Over 62.5 billion apparel digital product passports to be issued by 2030

The European Union is leading the way with Digital Product Passports (DPPs) to provide comprehensive product data across the value chain.

High-impact sectors like batteries, vehicles, textiles, electronics, furniture, plastics, construction, and chemicals are the first to adopt DPPs.

Apparel DPPs are gaining momentum ahead of regulations, especially among sports brands. Brands will use DPPs to identify supply chain issues, reduce overproduction, verify compliance and authenticity, and create branded resale ecosystems.

According to global technology intelligence firm ABI Research, by 2030, over 62.5 billion DPPs will be globally created for the apparel sector, with supporting software and IT revenues of $1.59 billion to accelerate traceability and positive change across the fashion industry.

Rithika Thomas, sustainable technologies senior analyst at ABI Research, said: “DPPs encourage OEMs and suppliers to enhance textile efficiency, reduce overproduction, promote product reuse and repair, and demonstrate sustainability, increasing product value. However, practical implementation, data structure, and accessibility are still evolving in this emerging market.

“DPP solution providers should emphasise the value for suppliers and consumers to scale adoption beyond just meeting regulatory compliance.”

By 2030, all apparel sold in Europe will require a DPP due to mandatory regulations, accelerating DPP adoption from 2027 onward.

Ms Thomas added: “DPP tools are being viewed as adjacent software applications which are interoperable and seamlessly extract data from Enterprise Resource Planning (ERP), Environmental Product Declarations (EPD), and Life Cycle Assessment (LCA)/Product Lifecycle Management (PLM) software and retain supply chain/product data with open accessibility during the product lifecycle.”

As mandatory EU regulations take effect in 2027, DPP solution providers should prepare a competitive pricing model to increase adoption across the supply chain and promote inclusion.

Ms Thomas said: “To strengthen DPP offerings, solution providers should identify target customers in relevant vertical ecosystems with industry-specific solutions, adapt to nuances in regional supply chains, offer a robust compliant data structure, provide solid customer support, and furnish incremental updates to cater to the evolving regulatory landscape.”