BASF, BMW & Siemens: Digital Passports for Batteries

A consortium of major manufacturers including BASF, BMW, CATL, Henkel and Siemens has introduced a digital product passport (DPP) system for batteries.

The initiative, called Path.Era, represents a digital battery passport (DBP) designed to gather critical lifecycle data about batteries. The platform could streamline information sharing among stakeholders throughout the battery product value chain.

As EU regulations set to take effect in 2027 mandate DPPs, manufacturers across multiple sectors will need to enhance product lifecycle visibility.

Understanding digital product passports

The DPP framework provides a structured digital record that delivers lifecycle data for products in a standardised format. These records contain crucial information including material composition, carbon footprint, repairability details and end-of-life guidance, typically accessible through QR codes.

Starting in 2027, the EU will require DPPs for priority product categories, with full rollout expected by 2030. Industries facing these requirements span batteries, textiles, tyres, furniture, mattresses, chemicals, iron, steel, aluminium, information and communication technology (ICT) and energy-related products.

According to Deloitte, luxury fashion and jewellery sectors have led early DPP adoption.

DBPs represent a specialised category of DPPs that document comprehensive lifecycle and recycling information for individual batteries. They function as sustainability reporting and certification frameworks.

The Global Battery Alliance notes that DBPs are supported by indicators enabling the collection, verification, scoring, aggregation and comparison of facility-level sustainability performance data across the battery supply chain.

From 2027 regulations will require DBPs for all new electric vehicle batteries sold in the EU. These mandatory requirements compel carmakers producing EV batteries to enhance supply chain visibility and improve lifecycle and recycling data for critical minerals including lithium, nickel and cobalt.

According to McKinsey, battery manufacturers could find opportunities in recycling as the sector develops. Companies might establish closed-loop domestic supply chains encompassing collection, recycling, reuse or repair of used lithium-ion batteries.

The recycling sector alone could generate a US$6bn profit pool by 2040.

Tackling environmental challenges

Manufacturing large lithium-ion batteries for EVs represents the most significant source of embedded emissions for electric cars and lorries, accounting for approximately from 40 to 60% of total production emissions, according to McKinsey.

As decarbonisation pressure intensifies and global EV demand accelerates, manufacturers are working to address this emissions challenge.

EV battery recycling remains labour intensive and, if conducted improperly at landfill sites, can trigger difficult-to-extinguish thermal runaway fires or cause substantial harm to local communities and workers.

Enhanced recording and accountability through schemes like the DBP, which improve data availability, could help address some of these critical concerns. McKinsey suggests that data availability and transparency are fundamental requirements for the battery industry to achieve its growth and environmental, social and governance targets.

The collaborative Path.Era initiative

The Path.Era battery passport addresses challenges in managing battery data throughout the value chain by streamlining information sharing across stakeholders and promoting circularity and sustainability. The platform aims to ensure secure, standardised data exchange while reducing manual processes and meeting legal requirements.

"To collect the relevant data points for a battery pass, we will support our relevant value chain partners with a simple and trusted solution to get the job done," says Oliver Ganser, Vice President Digitalisation of the Purchasing and Supplier Network at the BMW Group.

"Path.Era and Catena-X are the perfect match to get the job done."

Path.Era functions as a scalable ecosystem for DBPs, built on Catena-X, a collaborative data ecosystem for the automotive sector. The platform is designed to enable traceability and circularity across the battery value chain and operates on Cofinity-X, a Catena-X dataspace operator.

The ecosystem was co-founded in partnership with BASF, BMW Group, CATL, Henkel, Siemens and Volkswagen Group.

"Path.Era is our solution to bring transparency into the entire battery value chain and to efficiently fulfil legal and reporting requirements," says Matthias Dohrn, President of Global Procurement at BASF.

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BASF's portfolio encompasses work across the battery recycling value chain, from collecting end-of-life batteries and production scrap to discharging and dismantling, alongside base metals sourcing, management and various related services.

George Kazantis, Vice President of Automotive Components at Henkel, says: "The transparency we create for the battery industry with DBPs is just as relevant for other industries. For us, the Path.Era battery passport is the blueprint for the future of DPPs."

DPPs will impact numerous manufacturing industries operating across Europe. Companies seeking to remain ahead of regulatory requirements are already integrating these sustainable reporting tools into their lifecycles.