As the global denim market settles into 2026, it faces a complex mix of inflationary pressure, cautious brand buying and rising expectations around sustainability and compliance. In this exclusive Q&A for Hertzman Global Intelligence, Mark Ix, director, North America marketing of China-based Advance Denim, offers a clear-eyed view of why denim remains a bright spot for retailers despite near-term headwinds.
He discusses shifting order strategies, evolving fit and stretch trends shaping 2027, and how innovation and cotton pricing factor into today’s decisions. Ix also outlines Advance Denim’s long-term sustainability strategy, including process innovation, regulatory readiness and its recent Cradle-to-Cradle material health certification.
Hertzman Global Intelligence: How would you characterize the overall health of the denim market heading into 2026?
Mark Ix: I believe that the denim business is a bright spot for a lot of retailers, but 2026 will be challenging as inflation continues to be an issue.
HGI: Are denim brands entering 2026 strong based on holiday sales? Or are they sitting on a bunch of product?
MI: I would have thought that holiday sales would be weak but the numbers seem to be telling a different story for some brands. It would make sense that given the tariffs and inflationary pressures that holiday sales would have been negative and we would see high inventories. High inventories would show that even if revenues were higher, that it would be due to higher selling prices driving this. That being said, AEO today came out with record holiday sales without increased inventory so they are actually selling product at full price. I know that is one example and I believe that on a macro level holiday retail sales numbers are due to higher selling prices and not more units sold.
The real troubling fact is that consumer borrowing is increasing at the same time. As inflation continues and health insurance is rising at an unsustainable rate, consumers will hit a wall. That being said, I could be wrong. We do have customers that are looking to shift to cheaper fabric to help them bridge the gap in margin. They also seem to be cutting out a layer of executives that have experience but are expensive and making do with lower-cost designers.
HGI: Has there been a shift in brand buying patterns? Are buyers committing longer-term, or keeping orders short and flexible?
MI: Each customer is different but I believe that in this market the smart move is to keep the orders short and flexible.
HGI: What are the major trends you’re focusing on for 2027?
MI: The trends I am afraid are all over the place. The wide leg soft comfort stretch styles are ubiquitous and will continue to be important but we are seeing premium customers pivot to higher stretch styles for skinny straight silhouettes. The core trends of drape, softness and comfort stretch styles that have been with us for years are starting to shift towards higher stretch percentages and skinny silhouettes. Meanwhile, the comfort stretch styles are shifting towards low stretch styles with better performance. In general, low stretch styles 99/1 do not perform well; they bag out because the fabric has terrible recovery. We have created low stretch styles with better performance, so the customers are switching to high performance low stretch styles
HGI: How are you approaching innovation this year? And how are cotton prices impacting your business?
MI: Advance Denim will continue to innovate along with our fiber partners to bring the most innovative styles to the market while keeping the vintage aesthetic. Cotton is always an impact and has been in the low 60s [cents per pound] for quite a while. This low cost has made it easier to mitigate the tariffs but it can’t last forever.
HGI: Advance Denim is the first Chinese mill to earn Cradle-to-Cradle (C2C) Certified Version 4.1 in material health. What does this mean for your value proposition, and the denim industry as a whole?
MI: Advance Denim has always focused on sustainability as a corporate pillar. The Cradle-to-Cradle certification is part of a bigger overall goal to be the most sustainable operation that we can be. The value proposition is that Advance Denim wants to be as sustainable as possible. If our customers find this valuable, it’s a plus. But Advance is doing this because it is the right thing to do.
HGI: Sustainability compliance and certifications (e.g., GOTS, Higg Index, ZDHC) are clearly part of your narrative. How are evolving global regulatory landscapes such as the EU Green Deal or U.S. climate policies shaping your production and supply chain decisions?
MI: Advance Denim has emphasized sustainability with systems like the BlueLoop indigo recovery [which recycles the water and indigo used during dyeing] and a goal to run entirely on renewable energy by 2030. These innovations are created to solve sustainability issues and create a cleaner denim process.
We are aware of the ever shifting global regulations but Advance Denim feels it is important to be as sustainable as possible to make sure that we exceed legislation changes. We did not implement Bigbox dyeing [which conserves water and reduces chemical use] in response to regulations but because indigo dying used excessive amounts of water and the logical solution is to introduce a waterless indigo dye process.
