within the supply chain, providing real-time visibility and secure data exchange, promising not only compliance but also profitability through predictive analytics, product authentication, and value recovery at the end of life.

The circular economy and the net-zero transition = new business opportunities fueling digital traceability.

As industries pivot towards circular business models, the DPP will be key in closing resource loops to manufacture and optimise. Businesses that take on these models can start reducing waste while complying and monetising product lifecycle data through remanufacturing, resale, and recycling efforts for accelerating new revenue opportunities in the digital economy.

Attractive Opportunities in the Market

Circular Economy Push – Expanding adoption of DPPs to enable recycling, reuse, and closed-loop manufacturing systems.
EU Green Deal Compliance – Regulatory mandates accelerate demand for transparent digital product records across industries.
Blockchain Integration Surge – Immutable records increase trust and enhance cross-border product authentication systems.
Consumer Trust Leverage – Brands utilise DPPs to engage customers through verified sustainability and ethical sourcing data.
AI-Driven Lifecycle Insights – Predictive models enhance efficiency by analysing product lifecycles for maintenance and recycling.
SME Adoption Acceleration – Modular, low-cost solutions bring DPPs within reach of small and mid-sized enterprises.
Luxury Sector Expansion – High-value goods such as jewellery and fashion lead authentication-focused passport adoption.
Data Monetisation Models – Product lifecycle intelligence enables manufacturers to generate new revenue streams.
Cross-Sector Partnerships – Collaboration between tech providers and manufacturers drives large-scale passport deployments.
Asia-Pacific Manufacturing Boom – Regional growth in electronics and automotive accelerates DPP adoption.

Report Segmentation

By Offering: Software, Services, Discrete ATE, Others

By Region: North America (U.S., Canada, Mexico), Europe (UK, Germany, France, Spain, Italy, Spain, Rest of Europe), Asia-Pacific (China, India, Japan, Australia, South Korea, Rest of Asia-Pacific), LAMEA (Brazil, Argentina, UAE, Saudi Arabia (KSA), Africa Rest of Latin America)

Key Market Players

SAP SE, IBM Corporation, Circularise, Oracle Corporation, Microsoft Corporation, Digimarc Corporation, Everledger, iPoint-systems GmbH, AVERY DENNISON CORPORATION, and Rfgen Software.

Report Aspects

Base Year: 2024
Historic Years: 2022, 2023, 2024
Forecast Period: 2024-2035
Report Pages: 293

Dominating Segments

Commercialisation of Digital Product Passports: Software Segment Usage

Software entails the essential foundation of the Digital Product Passport market because enterprises have adopted the robust, cloud-enabled platforms integrating ERP systems as well as supply chain management platforms. All regulatory requirements necessitate life cycle transparency from end to end, and companies must automate compliance, build consumer trust, and generate value through predictive insights with automation through software solutions. The extensibility and customisation feature on these solutions marks the critical enablers for wide adoption.

Service segment rises as necessary in consulting, compliance, and integration support.

Most enterprises are now facing a lot of challenges towards deploying DPP frameworks into their organisations, which has increased demand for these services. Most of them are consultancy services in terms of regulatory compliance, technical integration with legacy IT systems, and training for digital-first supply chains. Due to the inherent complexity associated with the DPP adoption for most multinationals, such unique services contribute greatly toward shortening time-to-market as well as ensuring operational continuity.

The discrete ATE segment will be enhanced with the increased automation of manufacturing verification systems.

Automated Test Equipment (ATE) is rapidly gaining popularity as one of the most important fields in polymer technology, set to experience a lot of growth with the adoption of DPPs in manufacturing industries such as electronics and automotive. By incorporating DPP functionality into production lines, manufacturers will be able to verify the authenticity and quality of the components under manufacturing in real-time. In this way, precision in compliance can be improved while operating efficiency increases as fraud is reduced and production processes get in line with the archetype of the circular economy.

The other segment includes niche applications in RFID, QR codes, and other emerging technologies.

Such innovative tagging and labelling solutions have steadily carved their niche in the authentication and real-time tracking of products, which form the content of this Others category. RFID-enabled passports, QR-based tools for consumer engagement, and IoT-enabled tags are some of the examples. In terms of share, they are relatively smaller, but indeed serve as testing grounds for next-generation technologies and consumer-facing applications that stretch the benefits of DPP systems beyond compliance.

Key Takeaways

Software Dominance Confirmed – Cloud-based platforms lead DPP adoption for compliance and lifecycle management.
Service Integration Crucial – Consultancy and compliance services accelerate industry readiness for regulatory deadlines.
Blockchain Power Rising – Immutable data records reinforce transparency and cross-border product trust.
Consumer Demand Pressure – Sustainability-focused buyers push brands toward rapid adoption of traceability systems.
EU Regulation Catalyst – European mandates establish DPPs as an industry-wide compliance necessity.
Asia-Pacific Growth Engine – Expanding manufacturing base drives strong DPP uptake across industries.
Luxury Sector Adoption – Jewellery, apparel, and cosmetics pioneer DPP use for authenticity and branding.
IoT and AI Synergies – Emerging technologies expand digital passport applications beyond compliance.
Interoperability Challenge – Lack of global standards restrains seamless DPP implementation across borders.
SME Opportunity Horizon – Scalable, modular solutions unlock adoption for mid-tier enterprises globally.

Regional Insights

North America is more mature in terms of industrial digitalisation and compliance readiness, which are the anchors for the adoption of digital passports.

Thanks to early investments in its digital infrastructure and regulatory innovation, North America, particularly the U.S., is driving DPP adoption more than any other region. With strong support from technology leaders and increasing consumer demands for traceability, the region is best placed to lead DPP standardisation. The adoption is also being fast-tracked by enormous investments in research and development, along with partnerships between larger manufacturers and enterprise technology providers.

Through the outline given by regulatory interventions, Europe leads in digital product passport frameworks across several sectors.

With stringent sustainability requirements woven into the fabric of the EU Green Deal and Circular Economy Action Plan, Europe holds the flag of DPP adoption high. Such countries as Germany, France, and the Netherlands are heavily investing in compliance-fuelled innovations, mostly in automotive, electronics, and textiles. The region keeps its global leadership by having a very proactive stance on eco-labelling and recycling mandates, as well as cross-border supply chain transparency.

Asia-Pacific cruises adoption with its manufacturing might and growing digital traceability initiatives.

Asia-Pacific is now emerging to become the fastest-growing market, led by its vast manufacturing in electronics, automotive and textiles. To gain access to the world market and ensure compliance with the European and North American import requirements, China and India are, under strong government backing, integrating DPP solutions. At the same time, Japan and South Korea are investing in advanced technologies by embedding blockchain and AI into product lifecycle transparency systems.

LAMEA mines for growth opportunities in economic diversification, founded on sustainability.

While comparatively nascent in the DPP's adoption, the LAMEA is reaping growing momentum in the sectors of fashion, raw materials, and consumer goods. The UAE and Saudi Arabia are actively pushing towards meeting sustainability goals as part of their economic diversification strategy, while Brazil and Argentina are adopting DPPs to increase traceability in agriculture and natural resources. Africa remains an emerging frontier, with gradual adoption focused on meeting sustainability requirements in export markets.

Core Strategic Questions Answered in This Report

What is the expected growth trajectory of the digital product passport market from 2024 to 2035?

The global digital product passport market is projected to grow from USD 213.9 million in 2024 to USD 93,367.44 million by 2035, registering a CAGR of 41.00%. This growth is powered by regulatory mandates, circular economy initiatives, and rising consumer expectations for transparency and sustainability.

Q. Which key factors are fuelling the growth of the digital product passport market?

Several key factors are propelling market growth:

Stringent regulatory mandates, especially within the European Union
Rising consumer demand for ethical sourcing and sustainability data
Rapid advancements in blockchain, AI, and IoT integration
Expansion of circular economy and closed-loop manufacturing models
Strong partnerships between technology providers and manufacturers

Q. What are the primary challenges hindering the growth of the digital product passport market?

Major challenges include:

High implementation costs and integration complexities with legacy systems
Lack of global standards and interoperability across industries
Data security and privacy concerns in cross-border supply chains
Limited awareness and adoption among SMEs
Resistance to change within traditionally structured industries

Q. Which regions currently lead the digital product passport market in terms of market share?

Europe currently leads the digital product passport market, driven by comprehensive regulatory frameworks and strong government-led sustainability initiatives. North America closely follows with strong technological infrastructure and consumer demand for transparency, while Asia-Pacific is positioned as the fastest-growing region due to its expansive manufacturing footprint.

Q. What emerging opportunities are anticipated in the digital product passport market?

The market is ripe with new opportunities, including:

Expansion of AI and blockchain-based passport systems
Growth of luxury and high-value goods authentication applications
Adoption of modular, low-cost solutions for SMEs
Strengthening the role of eco-label certifications
Strategic collaborations driving technological integration and innovation

Key Benefits for Stakeholders

The report offers a quantitative assessment of market segments, emerging trends, projections, and market dynamics for the period 2024 to 2035.
The report presents comprehensive market research, including insights into key growth drivers, challenges, and potential opportunities.
Porter's Five Forces analysis evaluates the influence of buyers and suppliers, helping stakeholders make strategic, profit-driven decisions and strengthen their supplier-buyer relationships.
A detailed examination of market segmentation helps identify existing and emerging opportunities.
Key countries within each region are analysed based on their revenue contributions to the overall market.
The positioning of market players enables effective benchmarking and provides clarity on their current standing within the industry.
The report covers regional and global market trends, major players, key segments, application areas, and strategies for market expansion. Show more