Canopy Hot Button Progress Report 2026 Tracks Growth in Next Generation Fibres

Green Shirt producers increase to 79% as Next Gen fibre product lines expand amid supply chain uncertainties

Environmental nonprofit Canopy has released its Hot Button Progress Report 2026, highlighting progress among man-made cellulosic fibre (MMCF) producers while pointing to the need for greater adoption of Next Generation fibres.

Released on September 22, 2026, the streamlined update follows the tenth edition of the annual Hot Button Report released last year. Canopy said the 2026 progress report also prepares the sector for a full revision of the Hot Button criteria in 2027.

Green Shirt Producers Reach 79%

Canopy’s Hot Button assessment uses a shirt-colour rating system to help brands evaluate MMCF supply chains. Producers are assessed on their efforts to eliminate Ancient and Endangered Forests from their supply chains and their progress towards more circular inputs.

In the 2026 update, 22 of 28 producers achieved Green Shirt status, taking the share of Green Shirt producers to 79%, compared with 70% in 2025.

Next Gen Fibre Lines Continue to Expand

The report also records an increase in the number of Next Gen fibre product lines available in the market.

Next Gen fibres use alternative feedstocks such as recycled textiles, agricultural residues and certified bamboo, rather than forest pulp. The number of such product lines has increased from 16 in 2025 to 20 in 2026.

Chinese producers account for 12 of the 20 Next Gen product lines currently on the market.

Supply Chain Pressures Add Urgency

Canopy said the progress comes as forest fires, extreme weather, tariffs and geopolitical uncertainties create additional pressure on conventional forest-based fibre supply chains.

Nicole Rycroft, Founder and Executive Director of Canopy, said:

“The Hot Button Progress Report 2026 update shows that MMCF producers have built real capacity for a more resilient, circular future,” said Nicole Rycroft, Founder and Executive Director of Canopy. “Forest fibre supply is becoming less and less reliable every year because of climate change, regulations, and geopolitical uncertainties. Brands and producers need to shift meaningful volume to Next Gen fibres in order to future-proof their supply chains. Economic modelling reinforces that acting now is a no-regret pathway.”

Hot Button Criteria to be Revised in 2027

Canopy plans to introduce a full update to the Hot Button criteria in 2027, following extensive consultation with producers, brands and other stakeholders across the supply chain.

The revised criteria are intended to reflect developments across the sector following a decade of progress tracked through the Hot Button assessment.