Adidas, H&M Group, Inditex (owner of Zara), and Bestseller have launched the Apparel Recovery Coalition (ARC) in partnership with Ghana-based nonprofit The Or Foundation. The coalition aims to combat secondhand textile waste and enhance circularity within the fashion industry by exploring producer responsibility systems. These frameworks require brands to manage their products' lifecycle after they are used by consumers.
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Over a two-year period, ARC plans to develop a business model that reflects global post-consumer textile patterns while encouraging collaboration among brands, recyclers, policymakers, and communities to create actionable solutions. The announcement came during an event at Kantamanto Market in Accra, Ghana, which is a major hub for sustainable fashion practices such as reuse and recycling, circulating approximately 25 million garments each month according to estimates from The Or Foundation.
One of the coalition's goals is to incorporate community perspectives in its governance and implementation strategies. The group, supported by nonprofit Circle Economy, builds on The Or Foundation's work over the past 15 years to develop Ghana's circular textile ecosystem, focusing on environmental justice and sustainable fashion.
The first demonstration project will occur in Accra, aimed at improving infrastructure, environmental conditions, and training programs. ARC plans to establish an additional project in another country that receives large amounts of secondhand clothing. The participating brands will provide voluntary financial contributions to support these circular economy initiatives.
As concerns grow about the environmental impact of fashion manufacturing, this coalition aims to foster evidence-based learning to inform stakeholders about strengthening post-consumer textile management systems. Inditex's recent sustainability report revealed a usage of 705,554 metric tons of raw materials, an increase from 678,596 metric tons in 2024, while H&M reported producing 364,093 metric tons in 2025, equivalent to the weight of 36 Eiffel Towers. The coalition plans to expand by involving other companies and stakeholders to tackle global textile waste challenges.