A new report ordered by the European Branded Clothing Alliance (EBCA) and produced by Oxford Economics put the huge economic influence of Europe’s fashion industry in the spotlight. Speaking on behalf of more than 75 leading brands owned by 14 multinational groups, EBCA released the results at a Brussels high-level policy conference, with industry representatives and EU policymakers coming together to map the future of European fashion.
According to the study, the fashion industry contributes US $ 383 billion annually to the EU’s GDP—nearly 2% of the bloc’s total economic output. This includes a direct contribution equal to 8.5% of the EU’s retail and trade sector. The sector’s influence stretches even further: for every US $1.16 in gross value added (GVA) generated directly by the industry, an additional US $ 5.81 in GVA is stimulated across related sectors.
Isabelle Maurizi, Director General of EBCA, stressed that the numbers make clear the strategic significance of the branded fashion sector to the economy of Europe. She explained that these statistics highlight the industry’s pivotal role in fostering jobs, competitiveness and innovation within the EU/ Maurizi added that they are dedicated to supporting a trade policy that promotes sustainability, predictability and an enhanced global representation for European consumers and brands.
The research showed that branded apparel contributes to a dominant 80% of EU apparel retail, solidifying its position as a leader in the consumer market. The EU is also a global leader as the world’s largest importer and second-largest exporter of clothing, shoes and bags.
Apart from economic influence, the sector also carries a substantial labour footprint, with women accounting for close to 63% of employees. EBCA pointed out that such statistics not only show the magnitude of the sector, but also its capacity to spearhead the shift to more sustainable, responsible and inclusive business models.
The report is timely as the EU is facing the twin pressure of green transformation and economic resilience. For fashion, the message is simple: it’s not merely a matter of style—it’s about strategy, sustainability and building the future of Europe’s economy.
