Study: EU Retailers Cast Wide Net in Sourcing Recycled Apparel
European shoppers have cottoned onto recycled clothing, and the ways retailers are sourcing circular apparel defy convention.
Retailers across Europe‘s biggest apparel-consuming markets are sourcing recycled apparel from all over the globe, according to a recently released study by Dr. Sheng Lu and Leah Marsh of the fashion and apparel studies program at the University of Delaware.
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The market for clothing made from materials like waste plastics and chemically or mechanically recycled textiles is more globally diverse than the traditional supply chain for garments made with virgin inputs, the research showed. While the vast majority of the world’s apparel is made in developing countries, European retailers purchase recycled clothing from more than 40 developing and developed nations across Asia, the Americas, Europe and Africa.
“We found that clothing made from recycled materials has a very unique supply chain” in that it is both labor- and capital-intensive, Lu told Sourcing Journal. “You need to have very sophisticated machines to generate recycled textile materials, and the process of collecting used clothing also requires a lot of sophisticated systems.” Developed countries have been able to invest more liberally in textile recycling and innovation, while developing countries “do not always have the advantage of making such products,” he said.
Lu and Marsh’s analysis encompassed about 5,000 recycled textile garments listed for sale by retailers in the U.K., Italy, France, Germany and Spain, which collectively account for more than 60 percent of the region’s total apparel sales. The researchers utilized web-crawling techniques and manual verification to randomly select and analyze SKUs made with recycled inputs.
Not surprisingly, recycled apparel goods made in China were highly available, accounting for 31 percent of the survey sample. But Italy (13.8 percent) and Portugal (7.6 percent) ranked No. 2 and No. 3 on the list, respectively, showing that developed nations are also leading the charge when it comes to not just the consumption, but the production, of recycled garments.
India accounted for 5 percent of the recycled clothing discovered for sale in Europe, while Vietnam saw 4.8 percent market share. Notably, the developing European nation of Bulgaria accounted for 4.6 percent of the survey sample, while recycled clothing from Japan made up 3.8 percent of the products the researchers found available in the European market.
Lu and Marsh’s research showed that apparel sourcing teams use similar criteria to source clothing made from recycled materials and garments made with virgin inputs. “It’s about more than just cost—it’s about striking a balance of a lot of sourcing factors, from speed to market to quality, flexibility and agility,” he said.
When it comes to sourcing recycled garments, European retailers are casting a wide net to capture all of those benefits. Because the market for recycled apparel is still emerging and maturing, comprehensive sourcing portfolios are necessary to ensure diversity in product selection and availability. While Western and developed markets are investing heavily in innovation, research and development for recycled textiles, their domestic textile and apparel supply chains are typically smaller and less agile than in markets where apparel production is a major economic driver.
Expanding production for clothing made using recycled textiles presents an economic opportunity within developed markets like the U.S., “where many have plans to revitalize the domestic manufacturing sector and establish a sustainable circular economy,” Lu said.
Underscoring that point, the research showed that a supplying country’s geographic location has a strong bearing on the type of recycled clothing EU retailers import. European stores are tapping Asian suppliers for relatively sophisticated items like dresses and outerwear made for the mass and value market, for example. Meanwhile, they are turning to North, Central and South American recycled apparel suppliers for staples like T-shirts and socks. European retailers are looking within their own market for high-quality premium or luxury styles, and Africa for simple, premium categories. Leveraging a diverse sourcing base allows EU retailers to take advantage of each supplying country’s unique production strength, Lu said.
While existing studies often point to the benefits of “local-for-local” textile recycling and apparel production, Lu said the research revealed that there are promising global sourcing opportunities for clothing made with recycled inputs. “The study’s findings indicate that many countries worldwide have begun producing and exporting clothing using recycled textile materials, and the sourcing options and capacities will hopefully continue to grow,” he added.
