June 22, 2024
Sustainable Fashion Market

Sustainable Fashion Market is Trending Towards Eco-Friendly Materials

The global sustainable fashion market is primarily driven by increasing consumer demand for eco-friendly apparel and textiles. Sustainable fashion refers to clothing produced using environmentally-friendly and socially responsible practices including organic, fair trade, and low-impact materials and production methods that conserve energy and limit pollution, greenhouse gases emissions and waste.

The sustainable fashion products entail the use of organic cotton, recycled synthetic fabrics, sustainably sourced materials like bamboo, seaweed, cork etc. instead of conventional fabrics that emit toxins into the environment. These eco-friendly fabrics provide properties like moisture-wicking, heat retaining, breathability and flexibility without compromising on comfort and style. The growing awareness about the environmental impact of conventional fabrics and consumer interest in ethical and organic clothing are fueling the adoption of sustainable materials.

The Global Sustainable Fashion Market is estimated to be valued at US$ 11.07 BN in 2024 and is expected to exhibit a CAGR of 23% over the forecast period from 2024 to 2031.

Key Takeaways
Key players operating in the Global Sustainable Fashion are Hexion Inc., Dow Chemical Company, Aditya Birla Chemicals Co. Ltd., Huntsman Corporation, BASF SE, Royal DSM N.V., Eastman Chemical Corporation, Conren Limited, Gellner Industrial LLC, and AllCoat Technology Inc.

The Sustainable Fashion Market Demand is witnessing high growth owing to rising awareness among millennial and Gen Z consumers regarding the impact of apparel production on the environment. The negative externalities of conventional fabrics such as water pollution, greenhouse gas emissions, and unethical labor practices are driving increased demand for eco-friendly clothing.

Major apparel brands and retailers are expanding their sustainable product portfolios and collaborating with sustainable materials producers to meet the global demand. Investments in R&D and adoption of latest technologies for large-scale production of bio-based and recycled fabrics will help scaled manufacturing of sustainable fashion worldwide.

Market Key Trends

One of the key trends gaining traction in the sustainable fashion market is the growing adoption of recycled fabrics. To reduce waste, apparel brands are investing in recycling old clothing fibers through mechanical and chemical processes to manufacture new fabrics. For example, recycled polyester is made from converted plastic bottles while recycled nylon is created from abandoned fishing nets. The use of recycled fabrics helps brands lower their environmental footprint and provides a compelling sustainable option to ethically-conscious shoppers.

Porter’s Analysis
Threat of new entrants: New fashion brands find it difficult to enter the sustainable fashion market due to the high costs of setting up eco-friendly production facilities and certifications.
Bargaining power of buyers: Buyers have significant bargaining power in the sustainable fashion market as there are many brands offering similar sustainable products.
Bargaining power of suppliers: Sustainable material suppliers possess moderate bargaining power due to the limited availability of eco-friendly materials and long-term relationships with fashion brands.
Threat of new substitutes: Substitute products made from recycled or organic materials pose a minor threat to existing sustainable fashion brands.
Competitive rivalry: Competition in the sustainable fashion market is intense as brands continuously strive to attract eco-conscious customers through unique designs and improved sustainability practices.

North America remains the largest geographical market for sustainable fashion, accounting for over 35% of the global market value in 2024. The presence of many conscious consumers and prominent sustainable brands have helped establish North America as the leader. Asia Pacific is projected to witness the fastest growth during the forecast period, spurred by rapid economic development, growing middle-class, and rising awareness about environmental issues in major countries like China and India. The introduction of stringent environmental regulations will also foster sustainable fashion adoption across Asia Pacific.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it