Europe’s Textile Market Thrives on Sustainability, Innovation, and Regional Collaboration

European textile market was valued at $260 billion in 2024 and is projected to reach $403.2 billion by 2035, growing at a CAGR of 4.2% during the forecast period (2025–2035). The European textile industry is propelled by increasing emphasis on sustainability, robust regulatory frameworks supporting green production, increasing consumers' demand for ethical origins and durable products, and technologies enabling circular economy practices and efficient resource utilization. 

Browse the full report description of “European Textile Market Size, Share & Trends Analysis Report by Material (Cotton, Jute, Silk, Synthetic, Wool, and Others (Linen)), and by Application (Fashion and Clothing, Industrial/Technical, and Defense and Household), Forecast Period (2025-2035)” at https://www.omrglobal.com/industry-reports/european-textile-market

In addition, expanding digitalization across design, manufacturing, and supply chain management is enhancing efficiency and individualization prospects. Increased investment in advanced materials, recycling plants, and light-impact manufacturing processes is also driving the market growth. According to the European Commission, the Smart Regional Investments in Textile Innovation programme unites EU regions, clusters, research institutions, and public authorities to develop and streamline Europe's textile and clothing sector, made up of 143,000 SME companies employing 1.3 million employees. 

Responsible for providing nearly a quarter of EU textile and apparel jobs, the program has its eyes on reducing reliance on low-cost, far-off imports through regional innovation, high-tech production, sustainable product development, and circular economy values. With a quadruple-helix strategy, it promotes inter-regional collaboration, investment in emerging technologies, cross-industry value chains for technical textiles, digital fashion, AI-driven design, automation, and personalized products with the vision of making the EU textile industry a competitive global and future-proof industry by 2025.

Key Market Developments

• In December 2024, the EU Green Deal and related regulations are reshaping the textile industry by driving it toward a circular, sustainable, and socially responsible model. Key measures like the Eco-design and Sustainable Products Regulation (ESPR) promote durability, recyclability, and waste reduction; the Corporate Social Due Diligence Directive (CSDDD) enforces ethical and transparent supply chains; and the Corporate Sustainability Reporting Directive (CSRD) requires large companies to disclose their environmental and social impacts. While these rules encourage innovation, accountability, and reduced environmental harm, they also pose challenges such as complex global supply chains, high compliance costs, and data management issues. 

• In February 2023, the RegioGreenTex initiative, a three-year European project aimed at transforming textile waste into value and accelerating the circular economy in the EU textile sector. Led by EURATEX and supported by 43 partners across 11 regions, including 24 pioneering SMEs, the project addresses key bottlenecks in textile recycling—covering sorting, contaminant removal, fibre recovery, and processing into new materials. By promoting the development of five regional ReHubs, RegioGreenTex seeks to reshore production, enhance competitiveness, create jobs, and support EU Green Deal goals on carbon, energy, and water reduction. Backed by the European Commission through the Interregional Innovation Investments (I3) instrument, the project also strengthens interregional collaboration, helping SMEs scale innovative solutions and foster sustainable business models across Europe.

Market Coverage

• The market number available for – 2024-2035

• Base year- 2024

• Forecast period- 2025-2035

• Segment Covered- 

o By Material 

o By Application 

• Competitive Landscape - Aditya Birla Group, Aquafil S.p.A., Lenzing AG, Marzotto Group, Prada, among others.

Key questions addressed by the report.

• What is the market growth rate?
• Which segment and region dominate the market in the base year?
• Which segment and region will project the fastest growth in the market?
• Who is the leader in the market?
• How are players addressing challenges to sustain growth?
• Where is the investment opportunity?

European Textile Market Report Segment

By Material

• Cotton
• Jute
• Silk
• Synthetic
• Wool
• Others (Linen)

By Application 

• Fashion and Clothing
• Industrial/Technical
• Household

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