A recent analysis conducted by the non-profit organization Cascale highlights considerable opportunities for China’s textile and apparel industry to spearhead global efforts toward sustainability.
The report, titled ‘China Country Report: Macroeconomic and Sustainability Analysis,’ utilizes data from the Higg Facility Environmental Module (Higg FEM), a tool developed by Cascale to assess the environmental impact of manufacturing operations.
The Higg FEM provides insights into factory performance metrics, including energy consumption, emissions, water usage, wastewater management, and chemical handling.
Jeremy Lardeau, senior vice president of the Higg Index, commented: “Cascale’s Higg FEM data serves as a valuable perspective on the future trajectory of the industry. China continues to play a vital role in global textile and apparel manufacturing and has shown its capability for innovation, adopting new technologies, and scaling operations.”
He added, “There is an opportunity now to harness sustainability and innovation not just to comply with regulatory and buyer requirements, but also to cultivate long-term competitiveness in a swiftly evolving marketplace.”
The findings suggest that, despite challenges related to decarbonization and improving labor conditions, China is well-equipped to emerge as a hub for low-carbon, circular, and technologically advanced production methods, reinforcing the importance of Chinese textile industry sustainability.
Key Insights Include:
- Circular Economy and Recycling: In alignment with national objectives to establish a textile recycling system by 2025, Chinese companies are increasingly embracing practices that promote water recycling and waste reduction. They are also developing innovative recycling solutions that could dramatically decrease annual textile waste in the country.
- Technological Innovation and Digital Transformation: The Higg FEM indicates improvements in operational efficiency resulting from the integration of automation, artificial intelligence, and smart factory models. These advancements enable higher productivity with reduced waste.
- Market Diversification and Domestic Upgrading: As demand from Western markets stabilizes, China is pivoting toward emerging markets and strengthening local brands. Facilities that excel in sustainability metrics are well-positioned to seize new business opportunities.
- Policy Support and Global Collaboration: Chinese manufacturers benefit from policy incentives for adopting environmentally friendly technologies and are increasingly engaging with international sustainability norms. The transparency offered by tools such as the Higg FEM is crucial for aligning with these global initiatives.
While the Higg FEM does not evaluate social responsibility, the broader report from Cascale recognizes advancements in wages and safety standards for the approximately 7.8 million workers in China’s textile and apparel sector. However, challenges such as long working hours, limited worker representation, and compliance issues persist.
Cascale’s analysis indicates that investing in renewable energy, recycling initiatives, and digital innovation can not only lessen environmental impacts but also further solidify China’s leadership in the textile and apparel industry, thereby promoting Chinese textile industry sustainability.
Harsh Saini, interim CEO of Cascale, emphasized, “Cascale and its members are dedicated to addressing climate change while promoting decent work conditions. Our new country report for China highlights that pursuing these goals in tandem—focusing on both decarbonization and working conditions—is essential for the industry’s competitiveness and for meeting escalating expectations.”
