How to Fix the Carbon Crisis in Fast Fashion

Workers organize used clothing for packaging at a warehouse near Barcelona on Aug. 1. REUTERS
Workers organize used clothing for packaging at a warehouse near Barcelona on Aug. 1. REUTERS
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How to Fix the Carbon Crisis in Fast Fashion

Workers organize used clothing for packaging at a warehouse near Barcelona on Aug. 1. REUTERS
Workers organize used clothing for packaging at a warehouse near Barcelona on Aug. 1. REUTERS

With all eyes on climate talks in Dubai, the world of fashion is working out how it can fulfill an ambitious pledge to slash the emissions it makes clothing the world with speed and style.
And the outlook isn't rosy, says Reuters.
Big brands have promised big cuts to their carbon footprint - but it is manufacturing that causes most of the environmental damage and somebody has to foot the bill for the radical change.
"The scale of the decarbonization challenge completely dwarfs the funds available," said Vidhura Ralapanawe, executive vice president at the fashion company Epic Group.
Hong Kong-based manufacturer Epic - which makes clothes in Bangladesh, Jordan and Ethiopia - has been at the forefront of global efforts to clean up the environmental footprint of the 2 trillion-dollar fashion industry.
"We are working with local and global organizations to move the whole industry forward, while trying to bring together brands, retailers, manufacturers, mills, and service providers."
The key to progress, he said, is a positive partnership between brands and manufacturers.
"Given the investment and risks manufacturers are taking, they need support in terms of long-term partnership as well as business terms that are sensitive to pricing," added Ralapanawe.
Fashion is one of the world's most damaging industries.
Behind 2% to 8% of all greenhouse gas emissions, it sucks up scarce water and creates vast amounts of pollution and waste.
The industry in 2018 set the goal of halving emissions by 2030 and reaching net zero by 2050. But progress has been slow.
Britain's monthly fashion habit alone creates the same carbon footprint as 900 round-the-world flights, according to the Oxfam charity. A 35-mile car trip creates the same environmental damage as making one cotton shirt, it added.
The stats have only got worse as the global appetite for fast fashion grows, with ever more consumers chasing the latest catwalk-to-high street trends.
Industry also knows that as of next year, it must comply with European Union legislation forcing companies to report and address emissions in their supply chains, with manufacturing to blame for about 80% of all apparel sector emissions.
But as global fashion brands pledge to drive down emissions and power towards the 2050 net-zero goal, textile and garment manufacturers are demanding that brands share the financial burden of investing in low-carbon technology and processes.
Last month, Transformers Foundation - a New York-based think tank that speaks for denim makers and brands - released a report urging more collective action to achieve a climate transition.
Kim van der Weerd, intelligence director at Transformers Foundation, said the apparel sector rarely asks 'who pays' for the big transition, assuming that it is the suppliers whose facilities must change who will foot the bill.
"That is both impractical and inequitable," she told the Thomson Reuters Foundation, given that suppliers have far less money than the big brands.
Experts said decoupling the key sticking point - who must act and who can pay - could help break the impasse, putting suppliers in charge of what changes to make and ensuring that brands duly invest in that overhaul.
PAYING FOR AMBITIONS
Textile makers want a range of funding options from the brands they feed to finance a new, cleaner production line.
Mohiuddin Rubel, a director at Bangladesh's apparel makers' trade body - the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) - said fashion brands can support suppliers by offering grants, low-interest loans and direct investments.
That will help suppliers move to more renewable energy and energy-efficient technology, as well as retain workers, he said.
Some initiatives are already underway.
The Apparel Impact Institute (AII), a US think tank promoting sustainable investments, formed the Fashion Climate Fund last year that mobilized $250 million with the aim of unlocking $2 billion of finance and cutting 150 million tons of carbon from fashion over the next three decades.
Kurt Kipka, chief impact officer at the Institute, said the fund could help speed cuts as the sector is ripe with opportunity for rapid reform.
Among suggested easy, quick wins: recovering heat from the water used in production or improving boiler efficiency.
Apparel makers said making climate finance available, accessible and affordable for suppliers is essential for a low-carbon future for fashion. But the sums involved are sizeable.
If the industry wants to achieve net zero by 2050, it will need more than $1 trillion of investment, said an AII report.
NO COOKIE-CUTTER
Besides a shortfall in funding, the industry faces another big hurdle to rapid decarbonization - the sheer diversity of priorities and problems faced by its myriad suppliers.
In densely-populated Bangladesh, suppliers find it difficult to generate enough rooftop solar power as most factory buildings expand vertically rather than horizontally, limiting roof space, cloth makers told a climate conference held in Dhaka in October.
In Pakistan, factories are unable to cut deals with third parties that would supply renewable power to help them cut emissions, and must instead make the reductions in-house, said the Transformers Foundation report.
In other words, one size will not fit all.
"If our approach is to take the collective goal of the Paris Agreement and to divvy it up equally amongst companies without taking feasibility into consideration, we will fail," said van der Weerd of the denim industry think tank.
Epic Group's Ralapanawe said the needs of a giant may not be the same as those of a heavily-leveraged small supplier, and a mix of financial tools will be needed to meet both.
Kurt Kipka, chief impact officer at the Apparel Impact Institute, said helping suppliers lighten their footprint demanded flexibility from funders.
"It’s imperative that we meet industry and partners where they are - based on the different needs of leading facilities and facilities only starting in the decarbonization journey," he said.



Fashion Commission Launches 1st Executive Master’s Program in Riyadh

Fashion Commission Launches 1st Executive Master’s Program in Riyadh
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Fashion Commission Launches 1st Executive Master’s Program in Riyadh

Fashion Commission Launches 1st Executive Master’s Program in Riyadh

The Fashion Commission announced the launch of the first Executive Master’s program to be delivered in Riyadh, developed in collaboration with the world-renowned Institut Français de la Mode (IFM).

The new program marks a significant leap in advancing fashion education and executive training within the Kingdom, according to SPA.

The Executive Master’s in Strategic Management of Fashion & Luxury represents a new milestone in fashion education, taking place in Riyadh for the first time. It is a 15-month hybrid executive master’s degree track designed for high-potential professionals seeking advanced executive training while continuing their careers. Delivered through a blend of in-person modules in Riyadh and Paris, alongside supervised online learning, the program equips participants with strategic, managerial, and analytical expertise tailored to the rapidly evolving fashion and luxury sector.

Designed with market needs in mind, the executive master’s curriculum covers creation and design, brand strategies, sustainability, new consumer behaviors, retail innovation, fashion media, collection management, and future industry perspectives. Participants will also complete a thesis that contributes new knowledge to the regional and global fashion landscape.

The program is taught by IFM’s internationally recognized faculty, experts in fashion history, sustainability, consumer behavior, design, and luxury management, alongside industry leaders from major global houses, fashion federations, media groups, and innovation-driven organizations.

This landmark program builds on the Fashion Commission’s ongoing partnership with IFM since June 2022. Within the first year, the collaboration introduced high-level educational initiatives, including the Advanced Management Program for Luxury Fashion and the Executive Master’s in Luxury Fashion, designed to elevate local talent and strengthen the Kingdom’s creative workforce.

These programs have contributed to developing the skills and knowledge required to support a world-class fashion ecosystem.

The launch of the Executive Master’s marks a pivotal step in establishing Riyadh as an education hub for the fashion and luxury sectors. By bringing a master’s qualification of this caliber directly to the Kingdom, the Fashion Commission reinforces its commitment to enabling professional growth, supporting innovation, and creating globally competitive talent pipelines.


Nike Shares Rise as Apple’s Cook Doubles His Bet on CEO Hill’s Overhaul Effort

A jogger wearing Nike shoes runs along the Charles River in Cambridge, Massachusetts, US, March 18, 2019. (Reuters)
A jogger wearing Nike shoes runs along the Charles River in Cambridge, Massachusetts, US, March 18, 2019. (Reuters)
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Nike Shares Rise as Apple’s Cook Doubles His Bet on CEO Hill’s Overhaul Effort

A jogger wearing Nike shoes runs along the Charles River in Cambridge, Massachusetts, US, March 18, 2019. (Reuters)
A jogger wearing Nike shoes runs along the Charles River in Cambridge, Massachusetts, US, March 18, 2019. (Reuters)

Nike shares rose 5% in early trading on Wednesday after Apple CEO Tim Cook doubled his personal stake in the sportswear maker, raising his bets on the margin-pinching turnaround efforts led by CEO Elliott Hill.

Cook, who has been on Nike's board since 2005, bought 50,000 shares at $58.97 ‌each, according to ‌a regulatory filing. As of December ‌22, ⁠he holds about ‌105,000 shares, which is now worth nearly $6 million.

It was the largest open market stock purchase for a Nike director or executive and possibly the largest in more than a decade, said Jonathan Komp, analyst at Baird Equity Research.

"(We see) Cook's move as a positive signal for the progress under CEO Elliott Hill and Nike's 'Win ⁠Now' actions," Komp said.

The purchase comes days after Nike reported weaker quarterly margins and weak ‌sales in China even as CEO ‍Hill tries to revive demand ‍through fresh marketing plans and innovation focused on running and sports, ‍while phasing out lagging lifestyle brands.

He has also attempted to mend Nike's ties with wholesalers such as Dicks Sporting Goods to increase visibility among shoppers amid stiff competition from newer brands.

However, the strategy has strained Nike's margins, which have been declining for over a year, while its efforts to win back its ⁠premier position in discount-friendly China appears to be faltering.

Nike's shares have slumped nearly 13% since it reported results on December 18 and are on track for the fourth straight year of declines. They were trading at $60.19 on Wednesday.

Cook has been a lead independent director of Nike since 2016 when co-founder Phil Knight stepped down as its chairman.

The Apple CEO "remains extremely close" with Knight, Komp said, adding that he has advised Nike through key strategic decisions including Hill's appointment last year.

Board director and former Intel CEO ‌Robert Swan also bought about 8,700 shares for about $500,000 this week.


Etro Founding Family Exits Group as New Investors Including Türkiye's RAMS Global Join

L Catterton, a private equity firm backed by French luxury giant LVMH, will remain Etro's majority owner. Reuters
L Catterton, a private equity firm backed by French luxury giant LVMH, will remain Etro's majority owner. Reuters
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Etro Founding Family Exits Group as New Investors Including Türkiye's RAMS Global Join

L Catterton, a private equity firm backed by French luxury giant LVMH, will remain Etro's majority owner. Reuters
L Catterton, a private equity firm backed by French luxury giant LVMH, will remain Etro's majority owner. Reuters

The founding family of Italian fashion house Etro has sold the minority stake it still owned in the brand to a group of investors including Turkish group RAMS Global, the company said on Friday.

L Catterton, a private equity firm backed by French luxury giant LVMH, will remain Etro's majority owner and "will continue to actively support the brand's long-term growth strategy," Etro added, according to Reuters.

The new investors comprise also Italian fashion group Swinger International and small private equity firm ⁠RSI.

In addition to buying the stake, they all subscribed to a capital increase that will lower L Catterton's holding in Etro to between 51% and 55% from around 65%.

When including both the acquisition and the capital increase, the deal is worth around 70 ⁠million euros ($82 million), two sources close to the matter said. Etro did not disclose financial details.

Chief Executive Fabrizio Cardinali will remain at the helm, while Faruk Bülbül, representing RAMS Global, will become chairman of the board.

L Catterton bought a 60% stake in the brand known for its paisley motif four years ago, and it slightly increased the holding over the years.

The company, founded by Gimmo Etro in 1968, has ⁠been struggling with its turnaround. Last year it posted a net loss of 23 million euros with net revenues declining to 245 million euros from 261 million euros, according to filings with the local chambers of commerce reviewed by Reuters.

Rothschild advised L Catterton and the Etro family on the deal.

Rothschild had been hired in 2024 to look for a new investor who could buy all or part of the Etro fashion group, sources had previously told Reuters.