Why Portugal is Becoming Fashion’s Sourcing Secret Weapon

Mar 23, 2025

3

min reading

The only word that could define what we are living these days is volatility: Geopolitical friction, shifting trade policies, climate accountability… the list could go on. However, the show does not stop – and neither do businesses. 

Fashion brands are rethinking how and where they source. Once reliant on cost-driven, offshore giants, companies are now searching for agility, transparency, and meaningful partnerships. One country rising with quiet determination is Portugal.

Kate Stanton, founder of StanTrading and a sourcing veteran with over 35 years of global experience, says the shift is not just tactical – it's strategic. “Portugal has built a reputation based on quality, ethics, and speed. It's no longer a niche option. It's becoming a serious sourcing destination for forward-thinking brands,” she says.

Portugal: A Modern Hub With a Historic Core

Portugal’s textile legacy runs deep. But what sets it apart today is its ability to marry heritage with high-tech innovation. The country offers full vertical sourcing—from raw materials to finished products—within a condensed geographical area. This creates faster lead times, lower carbon footprints, and tighter quality control.

“You can go from design to delivery without ever leaving the country,” says Stanton. “That level of integration is rare and powerful.”

Portugal’s strategic location in Southern Europe gives it easy access to key markets in the EU, UK, and US. This proximity drastically cuts shipping times and costs, while minimizing exposure to geopolitical disruptions.

The country’s clusters of specialized factories and artisans – from knitwear in Braga to footwear in Felgueiras – enable deep collaboration across disciplines. In the words of Stanton, “Portugal isn’t just efficient. It’s creatively engaged. That makes a difference for brands looking to push boundaries.”

A Shift Away From Asia

As global trade tensions intensify, brands seek alternatives to Asia’s traditional manufacturing dominance. The U.S. vs. China trade war and even Brexit have made offshore sourcing riskier and more expensive.

“Every month, I hear from brands who want to reduce their dependence on Asia,” Stanton explains. “Portugal comes up repeatedly as a preferred alternative – especially for premium, sustainable, and time-sensitive collections.”

Unlike some competitors, Portugal offers duty-free access to EU markets and competitive shipping timelines to the US. With this geographical advantage, they support quicker response times and easier compliance with evolving regulatory frameworks.

Infrastructure Makes Sustainability a Reality

Portugal is not playing catch-up when it comes to sustainability. 

From circular production models to eco-certifications like GOTS, OEKO-TEX, and SMETA, Portuguese factories align with the values of conscious consumers and climate-driven regulation.

Stanton puts it bluntly: “Sustainability is built into the Portuguese system. It’s not a marketing add-on. Brands get traceability, ethical compliance, and real environmental savings.”

Water and energy consumption are lower than industry averages. Many mills invest in renewable energy and closed-loop systems. Digital printing and smart textiles also reduce waste while unlocking creative possibilities.

Customization and Collaboration Drive Innovation

Modern brands don’t just want factories. They want partners. Portugal’s size and infrastructure make it ideal for co-development, sampling, and experimentation. This flexibility helps brands prototype faster and launch smarter.

“Portugal’s ability to deliver on small-batch, high-quality production is unmatched,” says Stanton. “It’s one of the few places where you can go from a single idea to a premium product in weeks, not months.”

StanTrading often acts as a creative matchmaker. The company pairs designers with suppliers who understand nuanced briefs and push for innovation. 

What Brands Get Wrong About Portugal

Photo: Some of the materials the renowned Portuguesa supplier, LMA is selling at World Collective Marketplace. Click here to see all their textiles!

A common misconception is that Portugal is too expensive. Labor costs are higher than in Asia, but they come with trade-offs: faster delivery, ethical compliance, and far fewer logistical headaches.

“When you factor in lead time, shipping, and risk, Portugal is often more cost-effective than people expect,” Stanton says. “There’s also less waste, which means better margins overall.”

StanTrading demystifies pricing with open costing and transparent sourcing. For brands that need more volume flexibility, it helps integrate offshore solutions in Morocco or Tunisia—still within manageable geographic zones.

The Creative Edge: Storytelling and Transparency

Sourcing from Portugal isn’t just about operations. It’s also about marketing power. Consumers today want products that align with their values. "Made in Portugal" stands for craftsmanship, quality, and responsibility.

“The story behind the supply chain matters more than ever,” says Stanton. “Buyers and consumers are asking the same questions: Who made this? How was it made? Portugal gives you credible answers.”

StanTrading helps brands communicate that story, translating production practices into compelling brand narratives. Transparency becomes a value-add, not a cost.

A Market Ready for the Future

Furthermore, Portugal is doubling down on innovation. Government support and EU funding have fueled R&D in smart manufacturing, circular textiles, and automation. Technical textiles, luxury fashion, and performancewear are key growth categories.

According to Stanton, “Portugal isn’t standing still. It’s evolving. In five years, I expect to see it leading in smart, ethical fashion manufacturing across multiple sectors.”

Knitwear, in particular, is booming – with a strong focus on sustainability and design. Footwear and luxury production are also scaling globally.

StanTrading: A Trusted Guide for Global Brands

For brands new to the region, navigating Portugal’s complex supplier landscape can feel overwhelming. That’s where StanTrading steps in.

“We start with the brand’s mission,” says Stanton. “Then we align them with manufacturers who share their values and can deliver on quality and innovation.”

StanTrading’s extensive network and insider knowledge help brands make smarter, faster, and more sustainable decisions, from sampling to full production.

As fashion faces a future defined by transparency, speed, and sustainability, Portugal offers a proven, premium, and planet-forward solution. With leaders like Kate Stanton guiding the way, brands have every reason to take a closer look. 

To learn more about StanTrading and their services, visit their Instagram page by clicking here.

Written by Júlia Vilaça, Communications & Brand Manager at World Collective

Our mission is to equip brands and suppliers with the tools and infrastructure to build efficient, data-driven, and transparent supply chains.

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Our mission is to equip brands and suppliers with the tools and infrastructure to build efficient, data-driven, and transparent supply chains.

All rights reserved © World Collective

Made by

Our mission is to equip brands and suppliers with the tools and infrastructure to build efficient, data-driven, and transparent supply chains.

All rights reserved © World Collective

Made by