Scope 3.10 - Processing of sold Products
Why Scope 3.10 "Processing of Sold Products" Matters
Your journey toward true climate leadership extends beyond your company’s boundaries, embracing the lifecycle of your products even after they reach your customers.
Scope 3.10 accounts for greenhouse gas emissions that arise when your sold intermediate products are processed, transformed, or incorporated into other products—often forming part of a broader, collaborative value chain.
Addressing these emissions fosters integrity and transparency: it demonstrates a clear commitment to recognizing and responsibly managing your products’ impacts at every stage. By considering processing emissions, you unlock new opportunities for collaboration—with customers, downstream processors, and end-users—encouraging higher-value, more sustainable supply chains. This is a powerful step toward scaling systemic change and delivering collective climate impact.
What’s Included in Scope 3.10?
Scope 3.10 includes emissions resulting from processing steps conducted by third parties (your customers or partners), where your sold products—typically intermediate goods—are physically or chemically transformed as part of another company’s production process.
Examples:
- Steel produced and sold by your company, which is further processed into automotive parts by a customer.
- Bulk chemicals that are blended or reacted by downstream manufacturers.
- Plastic pellets/lumber/food ingredients sold to processors who create finished goods.
These emissions occur after your sale, but before use and end-of-life stages (which are covered under Scopes 3.11 and 3.12).
Not included:
- Emissions from the use of finished end products (Scope 3.11)
- Emissions from final disposal or recycling (Scope 3.12)
- Further distribution or transport of the product (Scope 3.9)
- Emissions during your own manufacturing processes (Scope 1/2)
What Data Do You Need?
We recognize gathering high-quality data on downstream processing can be challenging, but every improvement is a step forward. Here’s a tiered approach to data sources and methodologies:
1. Customer-/Processor-Specific Data (Best Quality)
- Direct information from your customers on processing methods, energy use, and relevant emissions factors.
- Allocation of emissions based on the volume or mass of your product purchased and further processed.
2. Industry Benchmarks and Process Models (Medium Quality)
- Secondary data from recognized industry or trade associations on typical emissions for the transformation of your products.
- Use widely accepted life cycle databases (such as Ecoinvent, GABI, DEFRA) to estimate average emissions per kg/ton for predominant processing routes.
3. Generic or Economic Input-Output Factors (Approximate Quality)
- If product or customer-specific information is unavailable, apply standard emissions factors per product type (e.g., “average energy required to turn 1 ton of steel slab into sheet metal”).
- Use economic models or expenditure-based emission factors as a last resort.
Important: Ensure you only account for the transformation attributable to your product—avoid double counting with other Scope 3 categories.
What Should You Watch Out For?
- Boundary clarity: Only include further processing—not use, disposal, or product transport.
- Allocation: If your intermediate product is used alongside others, allocate emissions based on its proportional contribution to the final product.
- Data quality: Transparently record data sources, allocation keys, and any assumptions made. Each year, review and refine your approach—“done is better than perfect, but growth is always the goal.”
- Engagement: Initiate open, empathetic conversations with your downstream partners or customers. Explain your sustainability goals and invite their participation—helping them helps you!
- Documentation: Keep thorough records of calculation steps—this builds trust with your stakeholders and regulators.
Example of Data Needed
| Product Sold | Processing Step | Data Points | Source/Method | Typical Allocation |
|---|---|---|---|---|
| Bulk polymer pellets | Molded into parts | Energy used per kg in kWh | Customer or industry data | Proportion by mass |
| Steel slabs | Rolled to sheets | Emissions per ton rolled | Industry LCA database | Volume or mass processed |
| Soybean oil | Refined | Process fuel use per liter | Sector average | Sales volumes |
Summing Up: Checklist for Scope 3.10
- Identify intermediate products sold that require further processing.
- For each, determine the main downstream processing steps and likely customers/industry sectors involved.
- Gather best-available data from your customers, or use sector averages if needed.
- Allocate emissions transparently—by mass, volume, or other justifiable method.
- Document sources, assumptions, and any calculation improvements planned for next cycles.
- Report with honesty, care, and focus on collaborative progress.
Together, let’s shape a future where every product and every partnership becomes a force for good. And remember, we’re here to help—every step of the way!