Where are we with the fashion sustainability reforms in italy? Something seems to be shifting, but not enough

The Italian fashion and textile industry is undergoing a phase of deep transformation driven by factors affecting both consumers—who are experiencing real greenwashing fatigue (and are therefore showing a general decline in interest on the topic)—and companies, which over the past year have turned to greenhushing (for fear of backlash, they refrain from communicating their sustainability projects to the public). The number of fashion brands actively working toward circularity and transparency has decreased, yet those that remain are showing signs of maturity both in Italy and abroad. For Made in Italy, new legislation has been introduced in recent months to promote more sustainable and resilient production models, alongside public and private initiatives for decarbonization and circularity—marking a long-awaited, concrete step toward a more responsible supply chain. It seems that, to protect itself from the ongoing crisis, fashion has once again begun to talk about responsibility—this time with greater awareness.

Unicredit wants to decarbonize Italy’s textile sector

Unicredit has recently announced a new partnership with IvyDecarb, a company specialized in emission reduction for the manufacturing industry, aimed at promoting the decarbonization of Italy’s textile sector. Decarbonization refers to the reduction of carbon dioxide emissions produced by human activities—a process that seeks to make production systems more climate-neutral. The collaboration between Unicredit and IvyDecarb will provide Italian textile manufacturers with a platform that connects producers, buyers, machinery suppliers, and financial institutions to find sustainable solutions and initiate an ecological transition. Through IvyDecarb’s marketplace, Unicredit will also offer consulting services and financing to support investments across the entire supply chain.

Circular fashion in Milan

Last Monday marked the opening of Milano Circolare, an event organized by the City of Milan in collaboration with Musa Spoke 5, dedicated to innovation and research in sustainable fashion and design. Industry professionals, startups, universities, institutions, and citizens came together to discuss the future of the Italian supply chain. Among the most significant projects presented was the Circular Catalog—a digital platform accessible to all companies, startups, and nonprofits offering services focused on sustainability—as well as a three-year program of funding initiatives, provided by the City, for emerging businesses and innovative projects in the sustainability field.

And the Made in Italy law?

On the regulatory front, Italy is finally defining a clearer framework for the protection and transparency of the Made in Italy label. After months of discussion, the Senate’s IX Commission recently approved the first package of measures dedicated to the fashion sector as part of the annual Small and Medium Enterprise Bill. The measure introduces a new voluntary certification system for companies within the supply chain, aimed at ensuring legality, traceability, and compliance throughout the production process—from lead companies down to subcontractors. This step seeks to strengthen the reputation of the Italian fashion system, currently challenged by phenomena such as ultra fast fashion and unregulated outsourcing. The certification, issued by authorized entities, will allow companies to prove compliance with ethical and labor standards, with periodic inspections and the creation of a public register under the Mimit. It represents an important signal that goes beyond the simple “Made in Italy” label, aiming to build a truly transparent, sustainable, and legally sound supply chain—one in which the quality of products aligns with the social and environmental responsibility of those who produce them.