How Cloud PLM Primes Battery Companies for DPP Compliance

The battery industry is undergoing a seismic shift. With the introduction of new EU battery regulations and the rollout of digital product passports (DPPs), manufacturers are facing unprecedented pressure to innovate, comply, and maintain quality—all while managing increasingly complex product information. In a recent webinar hosted by Battery Technology and Arena by PTC, industry experts Ulf Asklund (CEO of QCM) and Dave Barry (Senior Solution Architect for Arena) shared their insights on how companies can navigate these changes and turn compliance into a competitive advantage.

Understanding Digital Product Passports

Digital product passports, or DPPs, are pivotal in supporting the European Union’s sustainability and circular economy goals. In practice, a DPP is essentially a QR code on each product, linking to a digital record that includes crucial details such as materials, manufacturer information, and environmental impacts. As Asklund noted, “DPPs ensure transparency and support eco-design requirements, aiming to improve product durability, reusability, and recyclability.” With the mandatory implementation set for 2027, battery companies must start preparing now.

Meeting the DPP Deadline: Why Panic Isn’t the Answer

With the 2027 deadline looming, manufacturers may feel the urge to panic. Asklund cautioned against hasty decisions, such as rushing to buy new systems without understanding how to use them. Instead, companies should:

• Assess current product data and regulatory compliance structures
• Identify gaps and extend existing systems rather than creating new silos
• Use this regulatory shift as an opportunity to improve overall product information management

Preparing for DPPs: Key Information to Collect

In anticipation of the DPPs, battery manufacturers must gather both static and dynamic data:

• Static Data: Product ID, category, manufacturing info, specifications, materials, critical raw materials, and environmental data (e.g., carbon footprint).
• Dynamic Data: State of health, number of charge cycles, software updates, maintenance and repair history.

Collecting dynamic data helps you understand how your products are used, educate customers, and build new services around circular economy principles.

The Risks of Delaying Compliance

Delaying compliance with DPP requirements can have significant repercussions. Companies that postpone preparations risk slowing down product launches and might face regulatory penalties. Barry emphasized that rushing compliance at the end stages can lead to missing critical data and falling short of regulations.

By structuring data early and integrating it into a robust product lifecycle management (PLM) system, manufacturers can automate DPP generation, ensure data accuracy, and avoid last-minute compliance challenges.

The Power of a Single Source of Truth

Full Control and Traceability

Adopting a single system to manage product information offers numerous advantages. Cloud-native PLM systems, like Arena, connect product and quality information in a single source of truth, ensuring full traceability across the product lifecycle. As Barry pointed out, “Having all of your data controlled within a single system helps reduce ambiguities,” which is crucial for passing audits and meeting regulatory requirements.

Efficient Collaboration and Change Management

Arena PLM also supports secure collaboration across engineering, quality, and external supply chain partners. Features like automated change notifications, feedback loops, and web-based access enable geographically distributed teams and partners to stay aligned.

Asklund noted that collaboration is a two-way street: manufacturers need up-to-date information from suppliers, and suppliers need access to product data. Maintaining control over data—even if partnerships end—is crucial for ongoing compliance and business continuity.

Adaptability for Future Regulations

DPPs are just the beginning. Regulations will continue to evolve. Asklund stressed the importance of governance—understanding relationships, terminology, and processes within the business. Companies should establish forums to assess the impact of new requirements and implement changes systematically. This approach ensures continuous improvement and adaptability.

Barry added that PLM systems should be configured to include all static data required for compliance, with the flexibility to add new attributes as regulations change. Moving away from siloed information is key to maintaining control and confidence.

DPP Compliance Powers Progress

The transition to digital product passports represents both a challenge and an opportunity for battery manufacturers. By embracing structured data management, centralized systems, and proactive compliance strategies, companies will not only meet regulatory requirements but also drive innovation and sustainability. As the industry moves forward, those who prepare today will be best positioned to succeed tomorrow.

To gain deeper insights, watch the full webinar recording here.