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On December 18, 2025, the European nonwovens industry shifted from a defensive to a proactive stance following the conclusion of the EDANA Sustainability & Policy Forum in Brussels. The two-day summit at the Residence Palace served as a strategic war room for business leaders to navigate a shifting landscape of chemicals, waste, and climate due diligence.
The forum underscored a growing tension between the EU’s ambitious Green Deal objectives and the economic reality of European manufacturing. Leaders from Essity and EDANA emphasized, while the industry is committed to net-zero goals, legislation must remain proportionate.
A pivotal development from the forum was the consensus that circularity cannot be achieved by companies acting in ‘silos.’ Leaders from Lenzing, Indorama Ventures, and Freudenberg Performance Materials advocated for shared infrastructure and aligned policy frameworks across the textile and nonwovens value chains. Key technical discussions focused on the legal recognition of mass balance methodologies - a critical step for unlocking circularity in specialized sectors like medical packaging and healthcare textiles. By presenting credible, science-based data to the European Commission, the industry aims to ensure that ‘Technical Product Passports’ and recycled-content mandates are both achievable and beneficial for the European market.
The final day marked a rare direct engagement between the industry and the drafters of the Green Deal at the Conference Centre Albert Borschette. Through interactive workshops on the Waste Framework Directive and Single-Use Plastics Directive, participants gained first-hand insights into the ‘EU Toolbox’ of product policy. This ‘united front’ strategy is designed to demystify the legislative process, allowing manufacturers to contribute to the drafting stage of policies that will define the industry for the next decade. As the sector faces the rollout of the Ecodesign for Sustainable Products Regulation (ESPR), EDANA remains the central hub for aligning over 260 global members on a science-led path to circularity.
An international association representing the nonwovens and related industries, EDANA serves as the primary voice for over 260 member companies across the entire value chain, from raw material suppliers to finished product manufacturers in the hygiene, medical, automotive, and construction sectors.
The UK high street faces a significant recalibration as River Island prepares to shutter 33 underperforming locations by January 31, 2026. This aggressive contraction is a result of a court-sanctioned restructuring designed to prevent the fashion stalwart from entering administration. By focusing on a ‘fewer, better’ store model, the brand is attempting to insulate itself against the relentless rise of pure-play digital competitors and high domestic inflation. While the immediate impact is a loss of town center anchors, the brand is prioritizing a digital-first integration, following a 12 per cent surge in mobile app transactions reported in the final quarter of 2025.
Validated by the High Court, the restructuring plan introduces a radical shift in the brand’s relationship with its real estate partners. Beyond the closures, River Island has secured reduced rental terms on 71 additional sites, with some landlords facing three-year rent cuts or temporary payment pauses. This move mirrors a broader UK retail trend where ‘turnover-based rents’ are becoming the new standard. Industry analysts suggest, this fiscal breathing room is essential for Ben Lewis, CEO’s transformation strategy, who aims to reinvest saved overheads into premiumizing the product range and enhancing ‘experiential’ flagship stores in major metropolitan hubs like London and Manchester.
Navigating the mid-market fashion crisis
River Island’s struggle highlights the ‘squeezed middle’ of British fashion retail, where brands must compete with the price points of Primark and the agility of Shein. To counter this, River Island is doubling down on design-led collections, moving away from high-volume basics toward higher-margin, trend-focused apparel. While clearance sales are expected to draw bargain hunters to closing branches this month, the long-term success of the brand depends on its ability to convert physical footfall into a loyal omnichannel community. FY26 will be the ultimate litmus test for whether a leaner, more agile River Island can regain its status as a trendsetter in a crowded global market.
A prominent British high-street fashion brand, River Island specializes in stylish, affordable apparel, footwear, and accessories. The brand is known for its in-house design team that creates unique, trend-driven pieces for men, women, and children.While primarily a UK and Ireland powerhouse, the brand has a significant international presence through franchise partnerships and a robust global e-commerce platform serving over 100 countries.
UK’s apparel sector is witnessing a cautious but definitive structural recovery, with the latest Office for National Statistics (ONS) data revealing a month-on-month rise in clothing imports for October 2025. While year-on-year figures showed a marginal dip of 3.1 per cent, the monthly rebound suggests that the aggressive inventory ‘de-stocking’ of 2023–24 has finally concluded. Brands are once again placing orders to meet a stabilizing consumer demand, as total apparel imports for the quarter ending October reached £5.4 billion - an 11.2 per cent increase over the previous year.
After nearly two years of lean inventory strategies triggered by the cost-of-living crisis, British retailers are recalibrating for a hybrid shopping era. Data from Mintel suggests, the UK clothing market will reach £67.8 billion by the end of 2025, supported by a "just-in-time" sourcing model that has seen lead times drop by 31 per cent. Retailers like Next and M&S have reportedly benefited from better-than-expected ‘sell-through’ rates during the summer and back-to-school periods, prompting a wave of re-ordering that boosted October's import volumes.
Structural shifts in the sourcing landscape
The recovery remains ‘uneven,’ however, as upstream segments like raw fibers and fabrics continue to fluctuate. While finished garment imports rose, fabric imports remained 4.2 per cent lower than 2024 levels, reflecting a shift toward importing completed goods rather than domestic manufacturing. Furthermore, the industry faces a ‘K-shaped’ labor challenge; while sales are recovering, retail employment has hit a record low of 2.76 million jobs. Analysts warn that while the ‘worst is over’ for trade volumes, the sector must now navigate a high-cost environment where operational efficiency is the only remaining lever for margin protection.
The ONS serves as the UK’s executive office and largest independent producer of official statistics, providing the critical data infrastructure that informs British retail strategy. It is responsible for collecting and publishing statistics related to the economy, population, and society at national, regional, and local levels.
The US apparel sector has entered 2025 on a surprisingly high note as despite a persistent 3.1 per cent annual inflation rate and significant tariff-driven price hikes—including an 8 per cent increase in women’s apparel—shoppers are refusing to pull back. Data from the US Department of Commerce reveals, apparel sales rose nearly every month through late 2024, with Q3 results from giants like Gap Inc and Abercrombie & Fitch shattering analyst expectations.
The secret weapon for thriving brands appears to be high-impact celebrity partnerships that convert ‘digital noise; into store traffic. American Eagle Outfitters reported a record-setting Thanksgiving weekend following denim campaigns featuring Sydney Sweeney and Travis Kelce, which generated over 44 billion impressions. Meanwhile, Gap Inc saw its net sales rise 3 per cent to $3.9 billion in Q3, buoyed by its ‘Better in Denim’ campaign.
The industry faces a stark divide between ‘winners’ and ‘laggards.; While Old Navy and Alo Yoga saw double-digit growth in brand mentions, legacy players like The North Face and Vans saw declines of 20 per cent or more. Retailers are now ‘holding the line’ on prices, with fewer holiday promotions than in previous years to protect margins. As Maurizio Catellani, CEO, Competitoor noted, businesses are prioritizing financial health over volume, navigating a landscape where handbags and denim are fetching significantly higher price points than a year ago.
As one of the world's largest specialty apparel retailers, Gap Inc. is currently executing a high-stakes ‘reinvigorated playbook ‘under Richard Dickson, CEO. The company operates a diverse brand portfolio including Old Navy, Gap, Banana Republic, and Athleta, spanning casual wear to luxury-adjacent apparel.
In a move that could disrupt the $100 billion global swimwear and intimate apparel market, a trilateral partnership between RadiciGroup, The Lycra Company, and Triumph has successfully demonstrated the first closed-loop recycling of mixed-fiber garments. While the textile industry currently recycles less than 1 per cent of its waste into new apparel - primarily due to the complexity of separating blended fibers like nylon and elastane - this new ‘selective dissolution’ technology effectively recovers both materials without compromising quality.
Historically, garments containing elastane (Lycra) were a ‘dead end" for recyclers, often destined for landfills where synthetic fibers can take up to 200 years to decompose. Developed by Radici InNova, the new process utilizes non-toxic, eco-compatible solvents to separate PA6 or PA66 nylon from elastane. In a recent validation trial, Triumph provided 16 per cent Lycra blend production surplus, which was processed into recycled nylon and re-spun Lycra fiber. This material was then woven into a 60-meter prototype fabric, proving that circularity is technically and economically viable for high-performance stretch textiles.
Scaling circularity for the 2030 horizon
The success of this pilot comes at a critical time as the industry faces tightening regulations like the EU’s Corporate Sustainability Reporting Directive (CSRD). This innovation opens up revolutionary development opportunities, notes Stefano Alini, CEO, Radici InNova. Triumph has already signaled its intent to launch a dedicated capsule collection using this technology. As the sector targets a CAGR of 8.4 per cent in ethnic and performance wear, the ability to recover high-value spandex alongside nylon offers a significant competitive edge in resource efficiency.
The collaboration represents a vertical integration of the textile value chain, combining chemical engineering, fiber science, and consumer retail. This project is the culmination of a four-year R&D effort to solve the ‘blended fiber’ hurdle that has historically rendered swimwear and leggings unrecyclable.
The Confederation of Indian Textile Industry (CITI) has issued a high-stakes call to the government, asserting that the permanent removal of the 11% import duty on cotton is no longer a policy preference but a strategic necessity to bridge a widening pricing gap. As Indian exporters face a devastating 50% tariff in the United States, the industry argues that eliminating raw material taxes is the only immediate way to survive an increasingly protectionist global trade environment.
The Pricing Gap Crisis: Navigating the 50% US tariff wall
The most critical challenge facing the Indian textile and apparel (T&A) sector is the sudden loss of price competitiveness in its largest market. Effective August 27, 2025, the US implemented a 50% tariff on a broad range of Indian textile imports, combining a 25% reciprocal duty with an additional 25% penalty. This has created a massive pricing disparity between Indian goods and those from nations like Vietnam and Bangladesh, who benefit from lower or zero duties.
Export Market Reality
|
Category |
Impact Value / Percentage |
|
US Tariff on Indian Apparel |
50% (Standard duty + Surcharge) |
|
Pricing Gap vs. Competitors |
30% to 35% Higher Cost |
|
Oct 2025 Apparel Export Growth |
-12.88% (Y-o-Y) |
|
Oct 2025 Cotton Textile Growth |
-12.92% (Y-o-Y) |
Source: DGCIS / CITI Industry Intelligence
This pricing gap is leading to a rapid diversion of orders as US buyers, sensitive to the 30% cost difference, shift procurement to Southeast Asian hubs. CITI emphasizes that while the 50% tariff is an external factor, the 11% import duty on cotton remains a domestic handicap that the government can control to narrow this gap. The impact is already stark, with one-third of textile exporters reporting that their turnover has halved following the imposition of these tariffs.
Analyzing the Merit: Duty removal as a competitive buffer
CITI’s case for scrapping the duty rests on the premise that Indian mills must have access to cotton at international parity prices. Currently, the 11% duty keeps domestic cotton prices artificially high, often trading at a premium to the global Cotlook 'A' Index. By removing the duty, the industry could reduce its yarn and fabric production costs by roughly 6% to 8%, providing a vital cushion that allows exporters to lower their quotes.
Cost Comparison: Why Duty-Free cotton matters
|
Cost Component |
With 11% Import Duty |
With Duty Scrapped (Proposed) |
|
Raw Material Cost |
~₹62,000 per candy |
~₹56,000 per candy |
|
Yarn Production Cost |
High (Uncompetitive for exports) |
Reduced by 6–8% |
|
Export Pricing Margin |
Squeezed (Loss-making at 50% tariff) |
Improved (Helps absorb tariff shock) |
|
Ability to fulfill ELS Orders |
Restricted / Expensive |
Seamless for high-value apparel |
This reduction helps exporters stay in the "consideration set" for global retailers who are currently exiting the Indian market due to price. While the government extended the duty exemption until December 31, 2025, the industry is pleading for a permanent waiver to stabilize the long-term fiber and yarn supply chain.
Redesigning Fiber Dynamics: Balancing supply and farmer interests
The primary challenge to this plan is the perception of its impact on domestic cotton farmers, yet the context of the 2025-26 season suggests the duty is not the farmer's primary shield. Initial estimates for the season suggest a 2.4% dip in production to approximately 305 lakh bales due to unseasonal rains, a shortfall that naturally pushes domestic prices up and widens the gap with global rates.
Furthermore, the government has already protected farmer interests by hiking the Minimum Support Price (MSP) for long-staple cotton to ₹8,110 per quintal, an increase of nearly 8%. Industry leaders argue that the MSP, managed by the Cotton Corporation of India (CCI), is the appropriate tool for farmer protection rather than an import tax that cripples the downstream value chain. Additionally, the quality gap remains a factor since India produces limited quantities of Extra-Long Staple (ELS) and contamination-free cotton, making duty-free imports essential for manufacturers sourcing specific fibers for premium global brands.
The growth plan under pressure
The Indian textile industry is a cornerstone of the national economy, contributing 2% to total GDP and 11% to total manufacturing output. Under the "5F" Vision, the government aims to scale textile exports to $100 billion by 2030. However, large Indian retail houses and exporters are finding these investments at risk if core manufacturing units become unviable due to raw material costs.
The next step
As the December 31 deadline for the current duty waiver approaches, the industry remains on edge. CITI maintains that a permanent removal is the only way to signal stability to global buyers and prevent an irreversible loss of market share to regional competitors.
A coalition of 65 influential European and French organisations has formally urged the European Commission to endorse France's landmark ‘anti-fast fashion’ bill, signaling a unified front against disposable apparel models. Spearheaded by the European Environmental Bureau (EEB), the Open Letter arrives as textile waste in the EU hits a staggering 5.2 million tons annually. The bill targets high-volume, low-cost giants like Shein and Temu, which currently flood the EU market with approximately 4.5 billion parcels per year, a figure representing nearly 20% of all online clothing sales.
Strengthening EPR to curb overproduction
The draft law seeks to fundamentally rewrite Extended Producer Responsibility (EPR) rules, proposing an environmental surcharge of €5 per item starting in 2026, rising to €10 by 2030. Unlike standard eco-taxes, this surcharge is modulated based on ‘eco-scores,’ penalising retailers that release thousands of new styles daily while rewarding those using recycled fibers. This shift is critical as the EU transitions toward mandatory Digital Product Passports (DPPs) by 2027, aiming to bridge the transparency gap where currently less than 1 per cent of global textiles are recycled back into new garments.
A cornerstone of the legislation is a total ban on advertising for ultra-fast fashion, including influencer-led "haul" content, effective January 1, 2026. By targeting the digital marketing engines that drive compulsive consumption, France aims to protect its domestic retail sector, which has seen heritage brands like Naf Naf struggle against ultra-low-priced imports. This move aligns with a broader EU-wide push—supported by eight member states including Spain and Italy—to remove customs duty exemptions on small imported parcels, a loophole currently costing the EU billions in lost VAT and duties.
Formally known as the Proposition de loi visant à réduire l’impact environnemental de l’industrie textile, this bill is the world's first legislative attempt to specifically define and tax ‘ultra-fast’ fashion. It implements a bonus-malus (reward-penalty) system for textiles, bans
Despite the ‘Liberation Day’ tariff shockwaves initiated in April 2025, US textile and apparel imports have demonstrated remarkable resilience, stabilizing at $80.5 billion through the first three quarters. While the Trump administration’s aggressive reciprocal duties successfully slashed Chinese shipments by 27 per cent, the strategy failed to curb overall foreign production influx. Instead, the market witnessed a massive regional realignment, as US buyers bypassed 30-40 per cent tariff brackets by rerouting orders to lower-cost Asian corridors.
The vacuum left by China’s $11.7 billion contraction was rapidly filled by a 15.9 per cent surge in South-East Asian imports, which reached $24.3 billion. Vietnam and Bangladesh emerged as the primary beneficiaries of this tectonic shift in sourcing. Vietnam, now the US’s second-largest supplier, posted a 14.6 per cent increase, while Bangladesh saw an even sharper 18.2 per cent jump. Industry analysts at OTEXA suggest this ‘cluster sourcing’ model is a direct reaction to the universal 10 per cent baseline tariff, as retailers prioritize high-volume nations that offer the narrowest margin erosion.
The cost of resilience: Margin headwinds in 2026
While supply chains remained intact, the financial toll is mounting. High-profile retailers like Victoria’s Secret and Tapestry have reported projected tariff-related headwinds exceeding $260 million for the fiscal year. To avoid across-the-board price hikes, brands are accelerating ‘Endless Aisle’ and omnichannel technologies to optimize inventory and offset a 16.8 per cent average effective tariff rate - the highest since 1935. As the industry moves into 2026, the challenge shifts from finding new suppliers to absorbing a permanent 4 per cent to 7 per cent increase in landed garment costs.
The Office of Textiles and Apparel (OTEXA) is the primary federal body monitoring the health of the US fiber and garment industry.It is involved in tracking and publishing comprehensive data on US imports and exports of textiles, apparel, and footwear, while implementing trade preference programs. The organization monitors major global hubs including China, Vietnam, India, and the USMCA region (Mexico/Canada).
As the global textile recycling market hurtles toward a projected $11.88 billion valuation by 2030, Source Fashion is redefining the trade show experience. Launching at Olympia London from January 13-15, 2026, the new 'Fashion Deconstructed' zone marks a significant shift from passive sourcing to active, ‘material intelligence’ education. This immersive hub arrives as 72 per cent of mid-tier brands face mounting pressure to redesign collection strategies to meet strict new circularity metrics.
Scaling circularity through live tech demonstrations
The program's centerpiece-a live circular denim demonstration by LaundRE - highlights the industry's move toward waterless ozone and laser reprocessing. In an era where traditional denim finishing can consume up to 3,781 liters of water per pair, LaundRE’s tech-driven approach offers an 80 per cent reduction in water usage. These sessions allow designers to witness firsthand how post-consumer textiles are reconditioned, addressing the critical "transparency gap" where 59 per cent of publicly-listed brands still fail to provide basic supply chain traceability.
By integrating workshops from luxury salvage pioneers Elvis & Kresse and traditional handloom weavers, Source Fashion is capitalizing on the ‘Quiet Luxury’ trend, where craftsmanship is the ultimate differentiator. As Gen Z and millennial buyers increasingly prioritize durability, these workshops serve as a blueprint for the Rs 44.8 billion (approx. $5.3 billion) textile-to-textile recycling market expected by 2034. The initiative empowers retailers to move beyond greenwashing by understanding the ‘maker’ side of fashion, turning mending and upcycling from niche crafts into scalable, profit-driving ESG pillars.
Source Fashion is Europe’s premier destination for responsible sourcing, acting as a gateway between global audited manufacturers and high-profile retailers. The trade show connects designers and buyers with ethical manufacturers, raw material suppliers, and sustainable service providers across 25+ countries.
Valued at approximately $24.85 billion in 2024, the global swimwear market is projected to reach $39.28 billion by 2032 with a 5.2 per cent CAGR. The market is witnessing a critical shift where high-performance apparel is converging with fashion-led sustainability. This transformation, previously dominated by elite racing wear, is now extending into the broader recreational segment, blurring the lines between athletic function and lifestyle aesthetics. Brands are aggressively moving toward Direct-to-Consumer (D2C) models, driven by the online segment’s projected status as the fastest-growing distribution channel over the forecast period.
The material science of modern retail
Leading the charge are material innovations that address both athletic demands and environmental accountability. While Polyester remains the dominant material, holding a 34.8 per cent revenue share in 2023 due to its chlorine and saltwater resistance, the growth story is in recycled fabrics. Pentland Brands-owned Speedo, for example, is actively leveraging this trend, having increased the use of recycled materials in their main products to 61 per cent in 2022. This commitment is a direct response to a 30 per cent increase in consumer preference for sustainable products, according to industry surveys. This shift is not merely about ethics; it's about competitive edge, driving brands to launch eco-friendly lines, such as Speedo’s new Ocean Flex fabric made from GRS and RCS-certified recycled textiles.
The fashion-forward approach is also fueling regional growth, with Asia-Pacific holding the largest market share in 2024 at over 38.1 per cent and expected to remain the fastest-growing region. This surge is propelled by rising disposable incomes and rapid digital adoption. E-commerce platforms are enabling personalized shopping experiences, which is particularly beneficial for competitive gear where fit is paramount. Speedo’s largest online store, speedo.com, generated an estimated $43 million in revenue in 2024, showcasing a strategic focus on their D2C channel, which saw an estimated annual growth of 30-35% from the previous year. This investment in digital is essential for manufacturers seeking to control brand narrative and capture higher margins, especially as global trade dynamics necessitate more agile supply chains.
A globally recognized swimwear brand specializing in performance and competitive swimming apparel, including high-tech racing suits like the Fastskin line, Speedo International was. founded in Sydney, Australia in 1914. The brand has a rich history of Olympic success and technological firsts in swimwear. Its key markets span the globe, including North America, EMEA, and Asia-Pacific.
