Apparel Carbon Footprint: Emissions Profile Insights

In recent years, the apparel sector has faced mounting pressure to address its climate impact. According to the Science Based Targets initiative (SBTi), footwear and global apparel produce more greenhouse gas emissions than the shipping and aviation sectors combined. Without intervention, these emissions are on track to climb precipitously. 

As awareness of the problem spreads, businesses that fail to take action face growing reputational risk. At the same time, reporting mandates in the EU, the UK, and the US are compelling organizations to share their emissions data. Against this backdrop, decarbonization has become an urgent imperative for apparel companies, and many are setting ambitious climate targets. To reach them, they first need to understand where their emissions come from. 

In this article, we’ll provide a baseline picture of the apparel sector’s emissions profile, based on Persefoni’s analysis of climate data from the CDP (formerly known as the Carbon Disclosure Project). We’ll also outline the steps companies can take to get started with comprehensive carbon accounting. 

What is an Emissions Profile? 

An emissions profile provides a snapshot of key GHG sources.

One of the first steps in developing a decarbonization strategy and preparing for climate disclosure is identifying which greenhouse gas (GHG) sources you need to track to align with global standards and industry best practices. This is where an emissions profile comes in. It provides a snapshot that shows the typical GHG-producing activities in a given industry. Organizations can use an emissions profile to zero in on the business activities that are likely material and worth measuring. They can then move on to collecting the specific financial and operational data they’ll need in order to conduct robust, audit-grade carbon accounting. 

Below, we’ll take a closer look at key emissions sources apparel companies will likely want to track. 

The Apparel Industry Landscape

“Fast fashion” and a sector at a crossroads.

In addition to growing consumer demand for sustainability, the apparel industry faces physical risks from climate change. Several countries that serve as hubs for fashion manufacturing — including Bangladesh, China, India, and Vietnam — are on the frontlines of the climate crisis and have been devastated by severe weather and disasters. As threats to supply chains and operations grow, it’s clear that for the apparel industry, climate risk is financial risk. 

Yet, despite a rise in public sustainability commitments, many apparel companies are finding decarbonization difficult. According to a 2024 McKinsey report, two in five brands have seen emissions intensity increase since making commitments, and only 37% are on track to reach their 2030 decarbonization goals. 

One of the biggest problems is the rise of “fast fashion” — the practice of quickly producing many items a season, with multiple seasons a year, to sell at a very low cost. Growing demand for apparel that can be made cheaply and quickly is driving water scarcity, resource depletion, and pollution. As fast fashion expands to middle-income countries, emissions from the industry are expected to climb. 

Recognition of the problem is growing, and places like the UK have seen some appetite emerging for secondary markets and sustainable clothing. But to date, these trends are not anywhere near the scale required to rein in the industry’s emissions. 

Climate Trends in the Apparel Sector

The apparel industry faces a confluence of climate challenges, from extreme weather and resource strain to reputational risks and the pressures of fast fashion. Here’s a closer look at the key trends shaping the sector’s sustainability landscape.

• Extreme weather. Recent analysis by Cornell University’s Global Labor Institute found that extreme heat and flooding threaten apparel production hubs, with Karachi, Colombo, Managua, Mauritius, and Dhaka identified as the most climate-vulnerable production centers. 
• Fragmentation and complex supply chains. The apparel sector is highly fragmented, with very complex supply chains spanning some of the world’s least developed countries. 
• Strained resources. In many cases, apparel processes further stress resources that are already on the brink. Cotton production, in particular, is water-intensive but often takes place in locations suffering from water scarcity, like China and India, which creates acute risk for manufacturers. In addition, vulnerable, water-stressed countries are often the sites of “wet processing” (the dyeing and treating of fabrics), which demands large quantities of water and produces substantial greenhouse gases. 
• Pressure to cut prices. Demand for cheap fast fashion persists, driving pressure on apparel companies to cut costs at the expense of sustainability measures. New ‘lowest price’ ultra-cheap brands are entering the market, accelerating this dynamic. 
• Reputational risk. Scrutiny of the apparel industry’s human rights and environmental practices has grown, especially in the wake of the Rana Plaza disaster in Bangladesh in 2013. Environmental organizations continue to highlight the ecological damage wrought by the industry — often with great success. For example, Greenpeace’s Detox My Fashion campaign built public pressure on the industry, prompting 80 fashion brands to commit to stop polluting waterways with toxic chemicals. 

What Does the Apparel Industry Emissions Profile Look Like?

Scope 3 emissions are a crucial piece of the puzzle.

Emissions in the apparel industry come from a variety of activities up and down the value chain. Below, we provide a breakdown of leading sources of emissions — including scope 3 drivers like purchased goods and services, which are especially critical for this sector.  

This emissions profile is based on Persefoni’s analysis of carbon benchmarking data from the CDP, an organization that gathers annual voluntary climate reports from companies worldwide. It is intended to help you understand the business activities that may make up your carbon footprint, providing a roadmap for more comprehensive carbon accounting. 

Scope 1 Emissions

• Natural Gas Heating. Using natural gas to heat manufacturing facilities and offices produces scope 1 emissions. 
• Stationary Combustion. Many factories in countries such as Bangladesh and India are still powered by GHG-intensive fossil fuels like coal. 
• Fugitive Emissions. Refrigerants from air conditioning and cooling equipment in manufacturing facilities and offices are another source of emissions. 
• Mobile Combustion. Company-owned non-electric vehicles (typically used for transportation of raw goods and manufactured goods) contribute to scope 1.

Scope 2 Emissions

• Purchased Electricity. Some manufacturing facilities use very energy-intensive equipment. Meanwhile, facilities are often located in countries with a high emission-intensity grid mix, resulting in significant GHG output.
• Purchased Steam. Steam purchased for power and/or heat at manufacturing facilities is another source of scope 2 emissions.

Scope 3 Emissions

• Purchased Goods & Services. The production of raw materials for apparel can be resource and carbon-intensive. For example, energy and fossil fuels are needed to create synthetic textiles like polyester, cattle grazing for leather contributes to deforestation, and the cultivation of sheep’s wool produces methane, a potent greenhouse gas. 
• Capital Goods. Fixed assets such as manufacturing equipment are another common source of scope 3 emissions for apparel companies. 
• Upstream Fuel and Energy. Organizations must also consider upstream emissions from any purchased fuel and electricity. 
• Upstream Transportation and Distribution. Due to fast fashion’s many seasons, production turnaround times are often extremely short, and garments are shipped to many different countries at each stage of the process, driving substantial emissions from transportation and distribution. Ninety-two percent of apparel companies report on this emission source and it can be highly material. 
• Waste Generated from Operations. Producing, dyeing, and finishing clothing results in a great deal of waste and polluted wastewater. Organic materials (such as cotton, wool, and linen) discarded in landfills can release methane, further contributing to the industry’s footprint. 
• Use of Sold Goods. Washing, drying, ironing, and caring for clothing after it is purchased can be GHG-intensive. The use of sold goods is often under-considered but is an important factor for apparel companies.
• Processing of Sold Products. Fuel and energy consumption from the manufacturing processes of downstream companies are another common GHG source. 
• End-of-Life Treatment of Sold Products. To date, the apparel industry has largely followed a linear model in which clothing is produced, used, and then thrown away. The average US consumer discards more than 80 pounds of clothing a year, and an estimated 87% of material used in clothing production ends up in landfills or incinerators. Addressing this end-of-life impact is critical for effective decarbonization. 

* % relevant = proportion of respondents in the sector that considered this emission source to be relevant to their business' carbon impact

% total = the total percentage of emissions given by CDP respondents in the sector that are associated with this emissions source

Decarbonization Challenges in the Apparel Industry

Companies face stretched resources and complex supply chains.

Apparel companies face unique hurdles when it comes to making emissions reductions. A 2024 McKinsey report identified several challenging dynamics that need to be addressed. For example: 

Stretched resources push sustainability to the back burner. Emissions reductions can require time, attention, and financial resources in the short term, while their benefits, including on sales, will occur over the long term and may be difficult to measure. As a result, emissions reductions are often deprioritized when companies are working to tighten their margins. 

Decarbonization is complex and multifaceted. For apparel companies, reducing emissions often means addressing the entire business model — from clothing design to production and sales. It calls for a deep understanding of energy use and manufacturing practices, as well as supply chain emissions. Tackling these issues can be daunting and prevent organizations from taking action. 

Supplier data can be difficult to collect. While supplier engagement is a critical component of a decarbonization strategy, many apparel companies don’t have clear visibility into their suppliers’ emissions, and some manufacturers work with thousands of different suppliers, adding to the complexity. Since Rana Plaza, there has been increasing recognition of the need for transparent supply chains and closer, longer-term contracting, but collecting this data can be a major hurdle. Technology has emerged to help on this front. For example, organizations can share the free Persefoni Pro platform with their suppliers to facilitate information-sharing and ensure companies are collecting relevant and reliable emissions data. 

What’s Next? A Playbook for Calculating Emissions

A step-by-step approach to assessing your footprint.

To adapt to the growing demand for environmental transparency — and help shift the climate trajectory of the apparel industry — companies first need reliable, traceable data about their emissions. 

Below, we outline a step-by-step approach to calculating your emissions. 

1. Create a Project Management Plan

• Secure buy-in: Ensure senior managers support your climate strategy. Their leadership will be crucial for resource allocation and the success of your carbon accounting efforts, especially in the face of budget constraints. Clearly outlining climate risks and opportunities can help cultivate buy-in throughout the organization. 
• Designate a project leader: Appoint a dedicated individual to lead your GHG inventory project. This person should have the authority, knowledge, and resources to drive the effort effectively. For many apparel companies, the finance function will take the lead on carbon accounting. 
• Set internal deadlines: To maintain momentum and accountability, especially in the face of climate disclosure requirements, establish clear timelines for each phase of the carbon accounting project.
• Develop an IMP: Create a detailed Inventory Management Plan (IMP) that outlines the procedures and methodologies you’ll use for data collection, calculation, and reporting. The plan should be regularly updated to reflect any changes in operations or reporting standards and regulations.
• Ensure consistency: Your IMP should establish repeatable processes for each reporting period. Using automated carbon accounting software is the best way to ensure consistency and transparency year after year. 

2. Identify and Assess Emission Sources

• Review potential sources: Consider all possible emission sources as outlined by the GHG Protocol, including scopes 1, 2, and 3. The emissions profile detailed above can serve as a starting point for identifying sources that are likely relevant.  
• Assess materiality: Materiality thresholds will vary for each company. You’ll need to conduct a thorough assessment based on your unique operations, industry, and regulatory jurisdiction. 
• Create a checklist: Develop a Footprint Source Checklist that details the material sources you’ve identified for tracking and data collection.

3. Gather Emissions Data 

• Assign data owners: Identify individuals responsible for collecting data for each emission source. These could be department heads, facility managers, or others.
• Set data collection deadlines: Ensure timely collection of data by establishing and communicating reasonable and clear deadlines.
• Collect data: As you gather information, each category of data will present a different challenge. Scope 1 and 2 data are typically more straightforward to collect, as they rely on internal energy consumption information. Scope 3 often requires engagement with suppliers and considerations for end-of-life treatment, and are more complex. To streamline the process, you can start by identifying your top suppliers and your most carbon-intensive materials. 
• Conduct quality assurance: Designate a person or team to review the data you collect for accuracy and completeness. This will save time later on, especially if you are required to meet climate disclosure regulations. 

4. Engage Suppliers Directly

• Streamline communication: You should work closely with your suppliers. You’ll want to communicate regularly and gather detailed data. For effective reporting and emissions reductions, you need to understand your suppliers’ processes and set expectations for future improvements. Using shared carbon accounting software can greatly facilitate communication and improve data quality. 
• Incentivize emissions reductions: Once you’ve collected data, you can begin to source preferentially from lower-emission companies and encourage suppliers to adopt practices that reduce their carbon footprints.

Unlocking Climate Progress Through Carbon Accounting

The apparel industry has a vital role to play in the global effort to reduce greenhouse gases. To decarbonize effectively, clothing companies must first understand the activities and materials that drive their emissions. That includes emissions from suppliers, downstream management, and end-of-life treatment of products — which are key contributors to the industry’s emissions profile. Carbon accounting software can help, by facilitating communication with suppliers and streamlining the carbon accounting process — ultimately accelerating progress towards climate goals. 

Ready to calculate your emissions? Get started with the free tier of Persefoni’s carbon accounting platform.