Carbon neutral products are those with a carbon footprint of 0.
Most products fall under the voluntary emissions reduction market, so their carbon footprint can be reduced with VERs. To thoroughly neutralize a product's carbon footprint, the first thing to do is to count it, considering every part of the supply chain. After a thorough life cycle analysis and getting to know the actual carbon footprint of the product, every effort should be made to lower the score and reduce those avoidable emissions. The residual can be neutralized with carbon offsets so that the CO2e balance is zero.
There are several standards for labelling products with carbon footprint information (carbon labelling), such as TerGo Carbon Neutral Certified.