Historically, the fashion industry—and its retail counterparts—has been more inclined to listen to its customers than Congress when it comes to charting a course, according to global end-to-end returns management solution provider ReturnBear.
“The real driving force behind sustainability in retail isn’t the White House; it’s the consumer,” said Katherine Lehman, ReturnBear’s chief marketing officer. “The effects of climate change can’t be ignored any longer, and the younger buying generation is taking note [as] shoppers are voting with their wallets. Regardless of the administration, brands that ignore this shift risk long-term brand erosion.”
While a second Trump term may yield a rollback of federal regulations or incentives supporting corporate social responsibility, Lehman said the momentum isn’t going to just vanish.
“When you look at the political and legislative landscape from a global perspective, there is still considerable market momentum toward circularity,” one anonymous source highlighted. “If anything, we’re seeing stronger interest this year in circularity programs that prioritize recycling in addition to reselling. Government regulation isn’t going to impact this customer—they’re already sold on the benefits of a more circular economy.”
While agreeing with Lehman that supply chain disruptions have increased uncertainty and complexity for brands, Canopy is not so sure of this repetition.
“Historically, this would have been the juncture where brands deprioritized sustainability commitments; but something different is happening now,” said Nicole Rycroft, founder and executive director of the global non-profit. “There’s a recognition that ‘take, make, waste’ production systems are increasingly unstable with floods, fires and other disruptions along with pricing volatility.”
That recognition is warranted, according to Liz Alessi. This is perhaps why the Tapestry executive turned circularity consultant is a “firm believer” in supply chain diversification. The idea, she continued, isn’t of a political nature.
“It could be a climate situation, right? Like there’s flooding here, or a global pandemic. Your supply chain is, unfortunately, affected by all these things,” Alessi said. “We just happen to be in a political landscape that’s changing things for us.”
While diversification is one way to fortify your supply chain, that may be easier said than done.
“Budget cuts might make sustainability more difficult, but, in my mind, it’s no reason to slow,” Rob Behnke, co-founder of fashion brand Fair Indigo, said. “In a way, it forces brands to take ownership of their ESG commitments.”
The biggest challenge, per Behnke, lies in sourcing sustainable materials at reasonable prices. “I’m worried the market might be taken over by cheaper, more unsustainable materials,” he continued. “This makes it really hard for ethical brands.”
It’s a valid concern.
“One of the biggest challenges ahead is how brands will navigate supply chain disruptions while maintaining trust with suppliers, investors and consumers. Uncertainty leads to hesitation, and hesitation delays the deployment of real solutions,” said Lewis Perkins, president of Apparel Impact Institute (Aii). “While some brands are proactively diversifying sourcing and strengthening partnerships, many are still reacting to change rather than shaping it.”
That said, Perkins continued, this moment presents an opportunity for ESG innovation. As long as brands are willing to engage.
“The bottom line: sustainability is no longer optional, but action is lagging,” Perkins said. “The future will belong to those who move beyond compliance and invest in solutions that drive measurable impact. The question is, who will step up?”
Online clothing alteration and repair service firm FXRY is doing its part. Their model is intentionally built around consumer needs and not regulations.
“The future of fashion isn’t about buying more; it’s about making what we already own last longer,” said FXRY’s founder and CEO, Calley Dawson. “If brands pull back from take-back and repair programs, more consumers will turn to independent solutions like ours.”
As these mandates shift, the 25-year industry veteran sees the future of efforts like circularity and take-back programs depending less on compliance and more on whether the brand sees sincere value in them. Sure, some will focus on the short-term and scale back, but others will see the long-term value and stay the course.
“Without regulatory pressure, the responsibility shifts to consumers to demand accountability,” Dawson continued. “This shift could make voluntary ESG commitments an even stronger competitive differentiator. If a brand abandons its sustainability initiatives the moment they’re no longer required, it signals that they were just a marketing play. But the companies that stay committed—regardless of policy—will stand out, proving that sustainability isn’t just a buzzword but a core business value.”
Dawson said this only reinforces the value that her company offers.
“For companies serious about sustainability, now is the time to prove it,” Dawson said. “The lack of regulation isn’t an excuse to slow down—it’s an opportunity to lead.”
This article appeared in SJ’s Sustainability Report. To download the entire report, click here.
