Digital product passport market projected to reach $5 billion by 2035

The global market for battery passports and digital product passports (DPP) is projected to grow from $307 million in 2025 to over $5 billion by 2035, according to research from Astute Analytica. This represents a compound annual growth rate (CAGR) of 32.5%.

Growth is being driven by new regulatory requirements in the European Union. Under EU Battery Regulation (2023/1542), battery passports will become mandatory on February 18, 2027, for electric vehicle batteries, light means of transport (LMT) batteries, and industrial batteries with a capacity exceeding 2kWh. Additionally, the European Commission is advancing the Digital Product Passport Registry, which is expected to be operational by July 2026.

Beyond batteries, the scope of DPP is expected to expand under the Ecodesign for Sustainable Products Regulation (ESPR). Priority sectors for future implementation include steel, textiles, tires, aluminum, furniture, and ICT products. This shift requires companies to manage comprehensive lifecycle data, including raw material origins, manufacturing details, durability, and recycling information, to maintain competitiveness in global supply chains.