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Deadstock Reuse and Durable Design Feature in Circular Efforts by Portuguese Apparel Firms, Study Finds

A recent study examines how six Portuguese textile and clothing manufacturers are implementing circular business strategies. Findings highlight common practices such as using surplus materials and designing products for longevity. However, the study also notes the absence of service-based circular models like rental or take-back schemes among the companies profiled.

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31 July 2025
Long Story, Cut Short
  • A new study explores how six Portuguese textile firms are incorporating circular economy principles into operations.
  • Companies report reuse of deadstock materials and strategies to increase product life as common practices.
  • Service-based circular models such as clothing rental or subscriptions were not implemented by any firms studied.
Companies have supported their circular economy practices mainly through product life extension strategies (mostly based on durable product design) and resource use reduction strategies, with resource recovery being the most common
Durable Strategy Companies have supported their circular economy practices mainly through product life extension strategies (mostly based on durable product design) and resource use reduction strategies, with resource recovery being the most common. [Illustrative image] AI-Generated / Gemini

Portuguese textile firms are actively embedding circularity into core business functions, focusing on durability, material reuse, and sustainable sourcing. Though limited in scope, the study reveals how even small players are moving beyond linear production models. These strategies are shaping brand identity, operations, and consumer engagement in ways that challenge the conventions of fast fashion.

  • All companies studied used fabric surplus or waste to design new garments, especially through upcycling practices.
  • Durable design, timeless aesthetics and high material standards were reported across all six participating firms.
  • Product-as-a-service models like clothing rental or subscription were not implemented by any of the companies studied.
  • Several firms used product messaging and style choices to discourage short-term trend-driven consumption.

THE STUDY: The findings come from the article Circular Business Strategies in the Portuguese Textile and Clothing Industry, authored by Susana Bernardino, José de Freitas Santos and Margarida Silva from the Porto Accounting and Business School (ISCAP). Published recently in the journal Sustainability, the study analyses circular practices adopted by six apparel firms in Portugal, based on qualitative interviews.

THE TRIGGER: These insights stem from the study conducted between July and September 2022, based on qualitative interviews with six manufacturers. The companies, selected through a rigorous process, revealed how they embed circularity through product design, sourcing and reuse. The study documents their approaches through qualitative case analysis based on structured interviews.

  • All six companies operate in Portugal’s textile manufacturing sector and implement circular economy practices.
  • Thematic analysis was organised around three circular strategies: service-based, product life extension, and resource reduction.

CONTEXT FRAME: The study places the Portuguese case within broader industry developments, where resource reduction and extended product use are gaining relevance. Participating firms cited concerns about environmental impacts—particularly textile waste and fossil-based materials—but noted challenges in shifting beyond product-level change.

  • Firms reported avoiding polyester and plastics, including in packaging and labelling materials.
  • Some firms limited the number of collections to reduce overproduction and focus on seasonless design.
  • At least one firm stated that transport-related emissions were a factor in sourcing decisions.
  • The study noted an absence of product take-back or customer reuse programmes across all six firms.
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The study places the Portuguese case within broader industry developments, where resource reduction and extended product use are gaining relevance.
The Relevance The study places the Portuguese case within broader industry developments, where resource reduction and extended product use are gaining relevance. AI-Generated / Gemini

OTHER DETAILS: All six firms used leftover fabrics or surplus stock as inputs for new garments. This practice, described as a reuse-oriented circular strategy, was primarily implemented through upcycling. While some challenges were acknowledged—such as inconsistent fabric availability—firms treated this as part of their operational model.

  • Deadstock sources included both internal production leftovers and third-party surplus.
  • Upcycled garments sometimes involved only minor modifications to unsold items.
  • Companies used recycled fabrics in limited-edition or capsule-style collections.
  • Firms cited this strategy as contributing to waste reduction in day-to-day operations.

STRATEGIC SUBTEXT: Firms linked circular strategies to brand identity, such as minimalist design. While sustainability was a motivator, firms also cited product identity and design longevity as central to their approach. Several focused on producing versatile items with a longer useful life and discouraged short-term fashion cycles.

  • One firm used QR codes to provide care instructions aimed at extending garment life.
  • Educational outreach was conducted via brand newsletters and blogs.
  • Minimalist design was presented as a long-term style choice rather than trend-driven.
  • Products were positioned to emphasise durability and multi-season use.

YES, BUT: Despite evidence of circular strategies, none of the companies adopted service-based models such as clothing rental, repair services, or brand-managed resale. The study did not identify specific reasons for this, but the lack of such models was consistent across all firms interviewed.

  • No company reported offering garment repair or alteration services to customers.
  • Second-hand resale was not managed directly by any of the firms.
  • None had implemented product return or refurbishment schemes.
  • The study noted the focus was primarily on production-stage strategies.

THE WAY AHEAD: Interviewees mentioned potential projects, like repair initiatives, though none were operational at the time of the study. Some firms were exploring additional ways to reuse offcuts or production remnants. Expansion plans focused on in-house processes rather than customer-facing models. The study concludes that service-based strategies remained largely absent at the time of data collection, though some firms indicated interest in expanding circular efforts.

  • One firm indicated early-stage work on a repair project for children's clothing.
  • Some firms were exploring additional ways to reuse offcuts or production remnants.
  • Expansion plans focused on in-house processes rather than customer-facing models.
  • The study concluded that service-based strategies remained largely absent at the time of data collection, though some firms indicated interest in expanding circular efforts.
Circular Practices Snapshot
  • All six firms use leftover or surplus fabric as a key material input in their product design.
  • Garments are upcycled using internal scraps or third-party deadstock, depending on the business model and sourcing strategy.
  • Some unsold items are minimally modified with design tweaks and resold as part of a new collection.
  • Capsule collections created from recycled fabrics are used to highlight sustainable product lines without increasing waste.
  • Firms treat waste reduction as part of routine operations rather than a separate sustainability initiative.
What Firms Avoid
  • None of the six companies had adopted clothing rental, resale, or take-back models at the time studied.
  • No firm reported offering a repair or personalisation service for garments purchased by consumers.
  • Second-hand resale activities were not managed directly by the brands, only through external resale platforms.
  • Polyester and plastic materials were avoided across both product construction and product packaging.
  • b were absent, with companies focused on physical product strategies rather than usage models.
 
 
  • Dated posted: 31 July 2025
  • Last modified: 31 July 2025
 
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