China’s sustainable fashion industry has seen significant growth, with brands increasingly adopting eco-friendly practices such as zero-waste production, recycling, and the use of organic materials.
The shift reflects a strong commitment to reducing environmental impact and meeting the rising demand for green fashion. A survey from Daxue Consulting highlights this trend, showing that 20% of high-income, well-educated consumers are willing to pay twice the price for sustainable fashion, indicating a shift in purchasing behavior towards sustainability.
China’s rapid industrial growth has led to serious environmental issues like air pollution, water shortages, and waste management problems, which have heightened awareness of sustainability.
The consumers are becoming more selective, favoring products that are both stylish and environmentally friendly, driving further demand for sustainable fashion.
According to statista around 66% of Chinese respondents said they are willing to pay more for eco-friendly products. The trend is especially strong among Gen Z and Millennials, who expect companies to be committed to the environment and to adopt more sustainable practices.
"Seeking sustainability as a true lifestyle, not just a label."
What Does Sustainable Fashion Look Like in China 2024 ？
Overview of sustainable fashion
Sustainable fashion emphasizes environmentally friendly and socially responsible practices, including the use of eco-friendly materials, waste reduction, water conservation, and fair labor practices. Given that the fashion industry accounts for 10% of global carbon emissions and is the second-largest consumer of water, there is mounting pressure for the sector to adopt these practices.
The relevance of sustainable fashion has surged as consumers and brands become more aware of its environmental and social impacts. With 67% of shoppers considering sustainability before purchase, brands are increasingly focusing on transparency, rethinking their operations, and adopting a circular economy approach to meet this demand.
China’s fashion industry
China’s fashion industry is one of the largest and most dynamic in the world. With a market valued at over $300 billion, China not only leads in garment production but is also a rapidly expanding consumer market. The rise of e-commerce platforms like Alibaba's Tmall, Pinduoduo and JD.com has transformed the way Chinese consumers shop, making it easier than ever for them to access a wide range of fashion brands, both local and international.
China’s fashion market, driven by a young, digitally-savvy consumer base of Millennials and Gen Z, is expected to account for nearly half of the global luxury market by 2025.
The demographic's growing interest in sustainable fashion is prompting local brands to start integrating eco-friendly practices, though the transition is still in its early stages compared to Europe and North America.
As China continues to expand and influence global fashion trends, its industry is gradually moving towards a more sustainable future, reflecting both its significant scale and growing responsibility.
The Growth of Sustainable Fashion in China
Historical background
China’s fashion industry rapidly grew in the late 20th century, becoming the “world's factory" due to its affordable workforce and demand for cheap clothing. By the early 2000s, cities like Shanghai and Beijing emerged as fashion hubs, but this growth came at a significant environmental cost, with high levels of pollution and waste.
In the mid-2010s, rising awareness of environmental issues and stricter regulations began pushing the industry toward sustainability. In 2024, driven by consumer demand and government policies, China’s fashion sector is gradually shifting from mass production to a more environmentally responsible approach, though challenges remain.
Current trends
China is rapidly advancing in global sustainable fashion, with young urban consumers and fashion lovers showing increasing interest in eco-friendly products. Research And Markets reports a swift rise in awareness among the younger generation, signaling a robust growth trajectory for the market in 2024.
Technological innovations, such as bio-fabrication, advanced recycling, and low-impact dyes, are crucial in reducing fashion's environmental footprint. Certifications like GOTS and the China Environmental Label aid consumers in identifying truly sustainable products.
Besides, a Daxue Consulting survey reveals that 20% of high-income, well-educated respondents are willing to pay a premium for sustainable fashion, creating new opportunities for brands to attract this growing consumer base.
Market size and growth
The sustainable fashion market in China is also expanding rapidly. According Global Data, sustainable clothing market size was valued at USD 3.3 billion in 2023 and is anticipated to register a CAGR of 9.5% between 2024 and 2032. It is expected to continue growing in 2024, with an anticipated increase of around 10-15%. The growth is driven by rising consumer awareness of environmental issues and government support for sustainable development.
Consumer Behavior and Attitudes
Demographic analysis
Millennials (ages 25-40) in China are increasingly prioritizing sustainability in their purchasing decisions, with many willing to pay a premium for environmentally friendly products, according to McKinsey & Company’s “The State of Fashion 2023.”
Similarly, Gen Z (ages 18-24) shows strong environmental consciousness, with a Y Pulse survey revealing that 72% of Gen Z consumers in China are concerned about the environmental impact of their purchases and actively seek sustainable options. Both generations are driving brands to adopt more transparent and ethical practices.
Motivations for sustainable choices
Environmental awareness among Chinese consumers is rising, with 65% motivated by the desire to reduce their environmental impact, according to the China Youth Climate Action Network’s “Climate Awareness in China 2023.”
Additionally, health concerns are influencing consumer choices, as a Nielsen study finds that 58% of Chinese consumers are worried about the safety of textiles due to toxic dyes and chemicals, leading them to seek out brands offering organic and non-toxic materials.
Cultural factors shaping attitudes
China’s sustainable fashion market is shaped by a combination of traditional values and modern influences. Confucian ideals of harmony and respect for nature align with sustainability, fostering an appreciation for brands that embody these principles.
At the same time, global trends and exposure to international sustainability movements are blending with traditional values, creating a unique cultural approach to eco-consciousness.
Engaged Millennial and Gen Z consumers, driven by environmental and health concerns, are further fueling the market. As these trends evolve, brands that understand and adapt to the interplay of traditional and modern influences will be well-positioned to thrive in China’s growing sustainable fashion sector.
Key Players in the Market
Domestic brands
The Chinese sustainable fashion market is dynamic, featuring a blend of domestic and international brands that shape its landscape. Here’s some leading domestic players making a significant impact:
ICICLE: is a pioneer in China’s sustainable fashion scene, known for its commitment to eco-friendly materials and high-quality, minimalist designs. The brand's focus on natural and sustainable practices has positioned it as a market leader, with a significant share in the growing eco-conscious fashion market.
BENLAI: launched in 2022 by FMG Group, BENLAI is a new sustainable fashion brand focused on eco-friendly materials like recycled cellulose fiber, polyester, and 3M cotton. Its partnerships with top environmental fabric suppliers highlight its commitment to reducing environmental impact and promoting sustainable practices.
These brands highlight the growing emphasis on sustainability in China's fashion industry, reflecting a shift towards more eco-conscious consumer choices and practices.
International brands
International brands are also making significant strides in China’s sustainable fashion market. Their presence highlights the growing interest in eco-friendly products even within mainstream segments:
Sézane: known for its timeless, eco-conscious designs, Sézane has successfully entered the Chinese market by offering collections made from organic and recycled materials. The brand’s commitment to sustainability resonates with Chinese consumers who value high-quality fashion with a lower environmental impact.
Veja: a leader in sustainable footwear, Veja has gained popularity in China due to its use of ethically sourced materials like organic cotton and wild rubber. The brand’s focus on transparency and fair trade aligns with the increasing demand among Chinese consumers for products that balance style and sustainability.
Emerging designers and startups
China’s sustainable fashion scene is witnessing a surge of creativity and innovation, driven by a new wave of emerging designers and startups. These trailblazers are not only redefining style but also setting new standards for sustainability in the industry. Let’s take a closer look at some of these key players and their contributions to eco-friendly fashion.
Emerging designers
Angel Chen: a Central Saint Martins graduate student, known for her bold designs that fuse traditional Chinese craftsmanship with modern style. Using sustainable materials and ethical production methods, she highlights the importance of cultural heritage in sustainable fashion.
Renli Su: known for creating timeless, sustainable pieces using natural materials like linen and silk. Her designs prioritize quality, durability, and versatility, encouraging consumers to invest in long-lasting fashion over disposable trends.
Susan Fang: recognized for her innovative use of upcycled and recycled materials in sustainable fashion. Her experimental techniques and waste-reduction focus have earned her international acclaim as a leader in eco-conscious design.
Innovative startups
In China, the landscape of sustainable fashion is being reshaped by a new wave of startups. These innovative companies are not only offering eco-friendly products but are also redefining how fashion is produced, consumed, and perceived.
Feiy: Shanghai-based startup, creates eco-friendly sneakers using recycled materials like plastic bottles and rubber, with a focus on transparency and ethical practices in its supply chain.
Wobabybasics: founded by Marjorie Liu, offers sustainable children's clothing made from organic fibers, prioritizing eco-friendly materials, fair labor, and biodegradable packaging.
Fabric8: is a tech-driven startup that uses AI and blockchain to produce eco-friendly fabrics, helping fashion brands.
Government Policies & Regulations
Environmental regulations
The Chinese government is actively promoting sustainability in the fashion industry through measures outlined in the “14th Five-Year Plan for Ecological and Environmental Protection." Key focuses include green manufacturing, circular economy goals, reducing carbon emissions, improving waste management, and encouraging the use of sustainable materials.
Plus, the implementation of the “Circular Economy Promotion Law" in 2022 introduces the Extended Producer Responsibility (EPR) principle, requiring fashion brands to be responsible for the entire life cycle of their products, including disposal and recycling.
The “Green Supply Chain Guidelines" issued by the Ministry of Industry and Information Technology (MIIT) also encourage companies to adopt environmentally friendly practices throughout their supply chains. These policies and regulations reflect the Chinese government's strong commitment to environmental protection and green development.
Government Support for Sustainable Practices
Eco-friendly standards and certifications in China
China has established standards like the “Green Product Evaluation Technical Guidelines” to set environmental criteria for products, including clothing and textiles. The China Environmental Label further certifies products that meet rigorous standards for sustainability, covering materials, manufacturing processes, and overall environmental impact.
Financial subsidies and support programs
The government provides financial subsidies, tax breaks, and interest subsidies to support businesses in adopting green technologies, managed by the Ministry of Industry and Information Technology. It also recognizes companies for their environmental contributions through awards like the “Green Enterprise Award” and the “Advanced Environmental Protection Enterprise Award.”
Policy advocacy and public awareness
To drive the adoption of sustainable fashion, the government runs campaigns that advocate for green consumption and raise public awareness. These initiatives focus on educating consumers about the benefits of eco-friendly products and increasing demand for sustainable fashion.
Challenges in Policy Implementation
Despite supportive measures, challenges persist in enforcing sustainability policies. Greenwashing undermines genuine efforts, as some companies falsely claim environmental friendliness without real changes, misleading responsible consumers.
The government's efforts to enhance scrutiny are complicated by the industry's vast size and diverse practices. Inconsistent compliance and information gaps between claims and reality hinder regulatory effectiveness. Improving transparency and consumer education is crucial for China to lead effectively in global sustainable fashion.
Sustainable Fashion Innovations
China is rapidly becoming a leader in sustainable fashion innovation, driven by advancements in technology that prioritize eco-friendly practices and circular economy principles. Several Chinese companies are at the forefront of integrating sustainability into their fashion operations through cutting-edge technologies. Here are some key areas where Chinese technology is driving sustainability in fashion.
Eco-friendly materials
Chinese companies are pioneering the development of eco-friendly materials that reduce environmental impact.
Xinfengming Group is a leading polyester manufacturer that has developed bio-based polyester, which is derived from renewable resources like corn and sugarcane. The innovation reduces dependence on fossil fuels and lowers the carbon footprint of polyester production.
Unifull Industrial Fiber is another company that has focused on producing biodegradable and recyclable fibers. They have introduced a series of green fibers made from renewable resources, such as polylactic acid (PLA) and recycled PET, which are gaining popularity in the global fashion industry.
Recycling technologies
Recycling is a critical component of sustainable fashion, and Chinese companies are advancing in this area through innovative technologies:
Worn Again Technologies originally a UK-based company with significant operations in China, is developing breakthrough polymer recycling technology. The technology can separate, decontaminate, and extract polyester and cellulose from non-reusable textiles, allowing these materials to be reintroduced into the supply chain as new products.
Huafu Fashion Co., Ltd., one of the largest melange yarn producers globally, has invested heavily in developing recycling technologies. They specialize in producing yarns from recycled cotton and polyester, significantly reducing waste and energy consumption in the textile manufacturing process.
Water and energy efficiency
China’s textile industry is traditionally water- and energy-intensive, but innovations are helping to mitigate these impacts:
Shenghong Group, a major textile manufacturer, has developed a new dyeing technology that significantly reduces water usage by up to 60% compared to traditional methods. This technology also reduces energy consumption and lowers the emission of harmful chemicals.
Jiangsu Guowang High-Technique Fiber Co., Ltd. is working on energy-efficient production techniques, such as low-temperature dyeing, which reduces the energy required for dye fixation and minimizes greenhouse gas emissions.
Circular economy initiatives
Chinese companies are increasingly adopting circular economy models that focus on recycling and reusing materials to create a closed-loop system:
Anta Sports Products Limited, sportswear brand in China, has launched a sustainable fashion line that emphasizes the use of recycled materials and promotes a take-back program where customers can return used clothing for recycling.
Alibaba Group has initiated several projects through its e-commerce platforms to promote second-hand fashion and clothing rental services, encouraging consumers to extend the life cycle of their garments and reduce waste.
Digital technologies and AI
Digital technologies and artificial intelligence are also playing a significant role in enhancing sustainability in Chinese fashion:
Lalaland.ai, providing virtual try-on solutions that help reduce the number of returns in online shopping, which in turn minimizes waste and the carbon footprint associated with transportation.
Tencent and Alibaba have invested in smart manufacturing technologies that optimize supply chain processes, reducing waste and ensuring that production meets actual consumer demand, rather than producing excess inventory.
Chinese companies are increasingly adopting technologies like eco-friendly materials and advanced recycling to promote sustainability. These innovations are positioning China as a key player in the global push for sustainable fashion, with the potential to significantly reduce the industry’s environmental footprint.
Challenges Facing Sustainable Fashion in China
Cost and affordability: Sustainable fashion often involves higher production costs, making eco-friendly products less competitive in China’s price-sensitive market. Sustainable items can cost 20-30% more than conventional ones, which many consumers are reluctant to pay.
Consumer awareness: There is a significant gap in consumer understanding of what constitutes sustainable fashion and its benefits. According to Deloitte ，While 70% of Chinese consumers are interested in sustainability, only 40% can identify truly eco-friendly products.
Industry resistance: Many traditional fashion businesses resist adopting sustainable practices due to entrenched production methods and cost concerns. Only 25% of fashion companies in China have fully integrated sustainability into their operations, showing slow industry-wide adoption.
Future Outlook for Sustainable Fashion in China
Predictions for market growth
The future of sustainable fashion in China is very promising, with the market expected to grow significantly over the next decade. Experts predict an annual growth rate of over 20% by 2030, fueled by increasing consumer awareness and supportive government policies.
The growth is driven by a rising demand for transparency and sustainability, especially among Millennials and Gen Z, who are willing to pay more for eco-friendly, high-quality products. As brands adopt greener practices, the market for sustainable fashion in China is set to expand even further.
Potential game-changers
Several emerging trends and developments could revolutionize the sustainable fashion market in China:
Technological innovations: Advances in technology, such as blockchain for supply chain transparency and AI for optimizing resource use, are set to enhance sustainability in fashion. These technologies can help brands track their environmental impact and make more informed decisions.
Circular economy models: The rise of circular fashion, which emphasizes recycling and reusing materials, could dramatically shift how fashion is produced and consumed. Brands that integrate circular practices, such as take-back programs or clothing rental services, will likely gain a competitive edge.
Local production: As consumers become more eco-conscious, there is a growing interest in local and small-batch production. This trend reduces carbon footprints and supports local economies, offering a unique selling point for brands.
Opportunities for investors and entrepreneurs
For investors and entrepreneurs, the sustainable fashion sector in China offers exciting opportunities. Investing in companies that develop and use eco-friendly materials—such as organic cotton, recycled fabrics, or innovative options like mushroom leather—can be highly rewarding given the rising demand for these products.
Green technology is another promising area, with startups focusing on waste-reducing manufacturing processes and energy-efficient production methods showing significant potential. Investing in such tech solutions can provide substantial returns as the industry shifts towards more sustainable practices.
Besides, there is a growing need for consumer education and advocacy platforms that promote sustainable fashion. Developing content, apps, or services to engage and inform consumers can tap into this expanding market.
Collaborations with established brands or organizations dedicated to sustainability also offer strategic advantages, enabling shared resources and increased market reach.
Conclusion
Ready to make a difference with your fashion choices? Embrace the beauty of sustainable fashion by supporting brands that are committed to protecting our planet and its people!
Every time you choose eco-friendly products, you're contributing to a brighter, greener future. By opting for sustainable brands, sharing your passion for eco-friendly fashion with friends, and encouraging others to make mindful choices, your small actions can lead to big changes.
Business of fashion
Frequently asked questions:
What challenges do sustainable fashion brands face in China?
Sustainable fashion brands in China face challenges such as high production costs, limited supply chain transparency, and consumer preference for fast fashion.
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