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July 16, 2025
Alexander Hellwig
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Product Carbon Footprints (PCFs) Explained – The Essentials

This article breaks down key concepts behind Product Carbon Footprints (PCFs), their role in Scope 3 reporting, the importance of BOMs, and how tools like LCAs, EPDs, and Cradle to Cradle complement product-level climate strategies.

1. How PCFs Relate to Scope 3 Emissions

A question that often comes up in sustainability discussions is: “Is a PCF the same as Scope 3 emissions?” The answer is no, but they are closely connected.

Different Scales, Different Purposes

Scope 3 emissions include all indirect greenhouse gas (GHG) emissions that occur across a company’s entire value chain, broken down into 15 categories. They frequently comprise the lion’s share of a company’s emissions, sometimes accounting for as much as 90%.

PCFs, by contrast, focus on the full life cycle emissions of individual products, from raw material extraction and transportation through manufacturing, use, and end-of-life – typically referred to as cradle-to-grave. Partial assessments include cradle-to-gate (from raw materials to the factory gate) and gate-to-gate (specific production steps).

  • Scope 3 = Company-wide perspective
  • PCF = Product-level perspective

While Scope 3 emissions are reported at the corporate level, particularly under the GHG Protocol Corporate Standard, PCFs typically follow standards like ISO 14067 or the GHG Protocol Product Standard, both of which recommend a cradle-to-grave approach.

How PCFs Feed into Scope 3 Accounting

Despite being distinct in scope and methodology, PCFs can serve as key building blocks for Scope 3 inventories. For example, when calculating emissions from purchased goods and services, companies can aggregate the carbon footprints of all the underlying products to obtain more precise data, rather than relying on generic emission factors or spend-based estimates.

A typical PCF – especially when calculated cradle-to-grave – captures emissions from multiple Scope 3 categories. These usually include:

  • Category 1: Purchased goods and services
  • Category 3: Fuel- and energy-related activities
  • Category 4: Upstream transportation and distribution
  • Category 5: Waste generated in operations
  • Category 9: Downstream transportation and distribution
  • Category 11: Use of sold products
  • Category 12: End-of-life treatment of sold products

Since many of the largest emission sources – especially Scope 3 categories 1 and 11 – are directly tied to the products a company makes or buys, PCFs can drive action where it matters most. As such, PCFs can help:

  • Improve Scope 3 data quality
  • Reveal emission hotspots
  • Identify high-impact suppliers and materials
  • Guide more sustainable product design
  • Make smarter procurement decisions

Key Takeaway

A thorough PCF assessment serves as a detailed subset of a company’s Scope 3 inventory, seen through the lens of an individual product. This makes the PCF a granular, actionable tool for addressing emissions where they actually occur.

2. Bills of Materials (BOMs): The Foundation for Accurate PCF Calculations

At the core of any credible PCF analysis lies one critical data source: the Bill of Materials (BOM). A BOM is a comprehensive list of all raw materials, components, and sub-assemblies that make up a finished product. Each entry typically includes material specifications, quantities, and sometimes also supplier or processing information. In short: a BOM is the blueprint of a product’s material structure, and thus a key input for modeling its environmental footprint.

When calculating a PCF, especially using a cradle-to-gate or cradle-to-grave system boundary, companies must trace GHG emissions across every part of the product. The BOM provides the structural framework to do that.

Example: For a laptop, the BOM would detail semiconductors, metals, plastic parts, packaging, and other inputs – each of which has an associated carbon footprint.

How BOMs Enable Robust PCF Assessments

BOMs serve multiple roles in PCF calculation:

  • They define the product’s material composition, which is the starting point for life cycle emissions modeling.
  • They allow linkage to emission factors. Each item in the BOM must be mapped to relevant carbon intensity data from sources like ecoinvent, GaBi, or supplier-specific databases.
  • They support Scope 3 reporting. A well-structured BOM enables a more accurate assessment of upstream emissions, particularly for Category 1 – Purchased Goods and Services.
  • They highlight opportunities for improvement. BOM-based PCFs can reveal carbon hotspots at the component level, making it easier to explore material substitutions or design changes.

The Challenges of BOM-Driven PCF Calculations

Despite their value, BOMs are not always easy to work with. Many companies face real challenges:

  • Incomplete or outdated BOMs, particularly for older or customized products
  • Limited visibility beyond tier 1 suppliers, when emissions data is needed across the full supply chain
  • Lack of version control, which is critical for keeping emissions models up to date as product designs change

Overcoming these hurdles often requires close collaboration between sustainability, procurement, engineering, and IT teams – and increasingly, digital solutions.

While BOMs are the most preferred data source for PCF assessments, they may not always be available. Alternative approaches include spend-based estimates and industry averages, process-based LCA models, supplier-provided PCF insights, Environmental Product Declarations (EPDs), or AI-inferred product details.

Many companies combine the different methods in a tiered approach – starting broad and refining it over time. At the same time, they increasingly apply modern technologies such as ERP-integrated tools – that incorporate BOM data directly into emissions models – or AI-powered solutions – that extract BOMs from specs, datasheets, or legacy documentation – to make assessments easier and more scalable.

Key Takeaway

In sectors that manufacture physical products, BOMs are the gold standard for PCF calculation. They provide the precision, traceability, and product-specific structure required for accurate emissions analyses.

That said, BOMs are only as good as their underlying data. Companies must invest in data quality, cross-functional integration, and the digital infrastructure to keep BOMs accurate, complete, and up to date.

3. Comparing LCAs, PCFs, and EPDs

When it comes to assessing, interpreting, and communicating a product’s environmental impact, three overarching concepts dominate the landscape:

  • Life Cycle Assessments (LCAs): In-depth quantification of all environmental impacts over a product’s life cycle
  • Product Carbon Footprint (PCFs): Analysis of product-related GHG emissions as a subset of an LCA
  • Environmental Product Declarations (EPDs): Standardized and externally verified disclosure of product-level environmental performance

While all three are interconnected, they serve distinct purposes, follow different standards, and are used in different contexts.

Life Cycle Assessments (LCAs): The Analytical Foundation

An LCA represents the underlying methodology used to evaluate a product’s environmental impacts throughout its life cycle – from raw material extraction to production, use, and disposal. It examines multiple impact categories, including GHG emissions, water use, acidification, eutrophication, resource depletion, toxicity, and more – for a holistic view of product sustainability. LCAs provide critical raw data for PCFs and EPDs.

  • Common standards: ISO 14040 and ISO 14044
  • Use cases: Product development, eco-design, trade-off analysis, internal decision-making

Product Carbon Footprints (PCFs): The Climate-Specific LCA Subset

A PCF is a single-impact result of an LCA. It measures the total GHG emissions associated with a product across its life cycle, while disregarding other environmental impacts. Similar to the LCA, a PCF requires clear system boundaries and a life cycle inventory analysis of inputs and outputs.

  • Common standards: ISO 14067, GHG Protocol Product Standard
  • Use cases: Product labeling, decarbonization strategy, regulatory compliance

Environmental Product Declarations (EPDs): A Communication Tool

An EPD is a standardized, third-party verified document that summarizes the results of an LCA and follows strict rules – so-called Product Category Rules (PCRs) – to ensure that environmental claims can be benchmarked across products.

It includes various environmental indicators – ranging from GHG emissions to energy use, water consumption, and more – and is frequently required in procurement, building certifications, and competitive tenders.

  • Common standards: ISO 14025 + relevant PCRs
  • Use cases: B2B disclosure, green building certifications such as LEED or BREEAM, competitive bids

Key Takeaway

The three concepts – LCAs, PCFs, and EPDs – pursue different goals, but they support and complement each other. Together, they form the core toolkit for sustainable product strategies – from internal design choices to regulatory compliance and market differentiation.

4. Cradle to Cradle (C2C) Meets PCF

When we talk about PCFs, the conversation often centers on linear system boundaries like cradle-to-grave, cradle-to-gate, or gate-to-gate. These models help quantify emissions at different life cycle stages, but they don’t challenge the underlying structure of how products are made.

This is where cradle to cradle (C2C) comes into play. Unlike the PCF – a measurement tool designed to quantify the climate impact of products – C2C describes a design philosophy.

While the two concepts look at fundamentally different aspects of product sustainability, they can complement each other in meaningful ways.

What Is Cradle to Cradle (C2C)?

C2C is a regenerative design philosophy that goes beyond traditional notions of sustainability. It treats waste as a design flaw and envisions products that can be reused, remanufactured, recycled, or safely returned to nature. The C2C Certified framework evaluates products based on five key dimensions:

  • Material health
  • Product circularity
  • Clean air and climate protection
  • Water and soil stewardship
  • Social fairness

At its core, C2C is about creating lasting value through continuous material reuse.

Where C2C and PCFs Intersect

When used together, C2C and PCFs can support decarbonization strategies, SBTi targets, and compliance with legislation such as the EU’s Eco-Design for Sustainable Products Regulation (ESPR).

The following examples illustrate how C2C-driven design decisions translate into measurable emissions reductions:

  • Material choices: Using circular materials like recycled aluminum reduces reliance on virgin materials and lowers embodied carbon.
  • Renewable energy in production: C2C emphasizes clean energy as a design criterion. Switching to renewables can significantly reduce Scope 2 emissions.
  • Design for durability and modularity: Longer-lasting, repairable products help avoid emissions associated with frequent replacements.
  • End-of-life strategies: Circular disposal solutions – like take-back systems, compostability, or reuse – minimize emissions from landfilling or incineration.

The integrated use of C2C and PCF concepts is applied in industries such as apparel and textiles, electronics, packaging, and building and construction. Products are designed with circular principles in mind, while PCF assessments identify emission hotspots. These hotspots can then be addressed using targeted C2C strategies.

Key Takeaway

C2C and PCF originate from different sustainability paradigms, but they are highly complementary. C2C provides the vision and design criteria for circular, regenerative products, while the PCF offers the data and diagnostic insight to quantify and optimize climate impacts. Together, they offer a strong foundation for credible, low-carbon sustainability strategies.

Conclusion: Turning Insight into Action

Product Carbon Footprints (PCFs) offer a practical, measurable way to understand and reduce emissions at the product level. Whether used to support Scope 3 reporting, guide sustainable product design, or drive compliance, PCFs are most powerful when integrated with high-quality data (like BOMs) and aligned with broader sustainability tools such as LCAs, EPDs, and Cradle to Cradle. For companies committed to credible climate action, PCFs are no longer optional, they are a strategic necessity.

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