As global fashion faces new green supply-chain regulations, clothing manufacturers in Bangladesh are looking to major international brands for support. The European Union’s Corporate Sustainability Due Diligence Directive (CSDDD), enacted in July, mandates corporations to ensure sustainable practices in their global value chains, particularly in worker rights and emissions.

Abdullah Hil Rakib, managing director at Bangladesh's Team Group, emphasized the need for collaboration with global buyers to achieve green transition goals amidst Bangladesh's political shifts following recent protests over job crises. The CSDDD aligns corporate practices with the Paris Agreement, requiring brands to ensure their suppliers protect labor rights and the environment.

The directive presents an opportunity for suppliers to negotiate better contracts, though challenges remain. Rakib estimates that suppliers will need to invest an additional 20 per cent to 30 per cent to meet sustainability standards. The transition requires legal reforms in manufacturing countries, complicating compliance for brands and suppliers.

Despite their differing capacities to adapt, industry experts highlight the need for a shared responsibility between brands and suppliers to meet the CSDDD’s requirements. The Apparel Impact Institute estimates the fashion industry must invest over $1 trillion to transition to net-zero emissions by 2050. Union leaders stress the importance of establishing clear channels for addressing labor rights violations as these regulations are implemented, urging support for workers facing climate-related challenges in garment-producing countries like Bangladesh.