The World Business Council for Sustainable Development (WBCSD) has unveiled version 2 of the ‘Circular Transition Indicators (CTI) Sector Guidance: Fashion and Textile v2.0’, an updated and expanded guide designed to help fashion and textile companies measure, manage, and accelerate their transition to a circular economy.
- Building on the initial release of the CTI Fashion and Textile guidance in January 2024 at the World Economic Forum in Davos, version 2.0, released at the just-concluded Global Fashion Summit 2025, addresses sector-specific challenges with a sharpened focus on business value, impact, and regulatory readiness. It is the result of a multi-stakeholder collaboration with input from over 80 experts and organisations spanning the fashion and textile value chain.
The updated guidance, under the CTI Fashion Initiative, supported by the VF Foundation and co-led by WBCSD, VF Corporation, and Deloitte, supports companies in embedding circularity into every stage of business operations—from design and procurement to corporate KPIs—offering new and refined tools for implementation:
Key updates include:
- New guidance to support regulatory compliance readiness;
- Tailored indicators, design principles, and data strategies for various value chain stakeholders;
- An improved methodology for quantifying circular design;
- Enhanced strategies for regenerative resource inputs;
- A new framework for assessing the social impact of circular models.
The CTI Sector Guidance: Fashion and Textile v2.0 is now available for download at: https://www.wbcsd.org/resources/cti-sector-guidance-fashion-and-textile-v2-0/
WHAT THEY SAID:
Version 2.0 of the CTI Fashion and Textile guidance includes practical guidance to companies for data collection, mandatory reporting requirements under ESRS E5, quantitative assessment for circular design and a new methodology to measure social impact. Use of this guidance therefore strengthens business decision making as well as consistent, credible reporting which is so important for the sector. By measuring both circular and linear material flows, the CTI methodology helps companies evaluate risk, assess impact, and make informed decisions that also align with decarbonization and nature goals.
— Diane Holdorf
Vice President
WBCSD
The Circular Transition Indicators (CTI) framework aligns with upcoming regulatory requirements and helps companies more systematically link Circularity work to goals and initiatives focused on Climate, Nature and Circularity/Waste. CTI enables us to speak a common language, with the aim to measure progress through industry-wide KPIs.
— Jeannie Renné-Malone
VP. Global Sustainability
VF Corporation
