How ESG regulations are shaping the fashion industry

The fashion industry—a cornerstone of global consumption—is facing a seismic shift. Textile production has nearly doubled in the last two decades, rising from 58 million tonnes in 2000 to 109 million tonnes in 2020, with projections reaching 145 million tonnes by 2030. However, this growth has come at a steep environmental and social cost:

• The industry contributes 2-10% of global greenhouse gas emissions.
• Textile production accounts for 20% of global clean water pollution.
• Approximately 6.95 million tonnes of textile waste are generated annually in Europe alone, most ending up in landfills.

Regulatory pressure is mounting, and companies operating in the fashion sector face transformative sustainability obligations. Are you prepared to align with emerging ESG standards and mitigate risks across your value chain? Our comprehensive whitepaper offers insights into these sustainability regulations.

Inside the Whitepaper: All you need to know about ESG regulations in fashion

1. The ESG regulatory landscape for fashion:
   1. Overview of critical regulations, including the Corporate Sustainability Reporting Directive (CSRD), Corporate Sustainability Due Diligence Directive (CSDDD), and Ecodesign for Sustainable Products Regulation (ESPR).
   2. Insights into the impact of the Digital Product Passport (DPP) and its role in enabling traceable, sustainable textiles.
2. Challenges facing fashion companies:
   • Complex supply chains, evolving compliance standards, and the risks of greenwashing.
   • Key challenges related to data collection, labour practices, and environmental impact measurement.
3. Strategic solutions for compliance and leadership:
   • How to leverage technology for supply chain transparency.
   • Practical steps to meet regulatory requirements while positioning your business as a leader in a sustainable fashion.
4. Future outlook:
   • How ESG regulations will reshape business models and redefine industry standards over the next decade.

Why it matters: The growing role of ESG regulations in fashion

The regulatory environment is shifting rapidly. Key policies like the CSRD, CSDDD, and ESPR are not optional for businesses aiming to operate in the European Union and beyond. These regulations mandate increased transparency, traceability, and measurable action:

• CSRD: Companies must publicly disclose sustainability risks, impacts, and targets.
• CSDDD: Demands due diligence on environmental and human rights impacts throughout the supply chain.
• ESPR and DPP: Enforce product-level eco-design criteria and traceability, ensuring consumers and regulators access reliable sustainability information.

These ESG regulations signal the most significant reform in fashion's regulatory history—moving beyond voluntary compliance to mandatory action. Businesses that fail to adapt risk not only financial penalties but also reputational damage, stakeholder scrutiny, and operational disruptions.

However, for companies that embrace these regulations, the opportunities are significant. Sustainability is a strategic driver for innovation, efficiency, and consumer trust.

Plan A: Your trusted partner for sustainable transformation

Navigating ESG regulations is complex—but you don’t have to do it alone. At Plan A, we specialise in supporting leading fashion companies' sustainability journey.

As a leading carbon accounting and ESG reporting software provider, Plan A empowers businesses to transform regulatory challenges into measurable impact. From automated reporting solutions to actionable insights, we provide the tools you need to:

• Accelerate your compliance journey.
• Gain complete visibility across supply chains to tackle ESG risks.
• Future-proof your business in a changing industry landscape.

Ready to lead the future of sustainable fashion? Download the Whitepaper and take the first step toward ESG excellence.