European Apparel and Textile Confederation (EURATEX), and its Danish member, Dansk Mode & Textil (DM&T), are jointly urging the Danish Presidency of the EU to prioritize stability and transparency in the textile and clothing industry, Both these organizations are emphasizing on the urgent need to restore confidence for European industries and consumers alike.

Thomas Klausen, CEO, DM&T, states, the Danish Presidency needs to ensure, the EU creates a level playing field and the predictability needed by the industry to make necessary investments.

Euratex and DM&T are urging the Presidency to advance several critical dossiers such as ensure the Circular Economy Act boosts demand for sustainable textile products and establishes a single market for textile waste through clear end-of-waste criteria; reform the Union Customs Code Reform to adopt bolder measures, such as addressing the de minimis threshold and going beyond the €2 handling fee for online parcels; expedite implementation to allow for harmonized EPR schemes across the EU; clarify the future of the Green Claims initiative to combat greenwashing in the fashion industry; ratify the Mercosur FTA to ensure significant gains for European textile companies; monitor ongoing negotiations with India to secure a comprehensive and balanced agreement; rapidly advance the Energy Union to achieve much-needed lower energy prices for European manufacturers and ensure a more efficient and coherent regulatory chemicals framework through a REACH revision that increases transparency, predictability, and prevents companies from relocating outside the EU.

The Danish textile and clothing industry significantly contributes to Denmark's economy, generating 87 billion Danish kroner annually and supporting 96,000 jobs. Similarly, the broader European textile and clothing industry comprises around 200,000 companies, employing 1.3 million workers and boasting a €170 billion turnover, making it a vital economic pillar across many EU regions.

The latest International Production Cost Comparison (IPCC) report by The International Textile Manufacturers Federation (ITMF) offers a comprehensive benchmark of manufacturing costs across the primary textile value chain. This edition provides detailed cost data for the year 2023, with an expanded scope that now includes Uzbekistan and, for the first time, a thorough calculation of the carbon footprint associated with each textile product across its full value chain.

The IPCC publication reveals significant global variations in manufacturing costs. For instance, producing one meter of woven fabric from cotton 1-1/8" in a continuous open-width process (excluding raw material costs) averaged $0.94/meter in 2023. This cost ranged from $0.70/meter in Bangladesh to $1.54/meter in Italy, highlighting a substantial difference in efficiency and cost structures across countries. Breaking this down further, spinning the yarn for this meter of fabric cost an average of $0.31/meter, weaving added $0.25/meter, and finishing contributed $0.38/meter to the average production cost.

The report also details the cost of spinning 1 kg of ring yarn NE/30, averaging $1.63/kg in 2023. This cost varied widely, from a low of $1.19/kg in Vietnam to a high of $2.85/kg in Italy. Labor costs showed stark contrasts, with Italy ($0.97/kg), the US ($0.69/kg), and Korea ($0.54/kg) having the highest, while Indonesia ($0.07/kg), Egypt ($0.03/kg), and Bangladesh ($0.02/kg) reported the lowest. Power costs were highest in Central America ($0.58/kg), Italy ($0.48/kg), and Mexico ($0.42/kg), and lowest in Pakistan ($0.13/kg) and Egypt ($0.12/kg).

The new carbon footprint analysis for woven fabrics processed using continuous open-width methods reveals significant environmental variations. India registered the highest total carbon footprint, exceeding 12.5 kg CO₂e per kg of textile, largely due to high emissions in spinning (4.4 kg) and weaving (4.3 kg). China also showed high emissions, particularly in the finishing stage (3.9 kg).

In contrast, Brazil demonstrated the lowest total carbon footprint, just under 4 kg CO₂e per kg, benefiting from its renewable energy mix and efficient early-stage processes. The United States and Italy also showed relatively low emissions in initial production stages. The newly included Uzbekistan reported moderate emissions across all segments.

The global fashion industry is undergoing an extraordinary technological transformation as leading luxury brands are heavily investing in Artificial Intelligence (AI).

Luxury brands like Gucci and Balenciaga are spearheading early experiments with AI-assisted concept generation tools to accelerate design cycles without compromising creativity. This strategic shift aims to dramatically reduce design time, mitigate sustainability risks, and solidify brand preference in an increasingly competitive luxury market.

AI is enabling virtual prototyping to significantly minimize textile waste, offering custom designs based on individual consumer preferences, and providing sophisticated trend predictions by analyzing machine learning data combined with vast amounts of social media commentary.

According to McKinsey's 2024 report on the State of Fashion, AI is becoming a crucial differentiator for luxury brands, essential for maintaining relevance with future Gen Z consumers. Beyond luxury, even mid-tier brands are evaluating AI to reduce the impact and associated costs of over-developing products that often lead to waste, especially as consumer demand shifts post-pandemic. Pilot projects by Burberry and Kering highlight AI's role in sustainability, expressing interest in virtual fit testing before physical prototyping to cut carbon emissions.

The adoption of AI isn't exclusive to the fashion elite. The accessibility of low-cost or free AI services means new, independent, and self-funded brands can now leverage these powerful tools. This enables them to create and sell designs globally, effectively "flattening the field," as one industry insider observed. A designer in Lagos or Bangkok now has the same "infinite access" to these tools as a Parisian atelier.

This democratization of design aligns with broader fashion retail trends, particularly the increasing importance of social media and e-commerce for small and medium-sized brands to connect with consumers beyond their local markets. As luxury brands grapple with eroding margins, evolving consumer tastes demanding speed and constant change, and expectations for personalization, analysts believe the AI boom will fundamentally transform the creative process in fashion, much like digital marketing revolutionized content creation and retail models.

Presented by the Global Fashion Agenda (GFA), The Global Fashion Summit: Copenhagen Edition 2025 convened over 1,000 participants to accelerate the fashion industry's journey towards a net positive future. Held at the Copenhagen Concert Hall, this year's Summit provided a crucial platform to address the sector's most pressing sustainability challenges amidst intersecting global crises and evolving policy landscapes.

The Summit's Innovation Forum facilitated over 400 connections between stakeholders and 30 solution providers, while the newly introduced Ignite Stage showcased dynamic, innovation-led content focused on scaling impact.

A highlight of the Summit was the announcement of Refiberd as the winner of the Trailblazer Program 2025. Selected from over 200 applications across 44 countries, Refiberd was recognized for its AI-powered hyperspectral imaging technology, which provides precise material identification for accurate sorting, authentication, and traceability – essential for achieving textile circularity.

Over 100 speakers from 26 countries shared their diverse experiences and expertise, emphasizing the global nature of industry transformation. Supported by the H&M Foundation, GFA enabled participation from key manufacturing regions like Bangladesh, Ghana, Nigeria, India, Brazil, and South Africa.

The Summit also explored the crucial role of nature in fashion. In the ‘How Can Fashion Value the Rights of Nature?’ session, Sanya Singh advocated for ‘letting nature shape fashion.’

Discussions on freshwater use highlighted its critical undervaluation and the alarming degradation of ecosystems. Payal Luthra, Global Apparel & Textiles Lead, WWF, cited a devastating 85 per cent loss of freshwater biodiversity since 1970. Kering's recently launched Water-Positive Strategy was presented as a significant initiative in this area. The importance of storytelling to bridge the gap between data and public understanding for inspiring action was also a key theme.

In her keynote address, Jessika Roswall, EU Commissioner for Environment, Water Resilience, and a Competitive Circular Economy, stated, ‘more than a barrier, sustainability is a bridge to competitiveness, innovation and inspiration.’ The Summit also strongly advocated for conducive regulation to support circularity and transparency and for the harmonization of EPR (Extended Producer Responsibility) schemes both within the EU and globally.

In her concluding remarks, Federica Marchionni, CEO, Global Fashion Agenda, urged industry leaders to embrace courage and action. Now is the time to assert your vision and courageously drive action on sustainability, she said.