LONDON – A new study found that fewer than half of the top 250 global fashion brands have set emissions reduction targets verified by the Science Based Targets Initiative (SBTi). Additionally, one-third of these brands are still experiencing rising Scope 3 emissions.
Fashion Revolution’s ‘What Fuels Fashion?’ report evaluates and ranks 250 major fashion brands and retailers with annual revenues of US$400m or more. These brands represent markets across Europe, North America, South America, Asia, and Africa and the NGO assessed their public disclosure of climate and energy-related initiatives.
According to the report, around 47 per cent of the brands have established SBTi-validated targets, marking a 13 per cent increase from the previous year’s 34 per cent. Out of these 117 brands, 105 have disclosed their progress, with 56 reporting reductions in emissions. However, seven brands report increased emissions in Scopes 1 and 2, while 42 brands report increased Scope 3 emissions.
The report estimates that material production and raw material processing contribute approximately 68 per cent of the fashion sector’s Scope 3 emissions.
Furthermore, 59 out of 250 brands received a score of zero in the ‘decarbonisation’ category, indicating a lack of disclosure of SBTi-verified targets, progress, or goals for renewable energy and coal phase-out. These brands also fail to report on their energy consumption or fuel sources.
Only four major brands—ASICS, H&M, Marks & Spencer, and Patagonia—have set emissions reduction targets aligning with the UN’s objective of achieving a 55 per cetnt absolute emissions reduction by 2030 from 2018 levels.
The fashion industry, valued at about US$1.9 trillion in 2023, is among the world’s most polluting sectors, contributing 2-8 per cent of global greenhouse gas (GHG) emissions.
Ruth MacGilp, fashion campaign manager for Action Speaks Louder, stated: “We really don’t know the true scale of our global carbon footprint due to a system of mostly voluntary, unregulated emissions accounting. The core issue lies in the non-binding nature of emissions disclosure and decarbonisation plans. Brands must address the profit-driven fast fashion business model that drives overproduction and waste. Where should companies start? By publicly disclosing each of these steps.”
The report highlights that fashion production is at unprecedented levels, with global consumption projected to increase by 63 per cent by 2030 and clothing sales potentially reaching 160 million tonnes by 2050—more than three times the current level.
Recent studies show that waste from ‘fast fashion’ often ends up in landfills or is incinerated, disproportionately affecting countries in the Global South, such as Chile and Ghana, which lack the necessary resources and infrastructure to manage this waste.
The OR Foundation estimates that about 15 million used garments flood the Kantamanto Market in Ghana every week.
Despite the pressing need to reduce global textile waste, most brands (89 per cent) do not disclose their annual production figures. Moreover, nearly half (45 per cent) of the reviewed brands do not reveal either their production volumes or the carbon footprint associated with their raw materials.
The report emphasises the fashion industry’s reliance on fossil fuels, with synthetic fibres in clothing accounting for 1.3 per cent of global oil consumption—more than Spain’s annual oil usage.
If this trend continues, by 2030, nearly 73 per cent of textiles will be derived from fossil fuels, with polyester comprising 85 per cent of this total.
Despite this reliance, only 33 per cent of brands disclose their annual fibre mix, hiding the industry’s material usage and environmental impact.
Additionally, only 11 per cent of brands reveal the energy sources for their supply chains, meaning that even ‘sustainable’ clothes may still be produced using fossil fuels.