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Blockchain-based Plastic Traceability in Automotive Industry

Sector: Secondary sector · Industry: Plastics industry · Organisation: Porsche, Circularise, Covestro, Borealis, Domo Chemicals · Maturity level: Pilot

Porsche developed a blockchain-based solution together with Circularise and material suppliers for complete traceability of plastics in the automotive supply chain. The project was conducted as a pilot and included the creation of a prototype app for plastic traceability. The solution enables secure supply chain visibility and has been successfully completed, which is described as significant progress.

Documentation status

Description

Circularise (2016, The Hague) is a blockchain supply chain transparency provider focused on the circular economy. In November 2020, Circularise launched a blockchain traceability project as part of Startup Autobahn (Porsche Innovation Program): Borealis, Covestro and Domo Chemicals as material suppliers digitise their plastic batches as Digital Twins; Porsche demo app visualises the results.

A typical Porsche has about 30,000 parts from numerous materials, with a supply chain of over 20 tiers. Material information is often proprietary, incomplete or inaccessible. Circularise solves this with Smart Questioning: a verified statement can be made (e.g. "This material contains 30% recycled content") without revealing the underlying sensitive data. Each plastic batch receives a Digital Twin on the blockchain with: recycling content, CO2 footprint, water savings, origin of raw materials. Independent third-party audits verified the data before blockchain entry. Porsche developed a demo app giving consumers insight into the sustainability of specific vehicle parts. The project won the Porsche Digital Blockchain Innovation Award 2020. Later the consortium expanded to include Sika, Asahi Kasei, PPG, Mitsubishi Chemicals and a certification body; additional materials (aluminium, textiles, coatings, adhesives) were integrated.

Perspectives

B2B — organisations perspective

Automobile manufacturers and material suppliers can pass on verifiable sustainability attributes along multi-tier supply chains via Circularise without IP risk. This supports EU Digital Product Passport requirements and customer reporting.

B2C — consumers perspective

Porsche buyers can track the CO2 footprint, recycling content and origin of plastic parts in their vehicle via an app — sustainability communication with verifiable data instead of marketing claims.

Employees perspective

Procurement and quality management staff gain access to precise, verified material data, significantly improving their decision-making processes. The system reduces manual effort for collecting and verifying sustainability data and enables data-driven analyses instead of estimate-based assessments.

Benefits

General

B2B — organisations

Employees

Challenges

General

B2B — organisations

Employees

Technology foundation

The solution uses a decentralised public blockchain combined with Circularise's patented Smart Questioning technology. This technology preserves data ownership and prevents manipulation, while ensuring authentication, decentralisation and encryption.

Implementation examples

Porsche plastics traceability pilot

Porsche wanted to solve the lack of transparency in assessing the ecological footprint and tracing recycled materials in the automotive supply chain. The company sought a way to measurably track sustainability goals and meet regulatory requirements.

Porsche developed a blockchain-based prototype for plastics traceability in the automotive supply chain together with Circularise.

The pilot project was carried out as part of the Startup Autobahn programme and involved collaboration with material suppliers such as Borealis, Covestro and Domo Chemicals, as well as other partners like Sika, Asahi Kasei, PPG and Mitsubishi Chemicals. The successfully completed prototype app demonstrates secure visibility in the supply chain and enables tracking of materials from manufacture to the end product. The project expanded from an initial focus on plastics to include other materials such as aluminium, fabrics, coatings and adhesives.

The system solves the problem of missing transparency in global supply chains and enables verifiable proof of recycling content and environmental impacts. At the same time, proprietary information such as material compositions is protected while sustainability data is made transparent.

Tags

Supply chain transparency, Sustainability, Traceability, Circular economy, Material management

Sources

  1. Porsche & Circularise for blockchain traceability of plastics
  2. Achieving visibility into the Porsche supply chain
  3. Porsche Digital blockchain project wins innovation award
  4. Porsche turns to blockchain to track plastics sustainability