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Industry Talk

Coats nears 50% sustainability milestone

Company approaches key tipping point in sustainable material use.

13th March 2025

Knitting Industry
 |  London

Knitted Outerwear

Coats Group plc, the world’s leading manufacturer of thread and structural components for apparel and footwear, is on track to exceed 50% use of sustainable materials in its products. In 2024, the company increased its use of natural and recycled materials to 46%, significantly reducing its reliance on virgin oil-based inputs.

According to Coats’ latest sustainability report, the company has made strong progress in its five key targets: materials, energy, water, waste, and people. Coats has also reduced its operational carbon footprint by 51% since 2022, equivalent to removing 78,000 cars from the road. This aligns with the company’s broader commitment to sustainability, with an aim to use 60% recycled materials by 2026 and fully transition away from virgin oil-based materials by 2030.

According to Coats, the global sustainable fashion market is expected to reach $33 billion by 2030, reflecting the growing consumer demand for eco-friendly products. Coats has responded by increasing its revenue from 100% recycled thread products by 144% to $405 million in 2024.

To drive further innovation, Coats has established three Innovation Hubs in America, Turkey, and China, and a state-of-the-art Sustainability Hub in Madurai, India. These centres are dedicated to developing next-generation materials and reducing environmental impact.

Coats’ sustainability efforts are also highlighted in Threads of Change, a documentary by award-winning filmmaker Craig Leeson. The film showcases the company’s progress in sustainable textiles and its strategy to gain a competitive advantage through innovation.

David Paja, CEO of Coats Group, commented: “Sustainability is at the heart of Coats’ DNA and business strategy. By connecting talent, textiles, and technology, we demonstrate that innovation-led sustainability benefits both the planet and business.”

David Paja, CEO of Coats Group. © Coats Group plc

Coats continues to improve energy efficiency, achieving a 51% reduction in carbon emissions since 2022. The company now sources 74% of its electricity from renewables, with a goal of reaching 100% by 2030. Water recycling has also increased by 14%, with targets set to recycle a third of all water used by 2026.

The company has significantly reduced waste disposal, cutting landfill waste by 87% from 2022 levels. It is on course to become a zero-to-landfill business by the end of 2025 and has achieved a 99.8% compliance rate with the Zero Discharge of Hazardous Chemicals (ZDHC) standards.

Coats is also advancing diversity and workplace satisfaction. In 2024, 95% of its workforce was covered by Great Place to Work certification, and it reached its target of 30% female representation in senior leadership ahead of schedule. The company now aims to increase this to 40% by 2030.

Chris Dearing, Sustainability Director at Coats Group. © Coats Group plc

Chris Dearing, Sustainability Director at Coats Group, said: “As we near the 50% milestone for sustainable materials, we are witnessing a transformative moment for Coats and the industry. Sustainability is no longer optional - it is a fundamental shift shaping the future of textiles.”

www.coats.com

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