Universal Thread: Target’s US$1bn Circular Fashion Brand

Universal Thread, Target’s first circular apparel brand, is reimagining sustainability in the clothing industry.

It is part of Target’s wider climate goals in its Target Forward strategy.

Universal Thread is one of Target’s two brands designed for circularity, alongside home essentials brand Everspring.

About Universal Thread

Target’s Universal Thread brand is worth more than US$1bn and has released a new catalogue of sustainable clothing.

All Universal Thread apparel and accessories now include digital IDs, created in partnership with Target’s retail product cloud platform partner EON.

The IDs feature a QR code on the item’s label that provides information about the product’s sustainability features.

The QR code also leads to third-party resale services that can extend the lifespan of the clothing, helping with the brand’s circularity goals.

Universal Thread’s denim products include 20% recycled cotton, which has a lower impact on the environment and contributes to circularity across Target’s value chain.

Agata Ramallo Garcia, Vice President, Head of Enterprise Sustainability at Target, told Sustainability Magazine: “At Target, we’re designing products and services that keep materials in use, reduce waste and enhance the overall guest experience.

“In recent years, we’ve seen growing consumer interest and strong sales in sustainable products, particularly when they deliver the affordability, convenience and ease guests expect from Target.

“For example: with Universal Thread, our first circular apparel brand, guests can shop new fits and elevated fabrics that incorporate 20% recycled cotton while accessing product sustainability features and resale options through digital IDs.”

Target’s climate goals

Target’s wider sustainability goals are driven by its commitment to net zero greenhouse gas emissions across its value chain by 2040.

It aims to source 100% of its electricity from renewable sources for its operations by 2030.

The company’s circularity efforts centre around its goal of achieving zero waste to landfill in its US operations by 2030.

It has achieved its goal to reduce operational food waste by 50% across its stores, supply chain facilities and headquarters by 2025, compared to a 2017 base year.

By 2040, it plans for 100% of its owned brand products to be designed for a circular future.

This involves using materials that are regenerative, recycled or sourced sustainably.

This creates products that are more durable, easily repaired or recyclable, helping Target’s teams eliminate waste across the value chain.

Sustainability initiatives at Target

Target’s commitment to circularity includes other initiatives, helping give consumers greater visibility into its products’ sustainability journey.

Its car seat trade-in programme allows consumers to return used car seats in return for savings on baby essentials in store.

In 2024, this programme helped Target recycle 15.5 million pounds of materials that can be transformed into new products in its brands.

In 37 of its California stores, Target has piloted a clothing take-back scheme.

This allows consumers to drop off old clothing and accessories, helping support California’s Responsible Textile Recovery Act.

The initiative ensures that donated clothing is reused, recycled or responsibly disposed of, furthering Target’s mission to divert textiles from landfills.

“As guest interest in sustainable solutions continues to grow,” Agata says, “we’re confident that our circular brands like Universal Thread will help lead the way, showcasing what’s possible when we innovate to deliver long-term value for our business, our guests and the communities we serve.”