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How the fashion industry is becoming eco-friendly

Take a look at what you are wearing right now. Have you ever thought about the impact those clothes have on the environment? Many of you may be wary of plastic delivery containers which pollute the environment, but most are probably unaware of the environmental impacts of purchasing low quality, inexpensive apparel, which R. Preuit called “fast fashion.” Major environmental issues associated with such clothing include toxic production processes, microplastics from laundry, and waste generation. Small plastic particles are released from synthetic fibers such as polyester, nylons, and acrylics during the washing process. In addition, after Specialty store retailers of Private label Apparel (SPA) brands such as Zara and H&M began to emerge, consumers’ purchase cycles were shortened and a host of unsold goods turned into apparel waste.

Government officials and politicians have begun introducing regulations following rising concerns about the negative consequences produced by the fast fashion industry. The European Union announced that the disclosure of Environmental, Social and Governance (ESG) reports, outlining a company’s non-financial standard, would become mandatory from 2024. They also suggested that fast fashion brands should use recyclable materials over a certain percentage in production and stop scrapping unsold goods. Meanwhile, environmentally conscious consumers are rapidly growing, making eco-friendliness an essential business strategy for corporations to survive in the international market.

But is there a company that really carries out eco-friendly management when huge cost, time, and efforts are required for change? Is there any clothing company in Korea that does business with sustainable items? Let’s take a look.

RE;CODE is the upcycling fashion affiliate of South Korean textile giant Kolon FnC that came into the spotlight when BTS wore its clothes to the United Nations General Assembly. Their uniqueness lies in upcycling, a recycling method that focuses on transforming discarded goods into new and high-value products. RE;CODE dismantles and recombines inventory to produce its RE;CODE Collections and sells the RE;NANO Line, which recycles the remnants and subsidiary materials of the remaining clothes. It also operates Box Atelier, which repairs clothes and customizes reforms. Although RE;CODE is a relatively new brand, having been launched only 10 years ago, its sales grew by 40 percent for three years in a row, according to the company. Its brand value is also becoming gradually recognized, having been invited to famous overseas fashion shows as well as collaborating with Kia’s EV6.

What are other domestic companies doing? Even though they were not founded under the slogan of minimizing harmful environmental impact, companies in the textile industry are currently working on changes, largely because of regulations and growing criticism against fast fashion. Companies have mostly chosen to use biodegradable and recyclable materials to create hangers and wrappers. They have also released product lineups made from recycled plastic bottles. For example, Samsung C&T’s fashion brand Beanpole recycled waste plastic bottles to release denim pants and skirts in its 2021 F/W collection. Meanwhile, SPAO, run by E-Land, also said it plans to produce its entire denim line with eco-friendly materials by 2023.

As such, more brands and companies seem to be participating in eco-friendly efforts. However, when you take a closer look at these cases, you might find some blind spots in their activities: they are too “superficial.” By changing packaging materials and providing some lines of upcycled products, improvements have been made only in areas that are seemingly the most plausible and easy to implement. But more fundamental issues such as apparel waste or the problematic clothing production itself have been avoided. Even if SPAO introduces eco-friendly materials to make denim, the rest of the clothes they manufacture would still cause extreme environmental pollution and all their remaining inventories would be discarded. The problem is that companies nevertheless call themselves “eco-friendly.” This phenomenon is called “Green-washing.” Green-washing refers to hiding or distorting other larger parts that destroy the environment while a company or government releases projects or products that contribute to environmental conservation. Most fashion companies in Korea engage in eco-friendly or sustainable activities to jump on the most recent trend or to improve their brand image. This is not wrong, but the reputation gained without making true efforts undermines consumer confidence and might only come as a burden to companies in the long run.

In light of this issue, how exactly should firms change? In order to bolster sustainability, sweeping changes that require tremendous amounts of time and effort need to be made on each company’s overall operating system. Thus, here are three practical ways that can gradually but ultimately lead companies to the goal.

First, in order to improve the circulation structure across all stages of manufacturing, selling, distributing and collecting, companies can work on “inventory management.” Prediction and sensitive production systems based on time series, styles, and trends can be applied to prevent overproduction and to eliminate inventories. Choosing a flexible production strategy by setting initial production at an appropriate level and producing more according to market reactions would also be a good alternative to original production strategies.

Second, companies can provide a setting for consumers to wear clothes for a long time. Usually, companies want customers to buy new products rather than to patch them up. They believe they will benefit more if customers go through clothes more quickly. However, repairing the products can also benefit the company. That is, the real profits for brands are in fostering a more positive relationship with customers. By providing repair services, a company can earn brand loyalty, consumer engagement, and frequent touchpoints. And that is exactly what Patagonia is doing, running a service that mends not only its products but also that of other companies while still maintaining a growth rate of over 22 percent over the past three years.

Finally, in addition to repairs, there is another way to help consumers escape the “fast-buying, fast-dumping” cycle: creating or forming partnerships with a platform that facilitates clothing rental service or used-clothing transactions. Kolon FnC launched the online second-hand clothing shop OLO Relay Market. There, consumers sell their used products to a company, and the company inspects and restores them, reselling them at a discounted price in the OLO Relay Market. Points are given to consumers who sell used goods so that they can purchase new or used products at the OLO Relay Market. Closet Share is another example of a business that helps consumers share their own closets, lend their own clothes, and receive rent. They are operating a shared closet to reduce clothing waste and restore the value of clothes that are not worn anymore.

Fast fashion companies are responsible for polluting the earth with their significant impact on people’s wasteful buying behavior. Now it’s time for them to reverse the trend and in turn exercise their power to play a positive role in protecting the planet. Whether it's through inventory management, repair, or activation of second-hand transactions, companies can approach these goals in a variety of ways, and only then can they get rid of the stigma of "green-washing" and reach consumers in a sincere manner.