Lower
Impact
Production
The fashion industry is one of the largest contributors to global carbon emissions, with its upstream energy-intensive textile production, currently heavily reliant on fossil fuels.
Understanding the landscape and identifying the main drivers of impact are critical to mitigating the industry’s environmental footprint.
Collective Ambition
Increase efficient and fossil-free direct energy use, and reduce freshwater consumption, improve water quality and secure zero discharge of hazardous chemicals in tiers 1-3 to reduce absolute GHG emissions.
Key Levers
Where coordinated industry effort can drive real progress
Our Role in Enabling Progress
Achieving our Collective Ambitions depends on collaboration across the value chain. Our Joint Actions are targeted efforts that complement other industry initiatives and accelerate progress where fashion faces persistent barriers or has yet to act, and where we can deliver the greatest impact.
The Future Supplier Initiative
The Future Supplier Initiative (FSI) is a mechanism for collective financing, enabling both brands and suppliers to achieve Science Based Targets, with a focus on using less energy and cleaner energy.
The Initiative is composed of three main pillars to deliver deep decarbonisation in the supply chain:
- Technology & Support: Support suppliers to identify and implement low carbon technologies and solutions.
- Financial Solutions: Finance energy efficiency and renewable energy measures at factory level to reduce emissions at a low capital cost.
- Carbon Accounting: Secure methodology for measuring and assigning carbon benefits of investing brands
Through a collective approach, FSI eases the financial pressures of decarbonisation from suppliers, with participating brands de-risking loans to enable the transition. FSI is designed to be a brand agnostic, multi-stakeholder mechanism where joint effort across brands, suppliers, partner organisations and financial institutions decarbonise the industry at the pace needed.
Learn more: Future Supplier Initiative – Collective financing for climate
We are actively recruiting more apparel brands interested in financing decarbonisation in Bangladesh, India, Vietnam, China, Turkey or Indonesia. For more information on how to join, please contact us.
Partners
Guidehouse, Apparel Impact Institute (Aii)
Region: Asia-Pacific
Key Data
7
participating brands
2
active geographies: Bangladesh & India.
>50
suppliers engaged
Press
- Press Release – Major brands commit to innovative collective financing model to decarbonise the fashion sector
- Sourcing Journal – Fashion Pact: Decarbonizing the Industry May Seem ‘Impossible Until It’s Done’
- Sourcing Journal – Who Should Fund Fashion’s Climate Transition?
- Vogue – What you missed at New York Climate Week
The European Accelerator
Decarbonising the fashion and luxury supply chain is a shared challenge that requires collective actions. In Europe—and particularly in Italy, where many luxury brands concentrate their production—the supply chain is built on a vast network of small and medium-sized enterprises. These suppliers often lack the resources, technical support, and access to financing needed to make the transition to low-carbon operations. At the same time, many work with multiple brands, leading to duplication, inefficiencies, and a growing reporting burden.
To help address this, The Fashion Pact’s European Accelerator has brought together leading fashion groups and houses drawing on perspectives from Confindustria Moda and The National Chamber for Italian Fashion (Camera Nazionale della Moda Italiana) to drive collective action, starting in Italy.
Together, the Accelerator has developed a supplier questionnaire focused on energy, water, and waste data — tested with 74 suppliers across Italy. The aim is to promote clarity, strengthen data consistency, and reduce administrative burden, helping suppliers save time, avoid duplication, allowing for more meaningful environmental progress across fashion supply chains. This optional and non-exhaustive questionnaire is now available for any brand to adopt.
Interested in learning more about the questionnaire, click here.
The Accelerator will then aim to increase capacity-building efforts among suppliers, and to identify opportunities for efficiency improvements and renewable energy uptake.
Recognising that finance remains one of the most significant hurdles to progress, the Accelerator will also work to open pathways for suppliers to access the investment needed to adopt cleaner technologies and drive long-term transformation.
Region: Europe
Key Data
7
participating brands
Europe
geographic scope with an initial focus on Italy
Up to 45,000
Italian suppliers potentially reached, progressively included as the program scales successfully.
Press
- Press Release – Leading luxury fashion houses unite around collective action to decarbonise fashion supply chains
- Ecotextile – Fashion Pact launches bid to slash supply chain emissions
- Sourcing Journal – Leading Luxury Labels Unite to Decarbonize Supply Chains
- Sustainability Magazine – Why 55 Fashion CEOs Have Signed a Sustainability Pact
- Fashion Network Italy – The Fashion Pact: Luxury Houses Join Forces to Decarbonize the Fashion Supply Chain
Apparel and Textile Transformation Initiative
The fashion and textile sector is undergoing a major transformation as it moves toward lower-impact, more resilient supply chains. This shift is complex and cannot be achieved by any single actor; it requires coordinated action across brands, manufacturers, and technical partners.
To help strengthen this collective effort, The Fashion Pact is collaborating with the International Apparel Federation to support the Apparel and Textile Transformation Initiative (ATTI).
ATTI is a manufacturer-led initiative to promote an innovative, nationally oriented and globally coordinated approach to industry transformation, focusing on key sustainability issues across the supply chain, including energy efficiency, water use, emissions, and other environmental impacts.
Through this partnership, The Fashion Pact contributes industry insights, supports brand engagement in country-level mapping, and helps connect companies with on-the-ground activities driven by ATTI.
Our collaboration reflects a shared commitment to ensuring supplier perspectives are front and center – because meaningful, lasting change is only possible when manufacturers and their associations have a strong voice in shaping the path forward.
Learn more: Apparel and Textile Transformation Initiative
Partners
TOOLS & RESOURCES
Suppliers Tier 1 Support Package
Suppliers Tier 2 Support Package
