H&M, Lululemon back $250 million Fashion Climate Fund to decarbonise supply chain
The fund will help finance a range of initiatives including expanding the use of renewable energy, developing next-generation materials
Lululemon Athletica Inc and H&M Group are among backers of a $250 million fund aiming to speed up efforts to cut carbon emissions in the fashion industry's supply chain, non-profit group Apparel Impact Institute said on Wednesday.
Other early backers include the H&M Foundation and the Schmidt Family Foundation.
More are expected to be announced in the coming months, with the fund hoping to raise $10 million from each.
While many of the world's leading companies have committed to reaching net-zero emissions across their businesses by mid-century and to halving emissions by 2030, the Apparel Impact Institute said many large barriers remain.
A recent study it conducted with the World Resources Institute found 96% of the fashion industry's emissions come from third-party farms and factories used by multiple firms.
The fund will help finance a range of initiatives including expanding the use of renewable energy, developing next-generation materials, ditching the use of coal in manufacturing and improving energy efficiency.
