Prachi Khandelwal
Chanel has recently launched Nevold, a new venture dedicated to waste management and recycling in the fashion industry. This initiative is a strategic move to address the growing concern of fashion waste, which affects not only fast fashion but also luxury brands producing millions of units. Nevold aims to develop end-of-life solutions for textile offcuts, unused fabrics, and unsold products, building on Chanel’s investments in circularity and sustainability since 2019.
The Nevold venture consolidates three core companies: L’Atelier des Matières, a recycling agent connecting brands to optimized textile waste solutions; Filatures du Parc, a spinning mill specializing in recycled yarns; and Authentic Material, a leather recycling specialist. This consolidation showcases Chanel’s commitment to sustainability and its efforts to create a more circular economy. By leveraging these companies, Nevold aims to scale as a B2B service provider and R&D hub for circular solutions in the fashion industry.
Chanel’s leadership emphasizes that resource scarcity, particularly for luxury materials like cashmere, silk, and leather threatened by climate change, is a key motivator for this initiative. Recovering and reusing materials from past collections is seen as both a strategic necessity and a future commodity. Long-term, Nevold aims to transform the entire product lifecycle, develop new expertise, and contribute to a more circular economy.
The fashion industry is under increasing pressure to adopt more sustainable practices, with regulators introducing stricter rules to hold brands accountable for waste generated by their businesses. Chanel’s move aligns with these regulatory trends, particularly in Europe, where brands are being encouraged to take responsibility for their waste and discourage the destruction of unsold goods. While Chanel is not alone in this effort, with other luxury giants like LVMH and Kering also investing in recycling initiatives, the true impact of these efforts will depend on their scale and ability to address overproduction.
Currently, Nevold is in its early stages and remains a cost center, but Chanel sees it as a strategic investment for the brand’s future. As the fashion industry continues to evolve, Nevold’s innovative approach to waste management and recycling could set a new standard for luxury brands. With its focus on circularity and sustainability, Nevold has the potential to redefine the fashion industry’s approach to waste and resource management. (The Author is a Fashion Management Scholar, National Institute of Fashion Technology, Ministry of Textiles, Govt of India).
