How Can Fashion Become Truly Circular? | BoF VOICES 2021

Summary

The Allen Cath Foundation's book on circular design highlights the importance of transitioning from a linear to a circular economy in fashion. The three core principles of circular design include eliminating waste, extending product and material life cycles, and regenerating natural systems, all powered by renewable energy. This shift is crucial for sustainability, as the current economy results in significant GHG emissions and biodiversity loss. The potential economic opportunity in circular fashion is vast, estimated at $700 billion by 2030. Challenges remain, including systemic change, design innovation, and infrastructure for recycling, but the transition is necessary for a sustainable future.

Takeaways

• 🔄 **Circular Design Principles**: The concept of circular design in fashion revolves around three main principles - eliminating waste and pollution through design, circulating products and materials for as long as possible, and regenerating natural systems.
• 🌱 **Renewable Energy Integration**: For a circular economy to be sustainable in the long term, it must run on renewable energy, affecting not just the fashion industry but also the technology and automotive sectors.
• 🚫 **Waste Reduction**: The fashion industry, known for its creativity, has a significant opportunity to reduce waste by rethinking its business models and product lifecycles.
• 🌐 **Economic Impact**: Shifting to circular business models could create a $700 billion economic opportunity by 2030, highlighting the potential for systemic change in the fashion industry.
• 🔄 **Product Lifecycle**: The importance of designing products that can be easily reintegrated into the system at the end of their useful life is emphasized, to prevent them from ending up in landfills or being incinerated.
• 💡 **Innovation and Collaboration**: The transition to a circular economy requires innovation, collaboration across the entire value chain, and a mindset shift from traditional linear models.
• 🛍️ **Consumer Behavior**: The way the economy functions can influence consumer behavior, making them part of the solution rather than the problem in terms of waste and pollution.
• 🌿 **Regenerative Agriculture**: The fashion industry can contribute to regenerative agriculture by using cotton grown in ways that enhance biodiversity and enrich the soil.
• 🔧 **Challenges in Implementation**: The complexity of designing for a circular economy is acknowledged, with the need for a holistic approach that considers cultural and territorial differences.
• 🎯 **Education and Material Science**: The role of education and material science in developing innovative materials that fit within a circular system is crucial for the success of the circular economy.
• 💼 **Investment and Policy**: The availability of funds for circular economy initiatives is mentioned, with the need for these investments to be directed towards the right projects and for policy changes to support the transition.

Q & A

What are the three principles of circular design mentioned in the transcript?

The three principles of circular design are: 1) Eliminate waste and pollution through design, 2) Circulate products and materials for as long as possible, and 3) Regeneratively restore natural systems, all while running on renewable energy.

How does the circular economy approach differ from the traditional linear economy?

The circular economy approach focuses on designing out waste and pollution, keeping products and materials in use, and regenerating natural systems through renewable energy. This is in contrast to the traditional linear economy, which is based on a 'take-make-dispose' model that often leads to resource depletion and environmental degradation.

What is the significance of renewable energy in the context of circular design?

Renewable energy is crucial in the context of circular design because it ensures that the entire system, including the fashion, technology, and automotive economies, can operate sustainably in the long term without depleting finite resources or causing environmental harm.

How does the circular economy relate to tackling the climate crisis?

The circular economy addresses the climate crisis by reducing greenhouse gas (GHG) emissions from the way products are made and used, which accounts for approximately 45% of all GHG emissions. By transforming the economy to be circular, it can contribute to mitigating climate change and preserving biodiversity.

What is the potential economic opportunity in the global fashion market through circular business models?

The potential economic opportunity through circular business models in the global fashion market is estimated to be between $700 billion to $3,700 billion by 2030, representing 23% of the global fashion market.

Why is it important for products to be designed for circularity?

Designing products for circularity is important because it ensures that products can be reused, repaired, and recycled, thus keeping materials in use and reducing waste. This aligns with the principles of circular design and contributes to a sustainable and regenerative economy.

What challenges does the fashion industry face in implementing circular business models?

The fashion industry faces challenges such as skepticism from traditional luxury brands, the complexity of designing for circularity across different products and territories, and the need for systemic change that involves coordination across the entire value chain and policy landscape.

How can the fashion industry's interaction with its customers or users change under circular economy principles?

Under circular economy principles, the fashion industry's interaction with its customers can shift from a transactional model to a relational one, where customers engage in rental, resale, or subscription services, and become part of a system that values product lifecycle and sustainability.

What is the role of digital transformation in enabling the circular economy?

Digital transformation plays a vital role in enabling the circular economy by facilitating the tracking, sharing, and management of product lifecycles, as well as enabling new business models like online platforms for rental, resale, and other circular services.

How does the concept of 'access over ownership' fit into the circular economy?

The concept of 'access over ownership' is central to the circular economy as it encourages business models that provide access to products and services without the need for consumers to own them. This reduces the overall demand for new resources and extends the life of products, aligning with the circular design principles.

What are some of the barriers to implementing circular design in the fashion industry?

Barriers to implementing circular design in the fashion industry include the need for new material science innovations, challenges in designing products that can be easily recycled or repaired, the cultural and logistical complexities of product recovery systems, and the need for systemic change in business models and policy frameworks.