Luxury sector reaches ‘decisive’ ESG turning point

LONDON – When Baker McKenzie and Positive Luxury the third edition of the ESG Policy Guide guide in late 2024, the luxury sector was largely grappling with high-level principles and a raft of upcoming directives.

As Ecotextile News then reported, the focus then was on ‘six key actions’ – transparency, climate transition plans, and the substantiation of green claims – to prepare for a wave of EU legislation. Moving forward to 2026, the landscape has undergone a transformation. The fourth edition of the ESG Policy Guide, released last week, signals that the era of ‘aspiration’ is officially over. For luxury brands, sustainability is no longer a marketing pillar; it is a rigorous, data-driven operational requirement.