Decarbonising the supply chain: Why product-level carbon data is the missing link

As the global push for net zero gains momentum, one truth is becoming increasingly clear: a company’s climate impact isn’t confined to its own operations. In many cases, the bulk of emissions - up to 90% - reside within the value chain, both upstream with suppliers and downstream with customers. Tackling these indirect (Scope 3) emissions is no small feat, especially when supply networks span countries, industries, and regulatory environments.

At Trio, we specialise in supporting companies through this complexity. From calculating Product Carbon Footprints (PCFs) to helping embed emissions data into procurement and design decisions, we empower businesses to move from estimates to actionable insights. PCFs offer granular, product-specific emissions data - a critical upgrade from broad averages or corporate-level assumptions. PCFs are becoming essential tools not just for reporting, but for driving real change across operations and partnerships.

Why supply chain emissions matter

A company might decarbonise its buildings and switch to renewable electricity, but if it’s sourcing raw materials from carbon-intensive processes or relying on logistics networks with high emissions, its overall climate progress stalls. That’s the challenge with Scope 3: it’s complex, distributed, and hard to control.

Pressure to address these emissions is mounting from all sides:

• Regulations like the EU’s Corporate Sustainability Reporting Directive (CSRD) and upcoming US disclosure rules will require companies to measure and report value chain emissions.
• Investors and lenders are tying capital to verified climate performance across all scopes.
• Procurement teams must now factor in environmental impact, not just cost or quality.
• Consumers are demanding transparency and low-carbon products.

The message is clear: if you can’t measure it, you can’t manage it. And when it comes to emissions, you can’t reduce what you can’t trace.

The role of product carbon footprints

PCFs calculate the greenhouse gas emissions linked to a specific product, from raw material extraction to processing, manufacturing, transport, use, and end-of-life. Depending on the scope, this can be cradle-to-gate (production-focused) or cradle-to-grave (full life cycle).

Unlike generalised data at the company or sector level, PCFs provide detailed insights that support:

• Product redesign (e.g., switching materials, reducing weight)
• Supplier engagement, especially for high-emission inputs
• Carbon transparency in procurement and contracts
• Regulatory and voluntary reporting requirements
• Lifecycle assessments and net-zero roadmaps

Standards such as ISO 14067, ISO 14040/44, and the GHG Protocol’s Product Standard offer robust methodologies. At Trio, we use digital platforms and hybrid models, combining primary data with input-output models, to generate PCFs at scale, even for complex product portfolios.

Sectoral insights: PCFs in action

Automotive and transport

As transport manufacturers pivot to electrification, new challenges emerge. While EVs eliminate tailpipe emissions, their production - particularly batteries - can be more carbon-intensive. Companies like Mercedes-Benz and VW now require PCFs from suppliers and then integrate this data into sourcing decisions. Similarly, BMW uses PCFs to assess battery chemistries and influence supplier choices via Catena-X.

Trio has supported OEMs and Tier 1 suppliers in identifying emissions hotspots like aluminium and lithium, helping them shift to low-carbon alternatives and engage upstream suppliers.

Renewable energy value chains

Clean energy tech isn’t free of carbon. Solar panels, turbines, and batteries often rely on mining and energy-intensive manufacturing in fossil-fuel-heavy regions. Northvolt embeds PCFs into battery design and champions digital product passports. Ørsted requires PCF data from key vendors to meet net-zero goals across offshore wind projects.  

Emerging initiatives, like digital product passports for batteries, aim to include PCF data as a standard feature, helping ensure carbon transparency throughout the energy transition. Trio helps clean energy firms evaluate supply routes, compare regional sourcing options, and build emission-linked supplier scorecards to reduce embedded carbon.

Industrial manufacturing

In industrial sectors, emissions are embedded in procurement. Leaders like Siemens use PCFs to guide material selection and supplier negotiations. Trio helps firms embed PCFs into Enterprise Resource Planning (ERP) and Product Lifecycle Management (PLM) systems, enabling real-time impact modelling of product or supplier changes.

At Trio, we work closely with industrial clients to map carbon across complex systems and supply chains. For example, we supported an international metals and mining company by conducting a detailed Life Cycle Assessment (LCA) on key metals extracted and processed at their operations, giving them the insight needed to understand the carbon intensity of each stage of their value chain, from mining through processing and transport. These kinds of data-driven insights are helping manufacturers pinpoint carbon hotspots, make smarter material choices, and rework processes to align with climate goals.

Barriers to adoption and how to overcome them

Despite their value, PCFs aren’t yet standard. Common hurdles include:

• Limited primary data from suppliers, especially SMEs
• Confusion over standards and inconsistent methodologies
• Time and resource constraints
• Trust and verification concerns

To overcome these barriers, we advise clients to:

• Begin with high-impact products and suppliers
• Use hybrid approaches, blending primary and secondary data
• Engage suppliers early, with clear incentives and training
• Align with open frameworks like WBCSD’s Pathfinder

Platforms like PACT (Partnership for Carbon Transparency) and Catena-X are also playing a growing role in enabling trusted, standardised exchange of product-level emissions data across value chains, particularly for complex, multi-tier sectors like automotive and manufacturing.

Over time, regulatory convergence and advances in digital infrastructure are likely to lower the barriers and incentivise widespread adoption.

The road ahead

As businesses evolve from focusing solely on operational efficiency to embracing true systems-level sustainability, PCFs are rapidly becoming indispensable. At Trio, we view PCFs not merely as data points, but as powerful strategic instruments, enabling businesses to embed carbon intelligence across product lifecycles, inform eco-design, and drive portfolio-level decisions that align with science-based targets and net-zero commitments. We combine deep expertise in LCA, supply chain analytics, and carbon accounting to deliver PCFs that are robust, auditable, and actionable.  

For Trio, supply chain decarbonisation is not just a technical challenge - it’s an organisational transformation. With accurate data, transparent methodologies, and the right implementation partners, decarbonisation is not only possible but can create competitive advantage, enhance stakeholder trust, and build resilience in an increasingly carbon-conscious market.