Apparel Impact Institute (Aii) launched the Energy and Carbon Benchmark, a novel tool intended to reduce the fashion industry’s outsized carbon footprint. Unlike existing tools and methodologies, Aii’s Benchmark allows the calculation of process-level performance – distinguishing between facilities that perform singular and multiple types of processing on-site – to establish consistent metrics and drive collective progress toward industry-wide decarbonization.
Apparel sector emissions increased nearly 8% in 2023 from the year before, representing close to 2% of global greenhouse gas (GHG) emissions according to Aii’s 2025 annual update on the industry’s progress. This marks the first significant increase in the industry’s emissions since Aii began its tracking, underscoring the need for a unified, total-value chain approach for addressing fashion’s environmental impact.
Aii’s Benchmark facilitates progress by providing transparent, independent data to better analyze production across textile suppliers, like tailored benchmark figures for facilities based on energy sources, material types, and processes. Other capabilities include total factory energy use and emissions profiles, data for individual departments, and performance tracking over time with comparisons across facilities and regions.
“This benchmarking tool helps suppliers to objectively determine where they are in their sustainability journey, which in turn can support further cost-effective interventions, resulting in more effective energy solutions, improved efficiency, and decreased emissions. By communicating supplier performance to brands, Aii’s tool will help the industry to further recognize the importance of suppliers in apparel’s net-zero journey, resulting in additional and effective support and momentum for supplier decarboniation,” said Jimmy Summers, VP of Environment, Health, Safety, & Sustainability of Elevate Textiles.
By measuring the performance of supply chain partners, the Benchmark will encourage brands and suppliers to invest in decarbonization at the supplier level and drive increased incentive for supplier decarbonization efforts. Brands including H&M Group, AEO Inc, Gap, Target, J.Crew Group, PVH, and suppliers including Elevate and KPI Mills participated in the Benchmark pilot in late 2025, with growing participation from stakeholders across key apparel-producing regions.
“When it comes to industry decarbonization efforts, fashion historically hasn’t been able to clearly define what ‘good’ energy efficiency looks like. Aii’s Benchmark, created in partnership with the apparel sector, establishes those baselines backed by data. The Benchmark is a meaningful tool that accelerates brand and supplier decarbonization with transparency and clarity,” said Henrik Sundberg, Climate Impact Lead with H&M Group.
“This methodology provides a structured, quantitative and yet simple way for the fashion industry to assess energy use and carbon reduction opportunities. Ultimately, we hope that one day all suppliers, no matter how big or small, see the business value in tracking and communicating their carbon performance using this Benchmark. And in doing so, brands and financial institutions can respond accordingly with commitments and financial incentives to reward top performers and appropriately support those suppliers with significant improvement opportunities,” said Kurt Kipka, Chief Impact Officer, Aii.
Building upon existing data and tools, the Benchmark is informed by energy performance data from verified sources such as the Higg Index, technical experts, and direct mill assessments, and the foundational knowledge of Aii Climate Solutions Portfolio Advisory Council Member Phil Patterson. The tool was developed through an open, expert-led process with manufacturers, technical experts, and industry partners to reflect real operating conditions.