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How the EU could combine carbon passports, digital ID, and social credit for every product

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9 minute read

From LifeSiteNews

By Didi Rankovic

The European Union is going deep with its plans to introduce digital IDs across industries. Tying a form of digital ID to all products would make the introduction of carbon social credit scores easier to implement.

The concept of “carbon passports,” proposed as a measure to combat climate change, has, for a while now, raised significant concerns regarding civil liberties. These passports are designed to track an individual’s carbon footprint, including travel, energy consumption, and lifestyle choices. While their intention is to encourage environmentally friendly behaviors, they present a substantial threat to personal privacy by enabling continuous monitoring of personal activities.

This intrusion into privacy is not the only issue; carbon passports could potentially lead to discriminatory practices. Those in lower-income brackets, who often have limited access to green alternatives, might find themselves unfairly penalized. This system risks exacerbating social inequalities by disproportionately affecting those less financially equipped to make eco-friendly choices.

Furthermore, carbon passports could restrict movement and personal autonomy. Limiting travel or certain activities based on carbon usage might create a situation where only the wealthy, who can afford carbon offsets or sustainable options, maintain their freedom. This scenario paints a disturbing picture of environmental responsibility being accessible only to those with financial means.

Another concern is the centralization of power in the hands of entities controlling the carbon data. This centralization could lead to a slippery slope where tools designed for climate control evolve into instruments of more oppressive surveillance and control. The balance between addressing environmental concerns and maintaining civil liberties is delicate and crucial.

As part of the push towards carbon passports, a new idea – tying a form of digital ID to all products is also being pushed. It makes the introduction of carbon social credit scores easier to implement.

The European Union is going deep with its plans to introduce digital IDs (in this case, “digital product passports, DDPs”) across industries. DDPs specifically refer to apparel, accessories and electronics.

Brands are now starting to work on integrating the tech – that the European Commission says is necessary for the greater good of citizens, such as meeting “sustainability goals” – the so-called green deal, carbon emissions, all the things – and then there’s access to services and contactless payment.

Critics, on the other hand, say it’s simply yet another way to abuse consumers by harvesting even more of their data. The opponents’ fears appear to rely on solid facts since some of the data collected thanks to the EU’s proposed scheme will profile people based on their behavior, preferences, and even the value of their “resale profile.”

The deadline mentioned is as early as 2026 – that’s how soon brands would have to incorporate digital passports into their products.

And, don’t expect any resistance from brands. Reports are saying that they are working hard to meet the deadline of meeting what is referred to as the European Commission’s “real-world uses for digital identities.”

READ: EU claims digital ID wallet will be voluntary. India said the same before it became mandatory

On the side of the fashion industry, there will be the need to let the EU know – no longer voluntarily – about how they manufacture items, organize their supply chains, and the materials used.

Well, don’t expect brands to only implement the tech to make the EU feel good about itself. “Brands currently testing the technology are figuring out ways for it to collect customer data and add perks beyond the point of purchase,” writes Vogue Business.

Already trying to go a step above linking physical items with digital identity – as is the case with QR and NFC – and meet EU goals are the likes of Balenciaga, RealReal, and Boss, the article mentions.

And unlike that “old tech” that was there mostly to facilitate and protect transactions, manufacturers and customers, Mojito CEO Raakhee Miller had this interesting take on what’s referred to as the upcoming, “physical first” method: it “not only enhances the product’s value,” said Miller, “but also deepens consumer engagement.”

So, how deeply does the EU – and brands following its diktat – want to “engage” customers, other than people handing over money for a product they buy? This is where what’s basically data harvesting and mining comes into play, even if it is explained in fancy (and unsurprisingly, equally meaningless) terms like “phygital goods” and “metaverse approach.”

But, so to speak, the proof is in the word salad: the point is to have services and use cases “more anchored in client needs.” And clearly, to know what those needs are, one must first better know the client. Meaning, beyond what the client is currently comfortable sharing with multinational conglomerates.

Can’t we all just buy what we want, and move along? Please?

Not so fast, the EU says, and people like Vestiaire Collective VP of Partnerships Laura Escure explain it by no less than what might seem to many as basically questioning the customers’ cognitive abilities.

“The barriers around Web3 were not helping consumers to think thoroughly about luxury,” Escure is quoted.

READ: World Bank president advocates global digital ID scheme at tech summit

And did you know that if you dish out a lot of money on a luxury product, there’s a whole “story” behind it – beside the one in your bank statement? That’s how Aura Blockchain Consortium CEO Romain Carrere wants you to think about the situation.

“We believe in a future where every customer feels connected to the story behind their products, and the DPP is the key to unlocking that narrative. It’s not just a digital passport, it’s a journey of trust and empowerment for every consumer,” said Carrere.

But mostly, it would seem, it’s a narrative. There to empower itself, and those in positions of power, rather than the customer.

Back in EU’s bureaucracy, the digital product passport proposals first saw the light of day in the spring of 2022, naturally, as “sustainability” enhancing mechanisms related to products, and about a year later, this was officially presented on the European Commission website as a way to share key information about a product.

The information would be shared “across all the relevant economic actors,” a press release said in May 2023. Things are happening in this space under the Proposal for Ecodesign for Sustainable Products Regulation (ESPR).

The EU claims its goals are to boost what it calls circular economy, material and energy efficiency, and extend product lifetimes, as well as the way waste from those products is eventually handled.

The bloc also declares some grand ambitions here – like creating new business opportunities – “based on improved data access,” though.

And the EU is not above putting down consumers either, while at once working to elevate the level of data scrounged off of them. The DDP scheme, the Commission says, will “help consumers in making sustainable choices.”

And, for now – “allow authorities to verify compliance with legal obligations.”

Reprinted with permission from Reclaim The Net.

Business

China’s economy takes a hit as factories experience sharp decline in orders following Trump tariffs

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Quick Hit:

President Trump’s tariffs on Chinese imports are delivering a direct blow to China’s economy, with new data showing factory activity dropping sharply in April. The fallout signals growing pressure on Beijing as it struggles to prop up a slowing economy amid a bruising trade standoff.

Key Details:

  • China’s manufacturing index plunged to 49.0 in April — the steepest monthly decline in over a year.
  • Orders for Chinese exports hit their lowest point since the Covid-19 pandemic, according to official data.
  • U.S. tariffs on Chinese goods have reached 145%, with China retaliating at 125%, intensifying the standoff.

Diving Deeper:

Three weeks into a high-stakes trade war, President Trump’s aggressive tariff strategy is showing early signs of success — at least when it comes to putting economic pressure on America’s chief global rival. A new report from China’s National Bureau of Statistics shows the country’s manufacturing sector suffered its sharpest monthly slowdown in over a year. The cause? A dramatic drop in new export orders from the United States, where tariffs on Chinese-made goods have soared to 145%.

The manufacturing purchasing managers’ index fell to 49.0 in April — a contraction level that underlines just how deeply U.S. tariffs are biting. It’s the first clear sign from China’s own official data that the trade measures imposed by President Trump are starting to weaken the export-reliant Chinese economy. A sub-index measuring new export orders reached its lowest point since the Covid-19 pandemic, and factory employment fell to levels not seen since early 2024.

Despite retaliatory tariffs of 125% on U.S. goods, Beijing appears to be scrambling to shore up its economy. China’s government has unveiled a series of internal stimulus measures to boost consumer spending and stabilize employment. These include pension increases, subsidies, and a new law promising more protection for private businesses — a clear sign that confidence among Chinese entrepreneurs is eroding under Xi Jinping’s increasing centralization of economic power.

President Trump, on the other hand, remains defiant. “China was ripping us off like nobody’s ever ripped us off,” he said Tuesday in an interview, dismissing concerns that his policies would harm American consumers. He predicted Beijing would “eat those tariffs,” a statement that appears more prescient as China’s economic woes grow more apparent.

Still, the impact is not one-sided. Major U.S. companies like UPS and General Motors have warned of job cuts and revised earnings projections, respectively. Consumer confidence has also dipped. Yet the broader strategy from the Trump administration appears to be focused on playing the long game — applying sustained pressure on China to level the playing field for American workers and businesses.

Economists are warning of potential global fallout if the trade dispute lingers. However, Beijing may have more to lose. Analysts at Capital Economics now predict China’s growth will fall well short of its 5% target for the year, citing the strain on exports and weak domestic consumption. Meanwhile, Nomura Securities estimates up to 15.8 million Chinese jobs could be at risk if U.S. exports continue to decline.

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Scott Bessent says U.S., Ukraine “ready to sign” rare earths deal

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Quick Hit:

During Wednesday’s Cabinet meeting, Treasury Secretary Scott Bessent said the U.S. is prepared to move forward with a minerals agreement with Ukraine. President Trump has framed the deal as a way to recover U.S. aid and establish an American presence to deter Russian threats.

Key Details:

  • Bessent confirmed during a Cabinet meeting that the U.S. is “ready to sign this afternoon,” even as Ukrainian officials introduced last-minute changes to the agreement. “We’re sure that they will reconsider that,” he added during the Cabinet discussion.

  • Ukrainian Economy Minister Yulia Svyrydenko was reportedly in Washington on Wednesday to iron out remaining details with American officials.

  • The deal is expected to outline a rare earth mineral partnership between Washington and Kyiv, with Ukrainian Armed Forces Lt. Denis Yaroslavsky calling it a potential turning point: “The minerals deal is the first step. Ukraine should sign it on an equal basis. Russia is afraid of this deal.”

Diving Deeper:

The United States is poised to sign a long-anticipated rare earth minerals agreement with Ukraine, Treasury Secretary Scott Bessent announced  during a Cabinet meeting on Wednesday. According to Bessent, Ukrainians introduced “last minute changes” late Tuesday night, complicating the final phase of negotiations. Still, he emphasized the U.S. remains prepared to move forward: “We’re sure that they will reconsider that, and we are ready to sign this afternoon.”

As first reported by Ukrainian media and confirmed by multiple Ukrainian officials, Economy Minister Yulia Svyrydenko is in Washington this week for the final stages of negotiations. “We are finalizing the last details with our American colleagues,” Ukrainian Prime Minister Denys Shmyhal told Telemarathon.

The deal follows months of complex talks that nearly collapsed earlier this year. In February, President Trump dispatched top officials, including Bessent, to meet with President Volodymyr Zelensky in Ukraine to hammer out terms. According to officials familiar with the matter, Trump grew frustrated when Kyiv initially refused U.S. conditions. Still, the two sides ultimately reached what Bessent described as an “improved” version of the deal by late February.

The effort nearly fell apart again during Zelensky’s February 28th visit to the White House, where a heated Oval Office exchange between the Ukrainian president, Trump, and Vice President JD Vance led to Zelensky being removed from the building and the deal left unsigned.

Despite those setbacks, the deal appears to be back on track. While no public text of the agreement has been released, the framework is expected to center on U.S.-Ukraine cooperation in extracting rare earth minerals—resources vital to modern manufacturing, electronics, and defense technologies.

President Trump has publicly defended the arrangement as a strategic and financial win for the United States. “We want something for our efforts beyond what you would think would be acceptable, and we said, ‘rare earth, they’re very good,’” he said during the Cabinet meeting. “It’s also good for them, because you’ll have an American presence at the site and the American presence will keep a lot of bad actors out of the country—or certainly out of the area where we’re doing the digging.”

Trump has emphasized that the deal would serve as a form of “security guarantee” for Ukraine, providing a stabilizing American footprint amid ongoing Russian aggression. He framed it as a tangible return on the billions in U.S. aid sent to Kyiv since the start of Russia’s 2022 invasion.

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