Decarbonising tier 2 – where textiles are dyed, treated and finished – is one of the most urgent challenges in the textile industry. These wet processes demand large amounts of energy and chemicals, generating high emissions and significant pollution. Yet suppliers face barriers such as high capital costs, fragmented standards and unclear technology pathways, creating a deadlock in adoption.

The Future Forward Factories (FFF) project, led by Fashion for Good and supported by Laudes Foundation, introduces a new approach: co-developing near net-zero blueprints with manufacturers, validating technologies on-site, and sharing learnings through open-source tools. The initiative also embeds equity, ensuring workers, communities and suppliers benefit from improved conditions and environmental outcomes.

Philanthropy has a unique role to play in unlocking transformation. By absorbing risk and catalysing early action, philanthropic capital can help bridge the gap between proven solutions and industry-wide adoption. This is why the H&M Foundation has joined Future Forward Factories – to act as a catalyst, giving brands, suppliers and investors the confidence to step in at scale and accelerate the shift towards near net-zero manufacturing.

Future Forward Factories goes beyond pilots – it addresses the systemic reasons why adoption often fails. Suppliers are burdened with overlapping requirements and fragmented standards, leading to ‘analysis paralysis’. This initiative simplifies the pathway by providing tangible tools, peer examples and a clear ROI case for change.

Christiane Dolva, Head of Innovation, Research and Demonstration, H&M Foundation

The five-year initiative combines two core elements:

1. A portfolio of blueprints co-created with manufacturers, and
2. Physical demonstration facilities to bring these solutions to life.

Both components are designed with a strong focus on replicability, just transition and measurable climate impact.

Open-source blueprints for sustainable manufacturing

At the heart of the project is the creation of open-source, modular blueprints for near net-zero tier 2 factories. These blueprints combine best-in-class low-impact processing technologies with renewable energy systems and resource-efficient practices.

Key features include:

• A technology validation tool, using on-site implementation data to compare new innovations with conventional processes.
• Proof points that assess environmental impact and commercial viability.
• Support for retrofits, helping existing factories adopt these solutions step by step.

The first set of seven blueprints will be tailored to different product categories and geographies, and made publicly available at the end of 2025. All findings will be shared via a digital, open-source toolkit designed to guide other manufacturers on their own transformation journeys.

Demonstrator facilities that prove it’s possible

To show what near net-zero looks like in practice, the project will also build full-scale demonstrator facilities in partnership with leading manufacturers. These sites combine advanced process technologies – such as (almost) dry treatments – with renewable energy and coal phase-out strategies, providing tangible evidence that sustainability and profitability can go hand in hand.

The first site is already underway in Gujarat, India, led by anchor partner Arvind Limited. Designed for cotton fabrics – both woven and knit, the facility is projected to reduce greenhouse gas emissions by up to 93%, and save around 60 litres of water per kilo of fabric.

Beyond this facility, Fashion for Good invites other manufacturers to collaborate in expanding the blueprint portfolio and testing new configurations adapted to local realities.

Measurable results and systemic potential

By combining real-world testing with open access to knowledge, Future Forward Factories aims to catalyse adoption across the industry. Expected outcomes include:

• 7 open-source blueprints for near net-zero factories
• 7 demonstrator facilities operating with significant emission reductions and water savings
• 60+ supplier transformations, adopting full or partial blueprints
• 100+ low-impact technology installations in tier 2 facilities

The approach is supplier focused and rooted in real-world constraints, increasing relevance and adoption. The project also embeds a just transition framework, ensuring that climate solutions also improve working conditions, protect local communities, and unlock new economic opportunities.

Join us in shaping the factory of the future

Future Forward Factories is an open invitation to the industry. Fashion brands, suppliers, investors and funders are encouraged to join this effort – to co-create blueprints, support demonstrator facilities, and help scale near net-zero manufacturing worldwide. If you are interested in partnering, please reach out to Fashion for Good or the H&M Foundation.