The fashion industry is bracing for a turbulent 2026 as the effects of climate change continue to disrupt global supply chains. What was once a distant threat is now a harsh reality, with extreme weather events, shifting trade policies, and new regulations reshaping the business landscape. The key question for fashion brands and retailers is: how can they build resilience in the face of these mounting challenges?
Tariffs, Taxes, and Unpredictability
One of the biggest factors shaping fashion's supply chains in 2026 will be the lingering impact of tariffs. As Vogue reports, the sweeping tariffs imposed by the Trump administration in recent years have led to a major restructuring of global sourcing patterns. Apparel companies have been forced to diversify their supplier networks, relocate production, and renegotiate agreements - and this trend is likely to continue even if specific tariff rates shift.
"In 2026, even if specific rates change, tariff-driven sourcing strategy will likely remain a core agenda item," says Mark Burstein of Inspectorio. "The risk of change has become as important as the rate itself."
Climate Chaos Hits Home
But the bigger long-term threat looming over fashion's supply chains is the accelerating climate crisis. As Business of Fashion reports, fashion is already feeling the heat - from dangerous working conditions in factories during extreme heat waves to devastating floods wiping out critical raw materials like cotton.
The latest State of Fashion report found that 46% of industry executives expect conditions to worsen in 2026, up 8 percentage points from the previous year. "With the current state of the world, a prudent approach is to expect the unexpectable," says Ranjan Mahtani of Epic Group.
Adapting for Survival
The big challenge for fashion brands in 2026 will be shifting from short-term reactions to long-term preparation and resilience-building. This means looking at sustainability not just as a PR opportunity, but as a core business strategy.
"Survival is fashion's next big climate challenge," as Business of Fashion's Sarah Kent writes. "With efforts to avert climate crisis just limping along, the industry needs to brace for a harsh new reality."
The fashion leaders who come out on top in 2026 will be those who can anticipate and adapt to the mounting risks, rather than relying on quick fixes. It's time for the industry to get real about the gravity of the climate crisis - and start taking bold action to future-proof their businesses.