The need for the textile-and clothing industry to address the negative environmental and social impacts generated through the production and consumption of textiles is getting more attention by global organisations and academia. Yet the linear system of the fashion industry creates challenges for its actors to implement sustainable solutions into the value chain, due to potential trade-offs for supply chain operations, consumers and the business performance. In order to support the industry to address the negative externalities of the production and consumption of textiles as well as progressing towards more sustainable practices, various environmental instruments have been implemented by governments and private actors. However, few studies have included the experiences of industry actors targeted by these instruments.

The aim of this thesis is to explore existing environmental instruments directed towards the Swedish textile- and clothing industry and the experiences of Swedish companies with these instrument in terms of how the instruments enable companies to address sustainability issues and what challenges companies face when complying or engaging with the instruments.

This thesis employed a multiple case-study design where each case encompass a type of instrument. The selected cases were REACH, Reduced VAT for smaller repairs, the information and guidance provided by The Chemicals Group and Better Cotton Initiative (BCI). Qualitative research methods were used to identify the opinions and perceptions of industry actors, using semi-structured interviewed as the primary method for collecting empirical data. An analytical framework was developed from theory, encompassing analytical categories of enabling factors and challenges. The data analysis first employed a within-case analysis using the analytical framework to analyze the empirical data so as to give focus on the data most relevant to the research questions. This was followed by a cross-case analysis, where the results of the within-case analysis for each case were compared to distinguish similarities and differences of the instruments and in respondents’ perceptions. The results of the within-case analysis were discussed against the literature findings of each case, focusing on factors in the empirical findings that have been confirmed and/or not confirmed against literature and what factors that have been newly identified.

It was found that REACH, the Chemicals Group and BCI all enable respondent companies to address sustainability issues. Reduced VAT for smaller repairs had a different focus than the other three instruments in that it aims to support an already sustainable practice and business model, e.g repairing, by stimulating the competitiveness of repair services on the market. It was found that the instrument had provided certain market-based benefits to respondents. REACH was the only instrument that respondents experienced challenges with in the process of ensuring compliance. The empirical findings on the three remaining instruments did not reveal any challenges respondents face when engaging with these three instruments.

The results of the within-case analysis were discussed against previous research on each case. Several enabling factors and challenges were confirmed with literature findings however the majority of the findings are newly identified through the empirical data.

This thesis contributed with new insights to existing research and practitioners on how the studied instruments enable respondent companies to address sustainability issues in the value chain, as well as the challenges respondents face when complying or engaging with the instruments.