Australia's first Clothing Smart Factory feasibility study has been commissioned to establish a technology-enabled garment manufacturing facility in New South Wales (NSW), designed to bring onshore clothing production back for Australian brands. The purpose-built manufacturing incubator will allow brands to test ideas, conduct research and development, and run small-scale production at a scale and cost that is currently unviable onshore. The Australian Fashion Council (AFC) has commissioned the study, supported by Epson and Investment NSW.
- The study will deliver a blueprint for a smart factory in NSW, assessing market demand, technical requirements, workforce and skills, financial modelling, and opportunities for government and industry co-investment.
- The facility will investigate a Cut, Make and Trim (CMT) setup equipped with digital pattern making, digital textile printing, computer numerical control (CNC) cutting, automated production line machinery and advanced finishing technologies.
- A research consortium of RMIT, Swinburne University of Technology and University of Technology Sydney has been formed to combine deep expertise across advanced manufacturing, textile technology and the emerging skills needed to power the fashion industry's digital transformation.
- Backed by Epson and Investment NSW through its Fostering Innovation Sponsorship Program, the study is expected to be completed in late 2026, ahead of an AFC industry launch event.
THE POLICY PUSH: The Clothing Smart Factory feasibility study is directly aligned with the NSW Government's Fashion Sector Strategy, which identifies advanced manufacturing as a state priority and signals strong government appetite for sectoral investment. The study is backed by two government portfolios: Investment NSW through its Fostering Innovation Sponsorship Program, and the NSW Government's Fashion Sector Strategy, reflecting a coordinated approach between industry and government to develop a viable, technology-enabled manufacturing model for Australian brands.
- The NSW Government's Fashion Sector Strategy signals strong appetite for investment in the sector and has been identified as a state priority, directly informing the smart factory initiative.
- Investment NSW administers the Fostering Innovation Sponsorship Program, through which public funding for the feasibility study has been formalised.
- Anoulack Chanthivong MP, NSW Minister for Innovation, Science and Technology, said the government is proud to support initiatives that keep fashion and textile manufacturing in New South Wales.
WHO IS INVOLVED: Three of Australia's leading universities have joined the feasibility study as a research consortium, combining expertise across advanced manufacturing, textile technology and the emerging skills required to support next-generation clothing production in Australia. RMIT, Swinburne University of Technology and University of Technology Sydney are combining deep expertise to shape a smart factory model that is genuinely viable for Australian brands.
- RMIT's School of Fashion and Textiles brings expertise in design, enterprise and technology, with staff working across practice and research as designers, technologists and industry leaders.
- Swinburne's contribution centres on artificial intelligence manufacturing, building on recent institutional investment in fashion technologies.
- UTS will lead the Workforce Analysis component of the study, drawing on its expertise across the creative industries.
SCOPE AND BLUEPRINT: The feasibility study will assess the full range of requirements for establishing a Clothing Smart Factory in New South Wales, delivering a blueprint that covers market demand, technical requirements, workforce and skills, financial modelling, and opportunities for government and industry co-investment. The completed blueprint will be presented at an AFC industry launch event.
- The smart factory will investigate a CMT facility configuration, examining how core garment construction stages can be delivered at viable scale and cost for Australian brands.
- Digital pattern making, digital textile printing, CNC cutting, automated production line machinery and advanced finishing technologies are among the capabilities the facility will explore.
- Epson, the AFC's strategic print and projection partner, is supporting the digital textile printing capability within the study, bringing its technology and expertise to the project.
THE NATIONAL PICTURE: The Clothing Smart Factory is one pillar in the AFC's wider effort to rebuild Australia's fashion ecosystem from design through to manufacturing and global market access. The AFC's longer-term ambition extends beyond a single facility in New South Wales, with a scalable, replicable model intended to underpin a national network of smart factories over the coming decade.
- The smart factory initiative sits alongside the AFC's work across Australian Fashion Week, Global Gateways export development, workforce capability and the National Manufacturing Strategy.
- Australia has significant design talent but has watched clothing manufacturing capability move offshore over decades, creating the gap the smart factory initiative is designed to address.
- The AFC's longer-term ambition is a scalable, replicable model that could underpin a national network of smart factories, extending advanced clothing manufacturing capability across Australia over the coming decade.
WHAT THEY SAID
The NSW Government is proud to support initiatives that keep fashion and textile manufacturing right here in New South Wales. A clothing smart factory has the potential to create skilled local jobs, strengthen our advanced manufacturing base and broaden our innovation ecosystem. This feasibility study is an important step in building the networks across academia and industry to enhance our manufacturing expertise and competitiveness in this sector.
— Anoulack Chanthivong MP
NSW Minister for Innovation, Science and Technology
NSW Government
Australia has extraordinary design talent, but for decades we've watched our clothing manufacturing capability move offshore. If we're serious about building a globally competitive fashion industry, we need the infrastructure to support it. This feasibility study is our blueprint; bringing together industry, government and Australia's leading universities to explore a new model for advanced, on-demand production. We're building the case for long-term investment in sovereign manufacturing, future skills and local production.
— Sam Delgos
General Manager
Australian Fashion Council
Epson is once again proud to support the Australian Fashion Council on another important initiative. Digital textile printing is transforming how garments are designed and made, reducing waste and water use while enabling local, on-demand production. We are delighted we can bring our technology and expertise to a project that will reshape the future of Australian fashion manufacturing.
— Craig Heckenberg
Managing Director, Epson Australia and New Zealand
Epson
RMIT's School of Fashion and Textiles is proud to bring our expertise in design, enterprise and technology to this nationally significant project. Our staff work at the intersection of practice and research, as designers, technologists and industry leaders, and that experience is central to shaping a smart factory model that is genuinely viable for Australian brands. We're excited to partner with the AFC and our consortium partners to help build a funding model that is sustainable and scalable, and to ensure this facility reflects the ethical, sustainable and regenerative practice our industry needs for the future.
— Dr Alice Payne
Professor and Dean, School of Fashion & Textiles
RMIT
On-demand and hyper-personalised fashion represent a significant opportunity for Australia's creative and manufacturing economies. Swinburne University of Technology is proud to be working with the Australian Fashion Council and the consortium university partners to contribute our expertise in artificial intelligent manufacturing and build on our recent investment in fashion technologies. This study is an important step towards supporting the future of advanced fashion manufacturing in Australia.
— Professor Blair Kuys
Executive Dean, School of Design and Architecture
Swinburne University of Technology
UTS is committed to supporting our world-leading creative industries grow and innovate through ethical and sustainable practices, which is why we are proud to partner with RMIT and Swinburne Universities on this project. This is a significant milestone of the NSW Fashion Sector Strategy, and UTS will build upon our expertise to complete the Workforce Analysis.
— Professor James Bennett
Dean, Faculty of Design & Society
University of Technology Sydney
