Asian Garment Makers Call for More Help from Brands to Adapt as Europe Calls Time on Fast Fashion

An employee arranges bobbins at a textile plant in Haian county, Jiangsu province, China. REUTERS
An employee arranges bobbins at a textile plant in Haian county, Jiangsu province, China. REUTERS
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Asian Garment Makers Call for More Help from Brands to Adapt as Europe Calls Time on Fast Fashion

An employee arranges bobbins at a textile plant in Haian county, Jiangsu province, China. REUTERS
An employee arranges bobbins at a textile plant in Haian county, Jiangsu province, China. REUTERS

Among the biggest seismic shifts set to transform the global textile industry in coming years is the new European Union Strategy for Sustainable and Circular Textiles.

First proposed in May 2022, the framework was formally passed in the European Parliament this June. “It’s a masterplan that describes what it would take to get Europe to become sustainable in textiles,” explains EU parliament member Pernille Weiss, who is a shadow rapporteur of the new strategy.

The framework proposes that by 2030, all companies selling textiles – clothes, mattresses, car upholsteries, and the like – will have to meet certain standards in order to sell their wares to customers in the EU. This includes making sure products are durable, free from hazardous substances, and comprise mainly recyclable fibers. Human rights must also be protected at all stages along the supply chain, and manufacturers will now be responsible for the waste their products generate, with a ban on destroying unsold or returned textiles.

The strategy remains non-binding for now, but the next steps are “to recast and update current directives and regulations so that they echo what we have suggested in the strategy”, in addition to creating new ones, says Weiss. She and her colleagues are currently studying up to eight such legislative acts, including the textile labeling regulation and Waste Framework Directive, with “the first wave of the new lawmaking processes” expected after the EU elections next summer.

The changes will have a resounding impact throughout Asia, whose manufacturers supply more than 70% of the EU’s textiles. “The new strategy is a big deal,” says Sheng Lu, an associate professor of fashion and apparel studies at the University of Delaware in the US “If Asian companies want to sell their products in Europe in the future, they have to comply with many components of the strategy.”

A spokesperson for H&M, one of Europe’s largest fashion retailers, said the company welcomed the EU’s new move. “The way fashion is produced and consumed needs to change, this is an undeniable truth,” they said. “We support efforts that aim at driving progress towards a more sustainable fashion industry.”

The Swedish giant sources from 1,183 tier 1 factories, employing 1.3 million people, most of them women. It says it is working with its 605 product suppliers, located mainly in China and Bangladesh, to enact changes that will bring imports in line with the new strategy.

This includes initiatives such as the Fashion Climate Fund, which supports suppliers in transitioning towards renewable energy, improving efficiency and scaling sustainable practices. The firm also supplies funding, via the Green Fashion Initiative, to factories looking to invest in new technologies and processes to reduce their reliance on fossil fuels. Additionally, it launched the Sustainable Supplier Facility initiative for other brands to co-invest in projects that support apparel suppliers in their decarbonization journey.

“There is a critical need for collaboration between brands buying from Asian manufacturers and the manufacturers themselves,” said H&M.

Still, textile-exporting countries are aware that the clock is ticking. “Sustainability has become the topmost priority for Europe, one of the most important export markets for Indian garments,” says Naren Goenka, chairman of India’s Apparel Export Promotion Council. The country exported $4.8 billion worth of textiles to the EU in the first 10 months of 2022 alone.

“It’s high time for India to gear up – sustainability is no more a choice for us,” he says.

Some firms in the country have already been making strides in this direction. For instance, Chetna Organic, a farming co-op in Yavatmal, west India, has been growing cotton organically without the use of synthetic chemicals or pesticides since 2004. Today, it comprises more than 15,000 farming families.

In Sri Lanka, garment producer Hirdaramani Group has achieved net-zero carbon emissions across its manufacturing division, and is now working towards slashing its water consumption by 50% while upping its use of sustainable raw materials to 80% by 2025.

Singapore-based Ramatex, which manufactures sportswear in factories across Asia for brands such as Nike and Under Armour, has been part of a research program convened by the non-profit Forum for the Future investigating how to produce clothing that doesn’t shed microfibers.

In Taiwan, meanwhile, textile producer Yee Chain is working with its sportswear clients to figure out how to reduce fabric waste in the footwear manufacturing process, which can see up to two million out of the 48 million pairs of shoes it produces annually being destroyed.

“Obviously the production needs to be better,” says Yee Chain’s sustainability manager Martin Su. “There’s a lot of things that can be done in a less polluting way or one that uses less resources and power.”

Unfortunately, these firms are the exception rather than the rule. “There are some glimmers on the horizon, manufacturers who have invested in new technology and are doing well,” says Nicole van der Elst Desai, a Singapore-based textile innovation expert who consults for Forum for the Future. “But I think for the majority, we see that they have not been exposed that much and have been doing business as usual.”

A key roadblock in the path to meeting the new European Union standards is having sufficient knowledge and know-how, she says. “Producers first have to understand how they can contribute proactively to reducing the impact of the industry.”

This includes discerning which raw materials are sustainable and suitable for use, how to source them and set up supply chains; what kind of machinery is needed for processing them into fabrics; how to scale; and, finally, how to dispose of textiles appropriately at their end-of-life. On top of this, producers will have to digitalize certain aspects of their operations, such as improving information capture systems to meet the new supply-chain transparency requirements.

Lu at the University of Delaware says transitioning to a circular business model will require both technical and financial advice, as well as legal support “to interpret the new regulations”, he adds.

And that points to another big challenge – finding the financial wherewithal to do so. According to one 2020 estimate from Fashion for Good and Boston Consulting Group, transforming the $2 trillion industry would require $20 billion to $30 billion of funding every year. A quarter of this is to support raw materials innovation and improvements, a third for overhauling sourcing, processing and manufacturing processes, and 20% for handling textile waste.

There has been some funding on offer from the Green Climate Fund, the United Nations-backed fund aimed at helping developing nations take climate action. Since 2020 It has provided nearly $350 million in loans to help textile and ready-made garment manufacturers in Bangladesh adopt energy-efficient technologies such as solar panels.

Bangladesh’s textile sector also receives funding from the International Finance Corporation’s Advisory Partnership for Cleaner Textile (PaCT) program. Since its initiation 10 years ago, PaCT has introduced innovations that have helped nearly 340 factories cut their annual freshwater consumption and wastewater discharge.

But the Fashion for Good report points out that fashion companies should themselves be developing and commercializing innovation in circular solutions. At the moment research and development for the fashion industry is extremely low, at less than 1% of sales.

“This creates a situation in which players in the supply chain are often asked to bear the risk, costs and effort of innovating, with little guarantee that they will be in a position to capitalize on their investment,” the report said.

One company that has been investing in supporting a more circular textile model in Asia is H&M. In 2016, it partnered with the Hong Kong Research Institute of Textiles and Apparel (HKRITA) to develop the Green Machine, a technology capable of separating cotton and polyester blended textiles, commonly found in many clothing types, at scale without any quality loss – a world first. The award-winning process makes use of heat, water, pressure and a biodegradable “green” chemical for separation, recovering more than 98% of polyester fibers in under two hours.

In 2020, Indonesia’s largest textile manufacturer Kahatex began using the Green Machine, and a year later, Turkey-based ISKO, the world’s biggest denim producer followed suit. “The system is being scaled up in Indonesia and Turkey, with plans for multiple systems in different locations,” says HKRITA chief executive Edwin Keh, who adds that Cambodia is another possible location.

But Keh points out that using recyclable or sustainably sourced materials is much more costly than polyester, the synthetic fiber derived mainly from petroleum that’s found in more than half the world’s textiles. Incorporating sustainable materials into new textiles at scale can drive up costs for Asian manufacturers, which in turn, can decrease their competitive edge.

“Why are people outsourcing in the first place? It’s because they want the cheapest possible product into the EU,” he says.

Keh believes EU retailers might instead turn to nearshoring or onshoring relocating supply chains closer to final markets. “So, places like Turkey or any of the eastern European countries, which are not the cheapest but are EU-esque, will be a lot easier for suppliers to deal with.”

Lu agrees. “Asian suppliers are very good at making cheap products in large quantities. But in the new era where we’re talking about slow fashion, consumers may want fewer products in smaller quantities but using more sustainable materials, which means Asian countries might not be the ideal place to source products anymore.”



‘Something Borrowed’: Dutch Bride Opts for Recycled Wedding

Sustainable development communications specialist and bride-to-be Lara Beters and groom Mathijs Dordregter walk through a ticket gate in Utrecht train station for their wedding inside the station as part of an initiative to highlight sustainability issues, in Utrecht on April 2, 2026. (AFP)
Sustainable development communications specialist and bride-to-be Lara Beters and groom Mathijs Dordregter walk through a ticket gate in Utrecht train station for their wedding inside the station as part of an initiative to highlight sustainability issues, in Utrecht on April 2, 2026. (AFP)
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‘Something Borrowed’: Dutch Bride Opts for Recycled Wedding

Sustainable development communications specialist and bride-to-be Lara Beters and groom Mathijs Dordregter walk through a ticket gate in Utrecht train station for their wedding inside the station as part of an initiative to highlight sustainability issues, in Utrecht on April 2, 2026. (AFP)
Sustainable development communications specialist and bride-to-be Lara Beters and groom Mathijs Dordregter walk through a ticket gate in Utrecht train station for their wedding inside the station as part of an initiative to highlight sustainability issues, in Utrecht on April 2, 2026. (AFP)

"Within like 30 minutes I knew this was the one," Lara Peters said of the second-hand wedding dress she had just worn to her marriage -- in the Netherlands' busiest rail station.

Peters, 42, had found the dress two days earlier in a shop run by "Free Fashion", a Dutch foundation devoted to recycling clothing to combat waste -- a cause close to her heart.

That is why she and her 44-year-old husband Mathijs Dordregter chose sustainability as the theme of their wedding -- with the help of Free Fashion.

The organization says it is the kind of trend people everywhere will need to adopt if humankind wants to curb over-consumption and its destructive effect on the planet.

"The message that during your wedding you can also choose sustainable options is very important to me," the bride explained.

Peters works in communications in the sustainable development field, so the couple's choice to hold their wedding ceremony in the bustle of Utrecht rail station had a certain logic to it.

Nina Reimert of the Free Fashion foundation helped organize the event.

"We know that in terms of emissions... producing a wedding dress is similar to something like 250 kilometers (155 miles) by car," she told AFP.

"And they're made of all different materials so they are really hard to recycle and almost everything is polyester," she added.

With 17,000 weddings a year in the Netherlands, she explained, that adds up to a lot of emissions. "It's a nightmare."

It was to draw attention to the over-consumption inherent in many weddings that the Free Fashion foundation decided to make an online appeal to convince couples to approach the happy day from a different perspective.

For as the old saying for weddings goes: "Something old, something new; Something borrowed, something blue."

- Love me, love my planet -

For Free Fashion's co-founder Lot van Os, opting for a second-hand bridal dress -- something that is normally only worn once -- sends a strong message.

"When you celebrate love you should also celebrate love for the planet," he told AFP.

Free Fashion's team of 800 volunteers is much in demand by local councils who want to meet their targets for reducing waste and recycling.

The foundation also works with businesses, helping them organize exchanges of clothing between employees.

For van Os, this practice of exchanging rather than constantly buying new items is a habit people are going to have to acquire in the future.

This "circular transition", he says is something we are all going to have to go through. "It's not a matter of if but when we are going to change," he said.

To underline the wedding's sustainability theme, a pop-up store at the rail station offered dozens of wedding dresses, free to anyone willing to sign up to the concept.

"There are now already enough clothes in the world for the next six generations," said a sign printed outside the store.

Both the bride and the bridegroom wore second-hand outfits for the big day -- as did all their guests.

And the sustainability theme did not end there, said Peters.

Their wedding meal was vegetarian -- less harmful for the environment -- and they travelled to the venue on bikes or by public transport.

"Everything I bought for the wedding was already used at other weddings," added the bride.

As for her wedding dress, she promised: "It's not going to be hanging in my closet!"


Nike’s Turnaround Put to Test as Middle East Conflict Poses New Risks

A man walks past Nike booth with installation of shoes at the 8th China International Import Expo (CIIE) venue in Shanghai, China, November 5, 2025. (Reuters)
A man walks past Nike booth with installation of shoes at the 8th China International Import Expo (CIIE) venue in Shanghai, China, November 5, 2025. (Reuters)
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Nike’s Turnaround Put to Test as Middle East Conflict Poses New Risks

A man walks past Nike booth with installation of shoes at the 8th China International Import Expo (CIIE) venue in Shanghai, China, November 5, 2025. (Reuters)
A man walks past Nike booth with installation of shoes at the 8th China International Import Expo (CIIE) venue in Shanghai, China, November 5, 2025. (Reuters)

Nike's efforts to steady its business ‌face a fresh setback, with executives cautioning that unrest in the Middle East could further complicate the turnaround, while the sportswear giant still struggles to regain traction in China.

The company on Tuesday warned of a sharp drop in current-quarter sales and slower-than-expected progress on its turnaround, as higher trade-related costs squeeze its margins and cautious consumers rein in spending.

Shares of the company slumped 10% to $47.35 in premarket trading on Wednesday and were on track to open at their lowest in over a ‌decade.

On an earnings ‌call, Chief Financial Officer Matthew Friend said ‌the ⁠conflict in the ⁠Middle East had already disrupted shopping behavior in parts of Europe, the Middle East and Africa, contributing to softer store traffic and weaker sportswear sales.

"The Middle East conflict is compounding the pressure, with Nike flagging traffic disruption and elevated inventory across EMEA," said Josh Gilbert, market analyst at eToro.

Nike CEO Elliott Hill, ⁠who took the helm in 2024, has ‌been looking to steady the company ‌as it grapples with several challenges, including a sluggish digital business, ‌stubborn excess inventory and intensifying competition from Chinese sportswear brands.

To boost ‌margins and bolster investor confidence, Hill has moved to rein in promotions, sharpen product innovation and refocus the business on core franchises such as running.

The efforts showed some signs of improvement in the ‌reported quarter, with the running category growing over 20%, but analysts still see a long road ⁠ahead for ⁠Nike.

At least eight brokerages cut their price target on the stock.

"We are turning at least somewhat frustrated, with seemingly slower than planned pace of recovery," Oppenheimer analyst Brian Nagel said.

The company's forward price-to-earnings multiple, a common benchmark for valuing stocks, is 25.47, compared with 13.54 for Adidas and Under Armour's ratio of 25.72, according to LSEG data.

"These earnings show Nike is keeping pace at a steady jog, but it keeps tripping over hurdles along the way," eToro's Gilbert added.

"Patience is clearly the price of admission."


From Plastic Jars to Transport, Iran War Drives up Beauty Industry Costs

Visitors browse stalls at the beauty industry Cosmoprof trade show, in Bologna, Italy, March 26, 2026. Picture taken with a mobile phone. (Reuters)
Visitors browse stalls at the beauty industry Cosmoprof trade show, in Bologna, Italy, March 26, 2026. Picture taken with a mobile phone. (Reuters)
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From Plastic Jars to Transport, Iran War Drives up Beauty Industry Costs

Visitors browse stalls at the beauty industry Cosmoprof trade show, in Bologna, Italy, March 26, 2026. Picture taken with a mobile phone. (Reuters)
Visitors browse stalls at the beauty industry Cosmoprof trade show, in Bologna, Italy, March 26, 2026. Picture taken with a mobile phone. (Reuters)

The Iran war is seeping into the cosmetics supply chain, pushing up the cost of everything from plastic jars and lipstick tubes to transport, and reminding the beauty industry that even a tub of face cream depends on fragile global trade routes.

Cost pressures were a recurring theme last week at one of the sector's largest trade fairs in the northern Italian city of Bologna, as executives watched Iran's blockade of the vital Strait of Hormuz shipping route approach a fifth week.

The Cosmoprof fair drew 3,100 exhibitors from 68 countries and 255,000 visitors from 150 nations, ranging from companies seeking packaging solutions to retailers scouting new products.

Cosmetics companies are primarily worried about higher raw material and transport costs due to rising oil prices ‌and disrupted shipping, five ‌industry executives told Reuters.

"We are beginning to see cost increases driven ‌by ⁠energy price inflation, compounded ⁠by delivery delays," said Simone Dominici, CEO of Italian cosmetics group Kiko, who estimates additional logistics-related costs of about 1.5 million euros ($1.7 million) for the group over the year.

Kiko, which sells lipsticks starting at 5 euros and mascaras from 7.5 euros, operates more than 1,000 stores worldwide.

"With so many containers stuck in the Middle East, there is a tighter container availability ... and goods are not being moved efficiently," Dominici said, adding that higher prices for some chemical components and packaging - much of it sourced from the ⁠Far East - would add further pressure.

As the Iran crisis upends supply ‌chains, Yonwoo, a container maker for L'Oreal and K-beauty firms, ‌said it was scrambling to secure stocks of plastic resin to manufacture the pots used for skincare and cosmetics.

ALTERNATIVE ‌ROUTES

Beyond higher costs, the industry could also face softer demand from consumers whose purchasing power ‌is being eroded by inflation, Dominici said.

"It's the perfect storm," he warned.

Milan-listed Intercos and privately owned Ancorotti Group, among Italy's largest contract manufacturers in the sector, said they had not yet faced major supply shortages but cited higher logistics costs, longer delivery times and rising raw material prices as challenges.

"Lead times have lengthened as routes have ‌become longer and ports more congested. What once took eight weeks now can take 12 to 14 weeks," said Ancorotti Chief Executive Roberto ⁠Bottino.

Some clients have turned ⁠to rail transport to reach Asia, Bottino added.

Ancorotti Group makes around 220 million euros in revenues per year from selling products to beauty brands worldwide.

Bottino said it was difficult to imagine supply-chain cost increases not ultimately being passed downstream.

"Middle East customers value quality and are willing to pay a premium for added value, so being unable to access these markets can have a negative impact," said Fabio Franchina, chairman of haircare products maker Framesi.

Franchina said the company's distributor in the region was exploring alternative delivery routes.

"They are looking at ... (options such as) shipping to Jeddah and then moving goods by road instead of routing them through Gulf ports," he said.

Some goods are currently being shipped by air rather than by sea, he added, further lifting costs.

Italy produced 18 billion euros of cosmetics in 2025, including 8.4 billion euros in exports, according to industry body Cosmetica Italia, making the country the world's fifth-largest exporter of beauty products and one of the leading producers of hair dyes, eye make-up and fragrances.