Collaboration in Action: Policy
The apparel industry is in the midst of a dramatic sea change when it comes to policy and sustainability. With a slew of new legislation, regulation and consumer guidelines coming — notably out of the European Union — brands and organizations need to adapt quickly to ensure they don’t fall out of line.
For this quarterly briefing, we spoke with policy experts from the Fashion Conveners’ member organizations to surface how brands can prepare for upcoming policy changes. We also share how the Fashion Conveners — a global collaborative of non-profit alliances working individually and collectively to accelerate positive action in the fashion industry — is creating a space to align messages and share knowledge on international legislation updates.
A LOOK AT THE POLICY LANDSCAPE
With national and international policies changing constantly, apparel brands and manufacturers need to pay close attention, as newer developments are impacting all stages of the value chain.
“Three years ago, if you wanted to launch a T-shirt company and sell it in Europe, you had legislation regarding the chemical content, and that was it,” says Baptiste Carriere-Pradal, Chair of the Policy Hub, a coalition of organizations proposing ambitious policies for the textiles industry in Europe. “Now, the way you design will be regulated, the way you produce will be regulated, the way you market will be regulated, and the way that you discard garments will be regulated.”
New policies are being proposed in key markets all over the world, with a flurry of recent activity happening in the European Union. Notable EU developments include:
The EU’s proposed Directive on Green Claims, adopted in March 2023, aims to standardize environmental claims on products — meaning that companies selling to the EU market must now meet strict criteria when making statements about their products' environmental impact.
EU Due Diligence Legislation, adopted in February 2022, requires companies to assess and mitigate environmental and human rights impacts in their supply chains.
The Digital Product Passport, a tool proposed by the European Commission that will digitally store product information, including its environmental footprint, to help consumers make informed choices and regulators verify sustainability claims.
The Corporate Sustainability Reporting Directive (CSRD), officially adopted on July 31, 2023, will require all large companies and listed SMEs to publish regular reports on their environmental and social impact activities.
National policies are also being proposed across the continent. Norway is implementing a number of ESG-related regulations, including the Transparency Act; the UK has Sustainability Disclosure Standards and the Green Claims Code; new guidelines on Environmental Claims have been issued in Denmark; and the Advertising Code for Sustainability Claims was recently updated in the Netherlands.
In the U.S., the highly anticipated update of the Green Guides overseen by the Federal Trade Commission (FTC) aims to enhance credibility in sustainability advertising. It will offer businesses renewed advice on creating transparent and authentic environmental claims in line with changing consumer values.
Meanwhile, localized policies are also emerging. New York’s Fashion Sustainability and Social Accountability Act compels fashion companies to disclose their actions in reducing carbon emissions and waste generation. If passed, it’s expected to inspire other U.S. states to follow suit.
HOW APPAREL BRANDS & MANUFACTURERS CAN PREPARE
With several changes coming into effect starting in 2025, the experts in our network emphasized that apparel brands and manufacturers must start taking action now to determine if their operations and consumer-facing messages are in line with upcoming legislation.
“Many organizations are thinking, let's wait til the ink dries, and then we apply it,” Carriere-Pradal says. However, he warned that when legislation requires fundamental strategy changes — as several do — it will take time, work and investment to implement.
“Organizations need to have an internal roadmap, start to prepare and start to pilot, in order to be in a position to meet the upcoming regulations,” says Carriere-Pradal.
Beth Jensen, Director of Climate+ Impact at Textile Exchange, adds that a challenge lies in the fact that there is still so much uncertainty related to policy. “Timelines are shifting, and the content is often shifting as well,” she explains.
Despite this uncertainty, Jensen urges brands to start preparing now. “Work on traceability within your organization,” Jensen says. “Get to know where your raw materials and fibers are coming from, all the way back to tier four, because traceability regulations are coming. Ensure that you have proper resourcing for the coming reporting and disclosure requirements.”
HOW FASHION CONVENERS MEMBERS ARE COLLABORATING & ALIGNING
The policy landscape is evolving rapidly — and it is not always in complete alignment across different markets.
“We have a very interesting series of developments,” says Carriere-Pradal, highlighting the communications and claims space as an example. “In the United States, there is a revision of the Green Guides. In Europe, there are new laws that will regulate how organizations can speak about the environmental impact and performance of their product or organization. And now, it looks like there is a similar conversation emerging in China. So, suddenly, you have some of the biggest markets on Earth all thinking about how one can communicate regarding sustainability practices to consumers.”
Through its Policy Working Group, Fashion Conveners members meet periodically to exchange knowledge on developments happening in different geographies. Led by Policy Hub, Fashion Makes Change and Global Fashion Agenda, with contributions from Textile Exchange, UNFCC and the Sustainable Apparel Coalition, the Policy Working Group is looking to create a space for those who are engaging in policy to align their advocacy work and help the fashion industry present a united front to policymakers.
HOW FASHION CONVENERS MEMBERS ARE ENGAGING
Individual Fashion Conveners members are also engaging on policy in their own ways. For example:
Policy Hub
The Policy Hub is a coalition of organizations that interacts directly with policymakers and industry stakeholders, with the view to influence legislation and propose ambitious policies in the European Union. Notably, it seeks to ensure that new policies consider the technical expertise and knowledge harvested by its partner organizations, which include Textile Exchange, Sustainable Apparel Coalition, Global Fashion Agenda and the Federation of European Sporting Goods.
Textile Exchange
Textile Exchange’s policy engagement centers around the organization’s focus on raw materials and fibers. In the EU, the organization primarily engages on topics related to green claims and labeling (including recognition of standards and certifications), use of impact data and integration of the Digital Product Passport with the data collection systems already in use by the industry.
“A priority for us is to ensure that new regulations on claims and labeling consider all of the standards and certifications that are already widely used across the industry to manage sustainability and traceability within supply chains,” says Jensen. “These systems have been built over many years, and we want to ensure that all that investment isn’t disregarded or overridden.”
In the U.S., Textile Exchange participated in the public comment process for the forthcoming Green Guides, supports the inclusion of regenerative agriculture provisions in the renewal of the U.S. Farm Bill, is a member of the Organic Trade Association and has engaged with U.S. Customs and Border Protection on potential opportunities for trade mechanisms to support the use of sustainable materials
HOW YOU CAN LEARN MORE
To help you navigate the changing policy landscape, here are a few recommended resources from Fashion Conveners members:
To dive deeper into the European policy landscape, visit the Policy Hub website to view its position papers and follow the Policy Hub on LinkedIn for ongoing updates.
Download Global Fashion Agenda’s EU Policy Matrix, a regularly updated overview of the main regulatory initiatives relating to the five priorities of the Fashion CEO Agenda at the EU level.
The Fashion Conveners is a global collaborative of non-profit alliances working individually and collectively to accelerate positive action in the fashion industry. We are on a mission to accelerate collective action through connected partnerships within the apparel and accessories value chain, with the ultimate goal of building greater social, economic and environmental prosperity.
Learn more about the Fashion Conveners here.
Read our Q3 briefing on the latest launches, events and collaboration opportunities in sustainable fashion here.