How apparel can build on momentum for 2025

2024 has unfolded against an intense global backdrop: an election year for over half the world’s population, rising polarisation in societies, and ongoing regulatory uncertainty. In the EU alone, 16 pieces of legislation impacting fashion and textiles were discussed by the end of 2023. 

Yet, alongside this expected turbulence, new players emerged, old ones exited, cover-ups were exposed, and technological breakthroughs disrupted industry limits — all with the potential to push the sector forward.

Here are three key takeaways from 2024.

2024 marked a milestone for regulation in the apparel industry. The EU took decisive action with the introduction of the Forced Labour Regulation and the Ecodesign for Sustainable Products Regulation. These initiatives are set to impact products globally, with the EU's new digital product passport — approved in June 2024 — holding the potential to transform textile recycling by standardising sorting processes.

In the US, California’s Responsible Textile Recovery Act introduced the first extended producer responsibility framework for textiles, a model likely to be replicated across other states. However, federal action remains uncertain. California’s decision to delay climate reporting for the 2025 fiscal year, combined with the Trump nomination of Lee Zeldin, a climate regulation opponent, to head the US Environmental Protection Agency, indicates that federal action will likely fail to match the urgency and pressure needed.

Globally, the fragmented regulatory landscape continues to slow progress. A prime example is the stalling of a global plastics treaty at the INC-5 summit, after two years of discussions. To drive meaningful, long-term change, the industry needs greater alignment across governments and more robust engagement from brands and suppliers in shaping policies that push for systemic transformation.

The second-hand apparel market continues to grow exponentially, with 2024 seeing it outpace the broader market threefold. Major brands including Decathlon and Lacoste have championed buy-back schemes, while collaborations such as HURR x Deliveroo are pioneering rental models. These initiatives signal an industry eager to engage consumers in more sustainable, circular purchasing practices.

Yet, the recent Circular Gap report starkly reveals that the fashion industry is only 0.3% circular. Circularity will only succeed if it displaces new production, not merely cycles existing stock alongside the ongoing creation of virgin products. A possible solution lies in shifting toward an “eliminate-circulate-regenerate” production model. 

Advances in textile recycling are encouraging: Lululemon and Samsara’s enzyme for Nylon 6, Andritz’s new large-scale recycling plant, and a collaboration between Goodwill, Waste Management and Reju to scale textile sorting are all important steps. But recycling alone won’t solve the problem. To reduce waste, there must be a stronger push for eliminating overproduction and embracing regenerative practices.

In a positive move, Kering’s commitment to science-based targets for nature at COP15 signals a growing recognition that regenerative action and biodiversity improvement must sit alongside climate action.

Climate action is ramping up, with more brands committing to science-based targets. Puma, for example, achieved its 2030 GHG reduction goal seven years ahead of schedule, setting a strong example. However, the 2025 State of Fashion report found that 63% of brands are still behind on their 2030 decarbonisation targets. 

Scope 3 emissions are emerging as the next frontier. Initiatives such as the Future Supplier Initiative, piloting low-carbon efforts in Bangladesh, are testing new financing models and technology to reduce emissions across key manufacturing hubs.

But climate change is no longer a distant threat—extreme heatwaves in manufacturing hubs such as Bangladesh have shown that the impacts are already here. Since 2005, heat stress in tropical regions has increased by 42%, underscoring the urgent need for climate adaptation alongside mitigation. Resilience-building actions often align with other sustainability goals, such as living wage commitments, water security in textile dyeing and nature-based solutions.

As the industry looks forward into 2025, there’s room for pragmatic optimism. The regulatory landscape will continue to evolve. The European Commission’s plans to simplify sustainability regulations, particularly for SMEs, should help ease the burden of compliance and encourage innovation. 

In France, there is incoming legislation that aims to curb fast fashion’s ecological footprint by limiting advertising and penalising producers. This signals momentum toward systemic change, though global regulatory alignment is still a work in progress.

2024 saw growing recognition of the need to shift toward an “eliminate-circulate-regenerate” approach. Textile Exchange’s Reimagining Growth Landscape Analysis and Ellen MacArthur’s The Fashion Remodel report both highlight the complex challenge of decoupling financial growth from virgin production.

In 2025, the industry will need to scale recycling infrastructure, with Syre’s new North Carolina plant set to open in mid-2025. The eagerly awaited roadmap for nature-related financial disclosures from the Taskforce on Nature-related Financial Disclosures will further standardise nature action and guide companies toward effective solutions.

Finally, in the wake of extreme weather events in 2024, 2025 could be the year the fashion industry begins to climate-proof itself. And the binding agreements signed by apparel brands and IndustriALL Global Union to support garment workers’ wages represent a critical step toward meeting social partners’ priorities. As brands including Patagonia work toward paying a living wage in partner factories by 2025, this could mark the beginning of a broader shift toward a just transition within the industry.

Looking ahead, 2025 is shaping up to be a pivotal year for the fashion and textiles sector. It’s an opportunity to build on the momentum of 2024, tackle lingering setbacks, and lay the groundwork for a more resilient, sustainable, and equitable future.