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Circularity in Fashion

The Circular Economy Framework in Fashion

The circular economy model is based on three key principles:

  • Designing out waste and pollution
  • Keeping products and materials in use
  • Regenerating natural systems

In fashion, this means designing clothes that last longer, are made from renewable or recycled materials, and can be repaired, resold, or recycled.

Circular fashion demands a systemic shift in production and consumption habits. It prioritizes durability, repairability, recyclability, and responsible sourcing.

Design for Circularity

Circular fashion starts at the design stage. Designers are now tasked with not only creating stylish, functional garments but also ensuring those garments can live many lives. Strategies include:

  • Modular design – allowing parts of a garment to be replaced or upgraded
  • Mono-material use – simplifying recycling processes
  • Digital tools – for visualizing garments’ end-of-life and recyclability
  • Biodesign – using biodegradable or bio-fabricated materials

Key Case Study: Adidas x Allbirds used carbon footprint data to co-develop a low-emission running shoe, emphasizing collaboration and transparency in design.

Material Innovations

The report emphasizes that raw material selection significantly impacts the lifecycle footprint of fashion products.

Prominent Material Innovations:

  • Mycelium leather: Grown from fungi, biodegradable, and  animal-free
  • Recycled fibers: Such as Repreve (from plastic bottles) or Circulose (from recycled cotton)
  • Natural fibers revival: Hemp, flax, and nettle fibers  reintroduced as low-impact alternatives
  • Textile-to-textile recycling: Brands like Renewcell have pioneered closed-loop systems for cotton and viscose

The innovation is moving from niche to scalable, with startups and major brands collaborating to bring eco-materials to the mass market.

New Business Models

Shifting away from ownership-based fashion, the yearbook highlights the growth of circular business models such as:

  • Clothing rental platforms: E.g., HURR and Rent the Runway
  • Resale marketplaces: E.g., Vestiaire Collective, ThredUp, and even brands’ own resale services
  • Repair and remake services: Patagonia’s Worn Wear, Nudie Jeans’ repair shops
  • Subscription models: For children’s wear, maternity, or special occasions

These services extend product lifespans, reduce waste, and offer a new value proposition centered around access, not ownership.

Policy and Regulation

Public policy is increasingly playing a role in catalyzing circularity. Europe is at the forefront, with initiatives like:

  • The EU Strategy for Sustainable and  Circular Textiles
  • Extended Producer Responsibility (EPR)  schemes
  • Mandatory eco-design regulations
  • Green claims legislation to fight greenwashing

These policies are creating a regulatory push for companies to rethink their supply chains, report environmental impact, and take responsibility for products post-sale.

Transparency and Traceability

Trust is essential in circular fashion. Brands must substantiate sustainability claims with data. Tools and technologies being used include:

  • Blockchain and digital passports for tracing garment origins and materials
  • QR codes and NFC chips that link to product lifecycle information
  • Third-party certifications like Cradle-to-Cradle, GOTS, Fair Trade,   and OEKO-TEX

Fashion Revolution’s Transparency Indexcontinues to evaluate major brands on public disclosures about policies, practices, and impacts.

Consumer Behavior and Engagement

Consumer demand is a powerful force for transformation. The report explores how circular fashion requires:

  • Consumer education on garment care, repair, and recycling
  • Value shift from fast fashion to long-term wardrobe building
  • Engagement tools like repair tutorials, style longevity challenges, and carbon calculators

Gen Z is cited as particularly aligned with sustainability values, driving change through social media, activism, and conscious consumption.

Circular Fashion in Practice: Global Spotlights

The Nordics

Scandinavian countries lead with advanced recycling systems, circular startups, and government support. Brands like Filippa K and Asket emphasize minimalism and traceability.

Asia

China’s recycling infrastructure is massive but under transition. Japan focuses on craftsmanship and longevity, while India is innovating with textile upcycling.

Africa

Circularity often happens informally—through reuse, repair, and resale markets. Kenya and Ghana are spotlighted for dealing with the fallout from global textile waste.

North America

The U.S. resale market is booming, with digital platforms creating new resale ecosystems. Brands are launching take-back programs and entering partnerships with recyclers.

Europe

The EU leads policy development, and countries like France have enacted anti-waste laws that ban the destruction of unsold goods.

Circular Fashion Icons & Changemakers

The report includes profiles of individuals and organizations shaping the future of fashion:

  • Stella McCartney – Pioneer of cruelty-free and circular luxury
  • Fashion for Good – Amsterdam-based innovation platform accelerating circular startups
  • Ellen MacArthur Foundation – Thought leader in circular economy frameworks
  • The Renewal Workshop – Helps brands create repair, resale, and remanufacturing channels

These leaders are not just changing practices—they're redefining the goals and ethics of fashion.

Imagery and Storytelling

As a visual yearbook, the report uses photography, fashion editorials, and data visualization to tell compelling stories about circular fashion. Highlights include:

  • Circular design collections presented in editorial formats
  • Infographics showing material flows and emissions  impact
  • Behind-the-scenes visuals from recycling facilities and repair shops
  • Portraits of artisans, designers, and workers in circular fashion ecosystems

The aesthetic reframes circular fashion as modern, stylish, and aspirational—not just functional or “eco.”

Conclusion: Closing the Loop

  Circular fashion is no longer just a fringe concept—it’s emerging as the new normal. The yearbook concludes that while the shift to circularity is complex, it is necessary and inevitable. It requires:

  • Innovation across the value chain
  • Strong policy frameworks
  • Consumer participation
  • Collaboration across sectors

The circular economy presents a unique opportunity to create a fashion system that is not only sustainable but also just, inclusive, and regenerative. The work is ongoing, but the direction is clear: fashion must—and can—close the loop.

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