Digital Product Passport (DPP) Market Report 2026

The digital product passport (DPP) market size has grown exponentially in recent years. It will grow from $1.35 billion in 2025 to $1.8 billion in 2026 at a compound annual growth rate (CAGR) of 33.3%. The growth in the historic period can be attributed to growing focus on product traceability, increasing demand for supply chain transparency, rising adoption of sustainability reporting systems, expansion of regulatory compliance requirements, growing use of digital identity for products.

The digital product passport (DPP) market size is expected to see exponential growth in the next few years. It will grow to $5.64 billion in 2030 at a compound annual growth rate (CAGR) of 33%. The growth in the forecast period can be attributed to increasing implementation of circular economy practices, growing demand for real time product lifecycle data, rising adoption of blockchain based product records, expansion of digital compliance platforms across industries, rise in investment for sustainable product tracking systems. Major trends in the forecast period include technology driven innovations in product data platforms, advancements in blockchain and secure data sharing systems, developments in internet of things enabled product tracking, rising research and development in digital sustainability infrastructure, innovation in automated compliance and reporting technologies.

The growing need for product transparency and traceability is anticipated to drive the expansion of the digital product passport (DPP) market in the coming years. Product transparency and traceability involve providing verifiable and clear information regarding a product’s origin, materials, manufacturing processes, and supply chain journey that both consumers and stakeholders can access. The surge in demand for product transparency and traceability stems from increasing consumer and regulatory pressure for evidence of ethical sourcing, responsible production, and verified quality throughout the supply chain. The digital product passport (DPP) facilitates product transparency and traceability by offering standardized digital records that make product information accessible and verifiable across the value chain, from manufacturers to end users. For example, in March 2024, according to GS1 UK, a UK-based industry standards organization, the proportion of UK consumers interested in scanning a QR code on packaging to access point-of-origin and sustainability information rose by 56 % in 2024, representing an 8.3 % increase compared to the previous year. Consequently, the rising demand for product transparency and traceability is fueling the growth of the digital product passport (DPP) market.

Major companies operating in the digital product passport (DPP) market are concentrating on creating advanced functionalities, such as offering detailed information about a product, to improve transparency, traceability, and circular economy practices. Offering detailed information about a product involves providing comprehensive data on a product’s materials, origin, manufacturing methods, usage, maintenance, and end-of-life options, allowing consumers, businesses, and regulators to make informed decisions. For example, in January 2025, Madaster Foundation, a Netherlands-based organization specializing in sustainable building and product data management, introduced its Digital Product Passport (DPP) platform. The platform allows users to access complete lifecycle information about products, including material composition, environmental footprint, and reuse potential. This solution supports sustainability efforts, promotes circular economy practices, and enables stakeholders to make data-driven choices throughout the product lifecycle.

In December 2024, Spherity GmbH, a Germany-based provider of digital identity and product traceability software, acquired Xylene Inc. for an undisclosed amount. Through this acquisition, Spherity intends to enhance its digital product passport offerings by incorporating Xylene’s advanced digital product passport (DPP) platform, facilitating more transparent, secure, and interoperable product traceability, compliance, and sustainability reporting across international supply chains. Xylene Inc. is a US-based technology firm specializing in digital product passport infrastructure and lifecycle tracking solutions.

Major companies operating in the digital product passport (dpp) market are Microsoft Corporation, Siemens AG, Hitachi Ltd., Accenture plc, International Business Machines Corporation, Oracle Corporation, Schneider Electric SE, SAP SE, ABB Ltd., Fujitsu Limited, NEC Corporation, NeXt eXPerience Semiconductors, Atos SE, Rockwell Automation Inc., Dassault Systèmes SE, Hexagon AB, Autodesk Inc., PTC Inc., Bentley Systems Incorporated, Robert Bosch GmbH.

Europe was the largest region in the digital product passport (DPP) market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the digital product passport (dpp) market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the digital product passport (dpp) market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs have impacted the digital product passport market by increasing the cost of importing hardware components like iot sensors, barcode scanners, and secure storage devices, causing supply chain disruptions. regions such as europe and asia-pacific, which are major manufacturing and technology hubs, are most affected, particularly in the hardware and software segments. however, tariffs have also encouraged local production and innovation in cloud-based and software-driven solutions, creating opportunities for domestic suppliers to capture a larger market share. overall, while tariffs pose challenges, they drive efficiency and innovation in compliance and traceability solutions.

The digital product passport (DPP) is a digital system designed to store, manage, and share comprehensive product information throughout its entire lifecycle, encompassing origin, materials, sustainability data, and compliance records. Its main goal is to enhance product transparency, traceability, and adherence to regulations through secure and standardized digital documentation. Additionally, it facilitates circular economy initiatives, responsible sourcing, and informed decision-making across international supply chains.

The primary components of digital product passports include software, hardware, and services. Software enables the creation and management of digital product information throughout its lifecycle. Deployment options include on-premises and cloud solutions. Enterprise sizes range from small and medium enterprises to large corporations. Applications span textiles, electronics, automotive, food and beverages, cosmetics, pharmaceuticals, and others, used by manufacturers, retailers, consumers, regulators, and others.

The digital product passport (DPP) consists of revenues earned by entities by providing services such as product traceability platforms, lifecycle data management systems, regulatory compliance software, blockchain-based verification solutions, and digital identity management tools. The market value includes the value of related goods sold by the service provider or included within the service offering. The digital product passport (DPP) includes sales of cloud-based data platforms, Internet of Things-enabled tracking devices, secure data storage systems, and product authentication solutions. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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