PCDS A New Step Towards Transparency

PCDS – A New Step Towards Transparency

PCDS - A New Step Towards Transparency

In today’s business environment, the concept of a circular economy is becoming increasingly important. Companies strive to reduce waste and maximize resource utilization throughout the entire product lifecycle. With growing pressure from regulatory bodies and consumers for transparency and sustainability, standardized systems are becoming key tools for ensuring data reliability. In this context, the Product Circularity Data Sheet (PCDS) represents a significant step toward standardizing and enhancing transparency in product circularity data.

Recently recognized as an international standard (ISO 59040:2025), PCDS enables companies to efficiently share information about their products’ circularity with relevant stakeholders. It ensures that all participants in the supply chain have access to reliable and verifiable data on materials, design, and recycling possibilities. PCDS can be used as part of the Digital Product Passport (DPP), providing standardized information that facilitates regulatory compliance and enhances business transparency.

What is the Digital Product Passport (DPP)?

The Digital Product Passport is a structured collection of data related to a product, available electronically via a unique identifier. It contains key information about the product, including its composition, material origin, energy characteristics, repairability, recyclability, and disposal options. The goal of the DPP is to ensure complete product traceability and provide reliable information to all stakeholders in the value chain, from manufacturers to end consumers.

With increasingly stringent regulations, including upcoming European legislation requiring DPP implementation in certain sectors by 2027, it is crucial for companies to adopt this system in time. By incorporating PCDS within the DPP, companies can ensure data consistency and build greater trust in product circularity.

What is PCDS and Why is it Important?

The Product Circularity Data Sheet (PCDS) is a system that provides a standardized method for collecting and sharing product circularity data. Although not yet mandatory, PCDS is becoming increasingly recognized as an essential tool for companies seeking to improve their sustainability and transparency. Its application helps companies align with future EU regulations and global sustainability trends.

PCDS allows businesses to gain better control over the materials they use, simplify environmental impact assessments, and optimize product design for longevity, disassembly, and reuse. This not only reduces environmental impact but also enhances market competitiveness.

Key Components of PCDS

PCDS consists of five key sections that provide a comprehensive overview of a product’s lifecycle:

1. Product and Company Identification – Basic information about the product and manufacturer, including name, model, serial number, and company contact details.

2. Composition and Materials – A detailed breakdown of the product’s components, with a focus on the use of recycled and renewable materials.

3. Design for Better Use – Information on how the product is designed for longevity, easy maintenance, and upgradeability, thereby extending its lifespan.

4. Design for Disassembly – Data on how easily the product can be taken apart at the end of its lifecycle, facilitating recycling and component reuse.

5. Design for Reuse – Information on the potential for reusing the entire product or its parts, including remanufacturing or repurposing.

Benefits of Implementing DPP and PCDS

By introducing DPP and PCDS, companies can achieve several advantages:

  • Increased Transparency – Providing detailed and verifiable product information strengthens consumer and business partner trust.

  • Regulatory Compliance – Preparing for upcoming legislative requirements, such as the mandatory DPP implementation in the EU from 2027.

  • Competitive Advantage – Highlighting products with proven circular properties can enhance market positioning and attract sustainability-conscious customers.

  • Process Optimization – Detailed product data enables better planning for recycling, reuse, and maintenance, reducing operational costs.
Conclusion

The Digital Product Passport and PCDS are the foundation of future sustainable business practices. Companies that implement these systems early will not only ensure compliance with regulations but also gain a significant competitive advantage in the market. By integrating PCDS into the Digital Product Passport, companies can ensure reliable data, optimize product circularity, and increase business value.

Would you like to learn more about the Digital Product Passport and how to implement it in your business? Contact us at info@nos.hr for a free consultation.

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