Common Threads Round Up #25
Slow few weeks on the fashion industry news front, but here's what we've been reading.
đď¸ Tuesday, August 12th 2025
Source: Business of Fashion
đ¸Shein fined âŹ1m in Italy for misleading environmental claims about products - The Guardian
Another day, another greenwashed slap on the wrist. Sheinâs been fined âŹ1 million by Italy for pretending its products were more eco-friendly than they actually are. Turns out, slapping a vague âecologicalâ label on fast fashion doesnât fly, especially when you canât back it up with proof. Italyâs competition watchdog said the claims were misleading and gave consumers the false idea they were making sustainable choices. Sheinâs response? A promise to do better. Sound familiar? Also âŹ1 million is a little paltry for a brand who was doing $10B.
Meanwhile, our other fast-fashion enemy Temu is on the struggle bus and Chinaâs fast fashion factories are feeling the heat as Trumpâs tariffs spark layoffs and a scramble to shift production.
đ Inside the Shadowy, Lucrative Business of âSuperfakeâ Luxury Handbags - WSJ
Superfakes are having a momentâand not just on Canal Street. The WSJ dives into the booming world of high-end counterfeits, where knockoffs are getting so good, even store employees are being fooled. This topic has been everywhere lately, and at first, we werenât sure it fit under the Common Threads lens. But hereâs the thing: with luxury prices soaring and tariffs stacking up, more and more people will turn to fakes. And while dupes might scratch the status itch short-term, they rarely last like the real deal. Which means more buying, more tossing, and yep more fashion waste. Sustainability isnât just about how things are made; itâs also about how long they last.
đ Hugo Boss Confident It Can Cushion US Tariff Blow - Business of Fashion
Hugo Boss is gearing up to absorb the impact of escalating US tariffs on China-made goodsâbut theyâre doing it by raising prices globally. CEO Daniel Grieder says the brand has been preparing for this scenario since 2022 by diversifying its supply chain, but even with those shifts, the costs are adding up.
Rather than passing the tariff burden solely onto US consumers, Hugo Boss will implement price increases across all markets starting Spring/Summer 2025. The rationale? Global inflation, rising production costs, and the desire to avoid singling out one region. They're also "closely monitoring" the situation in case further supply chain adjustments are needed.
In short: tariffs may be aimed at China, but your Boss blazer is about to get pricierâno matter where you are. Hereâs another article from BOF on how brands are thinking about price increases in response to tariffs.
Speaking of our favorite topic, tariffs, hereâs an update on where they stand as of now from Vogue Business.
đ EU brands turn to obscure customs clause to soften blow of Trump's tariffs - Reuters
On the topic of tariffs, some EU fashion brands are dodging Trumpâs new China tariffs using a little-known U.S. customs loophole: the âfirst saleâ rule. It lets importers calculate duties based on the original manufacturerâs priceânot the markup added by middlemenâeffectively lowering the tariff hit. It's legal, but complicated, and highlights how brands are scrambling to protect margins without hiking prices too fast.
Thatâs it for now! Until next week đ¤
Thanks for reading Common threads! Subscribe for free to receive new posts.