Uncertainty threatens in the middle of political changes, economic pressure and tariffs

Copenhagen – Is sustainability a chance in a world in which it is increasingly de-anthray in the shift in government policy, the increasing tariffs and more conservative political climate zones? That was the question with which the participants dealt with at this year’s Global Fashion Agenda conference in Copenhagen.

The organizers recognized that the mood was “dark” and reflected the increasing uncertainty. The number of visitors was easier because brands lowered the budgets and, in response to legislative delays and economic headwinds, turned for contingency planning.

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In Europe, the conservative pivot point of the European Commission has led to a role in the most important legislation, in particular the guideline of corporate sustainability. The guideline in which large companies have identified and addressed human rights and environmental impacts in their supply chains is now partially in the queue and leaves many companies in the balance.

“The EU has given the world a political signal that we too will do things differently, and I would even call it a kind of Trump Lite,” said Lara Wolters, member of the European Parliament.

Although the upcoming EU changes are framed as simplifications: “It is far too early … to do a hard guideline like this. And yet it is done, and everyone is now looking to cause damage control,” said Wolter.

The probable result will be more paperwork for imports and stress for small companies, whereby the production source is less checked.

In the United States, new tariffs continue to have complicated sustainability strategies as part of the Trump management. Companies that invest in the decarbonization of their supply chains are now exposed to uncertainties about the future production costs and the procurement locations.

“It is difficult to convince your CFO to make this decision,” said Chelsea Murtha, Senior Director of Sustainability at the American Apparel and Footwear Association. “[Companies are] Operate confusion. “

In the meantime, due to the new fees and the increasing complexity of the shipping period, the increasing costs and cross-border partnerships that were once conducted with climate measures and cross-border partnerships such as US Canadian cooperation with recycling and sorting systems are threatened.

USAID had long financed many NGOs and programs on which US brands relieved to monitor human rights and working conditions in the procurement countries. This support is now shortened and brands are asked to close the gap.

“As much as the brands would like, they are also pressed from the tariffs,” said Murtha. “So there is precisely this type of paralysis in which everyone is trying to find out what we can continue to hold on?”

Claus Teeilmann Petersen, bestselling manager sustainability and human rights, asked Marks to transfer this uncertainty into “productive paranoia”. He believes that the legislator is “somehow lost”, but should be grouped again in order to implement a simplified duty of care based on global OECD guidelines.

The Vice President of the GFA public affairs María Luisa Martínez Díez added that geopolitical instability increases uncertainty. “Wars and conflicts [are] The industry also disturbs, with brands to re -evaluate the production locations and loans due to the risky conflict zones. “

Financing is also influenced, with the banks tend to finance FABRIK upgrades that were made to reduce carbon emissions or water consumption. “The focus on sustainability was left behind, which faded into the background, in favor of the competitors,” she remarked.

In addition, there is the compliance burden on data acquisition and the upcoming regulations for the circular economy. Brands navigate different rules from the USA, the EU, China and to new laws in India, South America and Mexico.

AI as a potential game channel

In the middle of the dark, some companies see a silver strip in artificial intelligence. A promising application is the modernization of the outdated wholesale model.

“The system is based on the traditional system of mass order,” said Mannyai co -founder and Chief Executive Officer Shruti Grover. AI, she suggested that the inventory could optimize, lower the overstock and reduce the costs.

The system is based on the traditional method of mass order. Brands must cancel the stock at the front and then absorb the costs of all returned items. The revision of the system could be particularly advantageous for small brands, but this would break long -standing business practices and resisted from existing actors in the industry.

“So brands have to make a really courageous decision,” she said.

But while AI has potential, she has not yet paid out BCG. Arti Saidenghami, partner and director of the Tech Design Division BCGX of the consulting group, announced that only 4 percent of the AI implemented that implement a measurable return on capital and highlighted a gap between hype and tangible value.

Nevertheless, smaller brands see opportunities. Jolanda Brink, CEO of Mudd Jeans, said Ai could compete in the scale for her 12-person team. “Everyone talks as if people are afraid of AI, but I actually think that this can help me enormously,” she said to WWD. “It used to be a big team, big results. Now this can be a small team, big results.”

Brink hopes to build a product life cycle management system and start targeted paid ads with AI tools, in particular to achieve “light green” consumers who appreciate the style but consider sustainability as a bonus.

She sees this possibility as a win-win situation.

“This is also good for retailers, because that means that you don’t have to invest much in us because you can see if it is selling and then you can order from us,” she said.

The co -founder and CEO of Styledna, Elena Volkova, repeated the Hype vs. value gap in the AI, this time from the perspective of consumers. Her investigations showed that 82 percent of users want to shop for AI supported, but many did not act on their suggestions.

It will take some time for consumers to develop trust in a new system and recognize a personal value in use, she said.

Closing the consumer denial gap

This separation between intention and action was a recurring topic.

The Vice President of Visa Europe of Impact and Sustainability, Katherine Brown, said that her laboratory for behavioral singers showed that 87 percent of consumers want to buy sustainably, but only follow 27 percent. The laboratory works with retailers such as Selfridges, Cos and John Lewis to test messages and to nudge strategies that make more sustainable decisions.

For gen z, framing increased sustainability as municipalities by 22 percent sales in COS. Pre-purchase NUDGES that promote refill skills were also successful in a case study by Charlotte Tilbury, she told WWD. These “nudges” are less about hard -striking sustainability messages than a few key words that appeal to consumers in a softer way or make sense.

Visa also examines the “Agentic Ai”, which is looking for autonomous and searches for products that are based on the personalized preferences of a consumer. However, trust and fraud prevention remain critical, especially in resale.

“At that moment there is so much financial fraud at that moment, so people really want to know that I want to know that it comes from a real source,” she said. “Trust and security are not yet robust in the resale market.”

Visa supports digital passes to ensure the authenticity of goods and ensure the payment systems for second -hand transactions.

The laboratory that focuses on Europe is planning to expand to global markets and new sectors, including travel and household goods. “The fashion industry was a brilliant starting point because the industry only has to understand as far as to call people away from fast fashion,” said Brown.

Devon Leahy, the global director of sustainability at L Catterton, emphasized the business case for bridging the gap. “Closing the consumer gap is a tangible financial value,” she said and asked the brands to present sustainability as a co-benefit, not as a primary buyer.

Florence Bulté, Chief Sustainability Officer at the Chalhoub Group, discussed the efforts to change the perception of the second -hand in the Middle East, where the group works. When the group started a jewelry rental program, she knew that she would address expats in the region. To her surprise, however, it was better than expected with local communities. The group is working on expanding this type of change with handbags and shoes.

A quieter event that focuses on connections

Federica Marchionni, CEO from GFA, recognized the global moment. “This time it was a completely different feeling … We were concerned about the time and the situation in which we live, and it is difficult to tackle all of these obstacles that grow every day,” she said, emphasizing the topic of the event of “barriers and bridges”.

“I always say that sustainability can really be the union,” she said.

Many participants found that this year’s conference felt smaller, be it due to overlapping events, closer travel budgets or wider tiredness. SXSW London was also planned where a participant was to be a discussion participant before she found that the data had come into conflict and the textiles -recycling expo took place in Brussels.

As a result, “all recyclers are there and the brands here,” said the participant.

Although fewer CEOs were visible, C-Level Sustainability Leaders from brands such as Chanel and Kering took part in round tables with closed doors. Kering even brought his first “sustainability futurist” with him, which focuses on the study of long-distance transformations for a decade.

A returning participant who took part in the sixth time said that they had hoped for “implementable” content because “people have withdrawn to news”.

Nevertheless, the network was strong. “It is good to meet people we only see on zoom,” said one participant. “In this regard it does his job.”

Product launches and innovation Forgive

An outstanding moment of the week was the debut by Lycra Ecomade with Qira-a-one-based stretch fiber, which contained 70 percent renewable content. The drop-in-oil-based drop-in replacement replacement in the same performance and enables it to be organized for active clothing such as yoga pants. There is no difference in appearance or feeling.

Both CEOs were on site to reveal the fiber at the event, Lycra’s Gary Smith and Jon Veldhouse from Qira.

The fiber has been in development for seven years and has already been piloted by brands like A-Golde. The material is produced in a factory in Iowa and is scaled to 65 tons per year. The first large -scale programs await this autumn in the spring collections.

Leather Alternative Pioneer Modern Meadow also revealed her newly renamed material in Innovera, with CEO David Williamson being discussed at hand on the future of biologically designed material innovations.

In order to close the week, sealed prize was awarded the GFA Trailblazer Prize. The startup uses AI to identify textile compositions, support recyclers and increase resort authentication and traceability.

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