Product Carbon Footprint & Life Cycle Assessments

1. what is a Product Carbon Footprint (PCF) - and why is it important?

The product carbon footprint (PCF) describes the total amount of greenhouse gas emissions generated along the life cycle of a product - from raw material extraction to disposal(cradle-to-grave) or alternatively only up to the factory gate(cradle-to-gate)[1][3][5][8]. The cradle-to-gate system boundary considers emissions until the product leaves the factory gate and is particularly suitable for B2B products, while cradle-to-grave also includes use and disposal and is typically used for end products in the B2C sector[1][8]. You can find out more about system boundaries in the LCA calculation guide.

The PCF is calculated according to international standards such as ISO 14067 and the Greenhouse Gas Protocol and includes all direct and indirect greenhouse gas emissions associated with a product along the value chain - from raw material extraction, production, transportation and use to disposal[3][4][5][7]. The aim is to identify emission sources, make hotspots visible and derive targeted reduction measures[1][3][5].

A lifecycle assessment (LCA) is a more comprehensive approach that considers not only CO₂ emissions but also other environmental impacts such as water consumption, eutrophication or particulate matter pollution. LCA helps to understand environmental impacts holistically and identify optimization potential. You can find out more in the article on PCF vs. LCA.

Product Environmental Footprint (PEF)

The Product Environmental Footprint (PEF) is the method recommended by the EU Commission for assessing the environmental impact of a product throughout its entire life cycle. The PEF is based on the LCA methodology, but takes into account 16 impact categories - including climate, water consumption, resource extraction and acidification.

For many product groups, there are so-called Product Environmental Footprint Category Rules (PEFCRs), which provide binding specifications for the calculation. These increase comparability and transparency and are expected to play a central role in EU initiatives such as the Green Claims Regulation or the Digital Product Passport.

➜ More about PEF & PATH in the blog

Why is this important? PCF and LCA data are key tools for achieving climate targets, complying with regulatory requirements (e.g. CSRD, EU taxonomy) and differentiating in the market[1][5][6]. Companies that understand and manage their product emissions can make more informed decisions - be it for design, production or communication. See also the article on environmental impacts beyond CO₂.

2. basics: how to analyze life cycles and carbon footprints correctly

Before a product carbon footprint (PCF) is calculated or a life cycle analysis (LCA ) is created, the system boundaries and life cycle phases must be clearly defined. The system boundary determines which process steps and emissions are included in the analysis.

• Cradle-to-gate: From raw material extraction to leaving the factory (suitable for B2B comparisons and intermediate products).
• Cradle-to-grave: From raw material extraction to use and disposal by the end customer (comprehensive for end products).
• Cradle-to-cradle: With a complete cycle approach, including recycling and reuse.

The choice of system boundary influences the informative value, comparability and transparency of the results - particularly in the case of product comparisons or for company-wide sustainability targets.

Another key factor is data quality. Reliable, up-to-date and, if possible, company-specific data increases the accuracy of the analysis. Typical data sources are the company's own operating data, supplier information and recognized databases. You can find tips on selecting data sources and tools in the article on LCA practice.

Internationally recognized methods and standards are used for the calculation, including

• ISO 14067: Standard for the quantification and communication of the PCF
• GHG Protocol Product Standard: Globally recognized standard for product-related greenhouse gas balances
• PEFCR / Product Environmental Footprint: EU standard for comparable environmental assessments
• PCRs (Product Category Rules): Industry-specific rules for the preparation of environmental declarations

You can find an overview of the application of PEF and PATH in the article on LCA methods for sustainable product development.

Every analysis also has limitations: Data gaps, assumptions and lack of comparability between different PCF studies are typical challenges. Transparent documentation and regular updates help to overcome these challenges. We describe how you can still use analyses sensibly in the article From TRL to LCA.

3. how to calculate the PCF of your product - methods, tools & examples

The Product Carbon Footprint (PCF) measures the greenhouse gas emissions generated during the entire life cycle of a product - from raw material extraction to production, transportation, use and disposal. The PCF calculation makes the environmental impact of a product transparent and provides the basis for targeted reduction measures.

Methods for PCF calculation

1. Define the system boundaries and functional unit:
   Determine which life cycle phases are included in the calculation (e.g. cradle-to-gate or cradle-to-grave) and determine the functional unit, i.e. the reference value of the product (e.g. 1 kg, 1 piece, 1 use).
2. Identify the life cycle phases:
   Consider all relevant phases such as raw material extraction, transportation, production, use and disposal.
3. Data collection:
   Collect primary data from your own processes as well as secondary data from recognized databases (e.g. ecoinvent, GaBi). Data quality is crucial for the accuracy and significance of the results.
4. Calculate the emissions:
   Multiply the activity data (e.g. material quantities, energy consumption) by suitable emission factors. Take into account the respective Global Warming Potential (GWP) for various greenhouse gases in order to convert the values into CO₂ equivalents (CO₂e).
5. Documentation and disclosure:
   Document all assumptions, data sources and calculation steps transparently. The results should be reported in accordance with recognized standards such as ISO 14067 or the GHG Protocol Product Standard.

Calculation formula

PCF = ∑ (activity data × emission factors × GWP)
The sum of all emissions across all process steps and greenhouse gases results in the total product carbon footprint.

Tools for calculating the PCF

For the calculation, many companies use specialized software solutions that facilitate data management, automation and collaboration with suppliers. Well-known tools and databases include

• ecoinvent - database with standardized life cycle assessment data
• openLCA - open source software for life cycle analyses
• Cozero, Tanso - commercial platforms for PCF calculation and reporting
• GaBi - comprehensive LCA and PCF software for complex value chains

When selecting a tool, make sure that it uses reliable, up-to-date data, supports common standards such as ISO 14067 and is user-friendly.

Examples & practice

The VDMA's PCF starter is a pragmatic tool for quickly determining the main sources of a product's emissions using the cradle-to-gate approach - particularly suitable for manufacturing companies.

Numerous case studies show how companies calculate the PCF of their products and derive specific measures to reduce emissions.

By systematically calculating the PCF, you gain a sound understanding of the environmental impact of your products - and can make more sustainable product decisions, meet regulatory requirements and differentiate yourself in the market.

4. how to calculate an LCA - steps, standards & software solutions

A Life Cycle Assessment (LCA) is a structured method for determining and evaluating the environmental impact of a product, process or service over its entire life cycle - including CO₂ emissions, water consumption, eutrophication, resource extraction and other impact categories.

Steps for carrying out an LCA

1. Define target and investigation framework:
   Define what is to be analyzed, for whom the analysis is being carried out and which decisions are based on it. Define the functional unit, the system boundaries (e.g. cradle-to-gate, cradle-to-grave) and methodological assumptions.
2. Life Cycle Inventory (LCI):
   Record all relevant material and energy flows in each process stage - e.g. raw materials, energy, water, emissions. Use internal measurements, supplier data or life cycle assessment databases such as ecoinvent or GaBi.
3. Life cycle impact assessment (LCIA):
   Assign material flows to different impact categories, e.g. climate change, acidification, ozone depletion, toxicity. Tools such as ReCiPe, TRACI or ILCD support this conversion into environmental impacts.
4. Evaluation and interpretation:
   Evaluate the results, check plausibility and identify potential for improvement. Document uncertainties, assumptions and critical points such as data gaps or model limits transparently.

Current standards

• ISO 14040: Principles and framework for LCAs
• ISO 14044: Requirements and guidelines for practical implementation
• PEF (Product Environmental Footprint): EU standard with harmonized methodology for comparability
• PCR (Product Category Rules): Industry-specific guidelines for standardizing the analysis

You can find more in-depth information on PEF and PATH in our LCA methods article.

Tools & software solutions

LCA software supports modeling, calculation and documentation and facilitates collaboration with suppliers and stakeholders:

• openLCA: Free open source platform with broad database support
• SimaPro: Professional LCA software with strong impact categorization and visualization
• GaBi: Industry standard for complex value chains and large companies

Recommendations for selection can be found in the article on LCA practice.

LCAs are versatile - from the optimization of individual products to the evaluation of entire product portfolios or locations. Especially in combination with PCF data or technology assessments such as Project FRAME, a comprehensive picture of the environmental impact and the levers for sustainable innovation is created.

5 What you can really use PCF & LCA for in your company

The Product Carbon Footprint (PCF) and Life Cycle Assessment (LCA ) are indispensable tools for systematically recording, understanding and specifically reducing the environmental impact of products. They offer a wide range of added value for companies of all sizes and in all sectors.

1. creating transparency in the value chain

PCF and LCA enable a detailed analysis of all phases of the product life cycle - from raw material extraction, production and transportation to use and disposal. This reveals environmental hotspots that can be improved in a targeted manner. The findings are a key component of reliable sustainability reports and communication with stakeholders.

2. increased efficiency and cost savings

Inefficient processes and resource-intensive phases can be made visible and specifically optimized using LCA and PCF. This not only leads to lower emissions, but also to economic benefits - for example through energy savings, material reduction or lower disposal costs.

3. innovation and sustainable product development

The methodical analysis of materials and processes provides a sound basis for decisions on sustainable design, the circular economy and product innovations. We show what this looks like in practice in the article From TRL to LCA.

4 Competitive advantage through transparency and credibility

Companies that communicate their PCF transparently and actively reduce it gain a strategic advantage. Consumers, business partners and investors are increasingly looking for demonstrably environmentally friendly products - not least as part of the Green Claims Directive and the Digital Product Passport.

5. support with regulatory requirements

Whether EU taxonomy, CSRD, PEF label or other environmental standards - the requirements for credible environmental data are increasing. PCF and LCA provide the reliable basis for legally compliant and auditable reporting.

6 Holistic environmental assessment with LCA

While the PCF only depicts greenhouse gases, the LCA looks at a variety of other environmental impacts - including water consumption, resource scarcity, particulate matter and ecotoxicity. This holistic view is essential for a well-founded product evaluation and sustainable corporate strategy.

Practical example: MUD Jeans

The fashion brand MUD Jeans was able to reduce its CO₂ emissions by 66% and its water consumption by 80% through LCA-based process optimization. Such measurable successes show how much PCF and LCA can contribute to improving environmental performance, reducing costs and positioning in the market.

These diverse areas of application make PCF and LCA strategic tools for any company that takes sustainability seriously - whether for regulatory compliance, product optimization or credible communication with customers and investors.

6. current trends & further developments in the PCF and LCA world

FAQ - Frequently asked questions about PCF & LCA