Canadian shoppers overwhelmingly want truly sustainable fashion, and this new national study from Fashion Takes Action shows that greenwashing is now a major legal, reputational, and commercial risk for brands in Canada.
Canadians Care About Greenwashing
The report “Canadian Consumer Perceptions of Sustainable Fashion & Greenwashing” finds that 64% of respondents would stop buying – or buy less – from a brand if it was caught greenwashing. After being informed about what greenwashing is, 79% of people surveyed said they felt frustrated, showing just how emotionally charged the issue has become for consumers.
Despite this concern, the research reveals that 65% of respondents did not know that greenwashing is illegal under the Canadian Competition Act, pointing to a major gap in public awareness about existing protections. Most participants said they want brands to be honest, clear, and specific about their sustainability efforts, rather than relying on vague “green” language that cannot be easily verified.
Who Canadians Trust On Sustainability Claims
The study highlights a sharp divide in who Canadians trust to call out greenwashing in fashion. 52% of consumers said they trust environmental NGOs to identify misleading claims, making them the most trusted voice in this space. By contrast, only 9% of respondents said they trust influencers, suggesting that celebrity‑driven sustainability messaging has limited credibility without strong evidence or expert backing.
This trust gap has direct implications for marketing strategies in Canada. Brands that lean heavily on influencer endorsements without transparent, substantiated claims risk being dismissed by consumers who are increasingly sceptical and information‑driven. The report shows that clear communication, third‑party validation, and accessible proof are now essential to winning and keeping consumer trust.
Reputation Risk For Fashion Brands
For fashion brands, the findings make it clear that greenwashing directly affects both perception and performance. With 64% of consumers ready to reduce or stop purchases from brands caught greenwashing, even a single incident can have lasting effects on sales and loyalty in Canada. The report notes that once trust is broken, it is significantly harder for brands to earn it back, especially when shoppers already feel overwhelmed and confused by sustainability claims.
Greenwashing does more than damage brand image; it also contributes to wider consumer fatigue and scepticism around sustainability messaging in fashion. This dynamic makes it harder for genuinely responsible brands to stand out, reinforcing the need for clear standards, enforcement, and credible storytelling grounded in real action.
Policy Momentum Bill C 59 And Legal Change
The study also looks at how policy and regulation are evolving, with a focus on Bill C-59 and updates to Canada’s Competition Act. These changes are expected to give authorities stronger tools to investigate and penalize misleading environmental claims, signalling that greenwashing will increasingly be treated as a serious compliance issue rather than just a PR problem.
Fashion Takes Action recommends measures such as mandatory substantiation for all environmental claims, clear labelling and terminology guidelines, public education on the Competition Act, and a task force of fashion experts to advise on future regulations. Together, these steps are designed to protect consumers, reward genuine sustainability efforts, and hold deceptive actors accountable in the Canadian fashion market.
How Brands Can Avoid Greenwashing Accusations
For brands, the path forward is clear: sustainability claims must be specific, evidence‑based, and easy for consumers to verify. That includes publishing detailed information on materials, supply chains, and impact, aligning marketing with actual performance, and avoiding broad, feel‑good language that cannot be backed up with data.
The report also underlines the value of collaboration, urging brands to work with NGOs, legal experts, and sustainability specialists to strengthen both their practices and their communications. In a market where consumers are highly motivated but wary, and where legal frameworks like Bill C-59 are getting tougher, brands that invest in transparency and accountability are best positioned to earn long‑term trust in Canada.
