Crude Couture: Fashion Brands' Continued Links to Russian Oil

The report finds that major polyester producers in India and China have deepened their reliance on Russian oil, while most fashion brands have failed to sever these links or provide transparency regarding their supply chains. It argues that the industry's shift toward recycled polyester from PET bottles is a 'false solution' that fails to address microplastic pollution or the underlying fossil fuel dependency.

• Major polyester producers have increased their imports of Russian crude oil. In March 2023, India became the largest buyer of Russian seaborne crude, with Reliance Industries and Nayara Energy accounting for 52% of those imports. China's imports from Russia rose by 11.7% year-on-year, with Hengli Petrochemical receiving 6.44 million barrels of Russian crude in May 2023.
• Fashion brands show minimal effort in cutting ties with Russian oil suppliers. Out of 43 brands surveyed, only 13 responded to questions about Russian oil links, and only four (Esprit, G-Star RAW, Hugo Boss, and Tesco) claimed to have taken steps to sever ties. Esprit and G-Star Raw were the only ones to substantiate these claims.
• Many brands use a lack of supply chain visibility as a justification for inaction. Asda, C&A, and Zalando cited challenges in tracing the origin of fossil fuels or mapping fibre sources to the raw material level to explain why they have not severed ties with contentious suppliers.
• The fashion industry is at risk of sourcing polyester derived from coal. Hengli has invested $20 billion in a coal-to-polyester project in Shaanxi province, expected to be operational by the end of 2025, potentially affecting over 30 brands that source from the company.
• The industry's strategy of shifting to recycled polyester is described as a 'false solution' because 99% of recycled polyester comes from PET bottles. This disrupts bottle-to-bottle recycling loops and does not solve the problem of microplastic pollution during the use and end-of-life phases of clothing.
• Climate targets within the fashion sector often lack the rigor recommended by the UN High Level Expert Group (HLEG). Many brands rely on Science Based Targets initiative (SBTi) validation, which the report criticizes for allowing intensity targets rather than absolute reductions and failing to mandate a timeline for phasing out fossil fuels.
• Ultra-fast fashion brand Shein has strengthened its links to Russian oil through a May 2023 strategic partnership with Reliance Industries. Given that polyester makes up 64% of Shein's material mix, the report suggests a significant portion of its products may be derived from 'conflict oil'.

APA

Trunk, U., & Urbancic, N. (2023). Crude Couture: Fashion Brands' Continued Links to Russian Oil. Changing Markets Foundation. https://changingmarkets.org/wp-content/uploads/2023/12/Crude-Couture-Final.pdf

Chicago

Trunk, Urska, and Nusa Urbancic. Crude Couture: Fashion Brands' Continued Links to Russian Oil. Changing Markets Foundation, 2023. https://changingmarkets.org/wp-content/uploads/2023/12/Crude-Couture-Final.pdf.

Wikipedia

{{cite report |last1=Trunk |first1=Urska |last2=Urbancic |first2=Nusa |title=Crude Couture: Fashion Brands' Continued Links to Russian Oil |publisher=Changing Markets Foundation |date=December 2023 |url=https://changingmarkets.org/wp-content/uploads/2023/12/Crude-Couture-Final.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{trunk2023crude, author = {Trunk, Urska and Urbancic, Nusa}, title = {{Crude Couture: Fashion Brands' Continued Links to Russian Oil}}, institution = {Changing Markets Foundation}, year = {2023}, month = dec, url = {https://changingmarkets.org/wp-content/uploads/2023/12/Crude-Couture-Final.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }