File photo dated July 4, 2005, showing a model walking the runway in a swimsuit by designer Fabia Bercsek during Sao Paulo Fashion Week in Brazil. EFE/Caetano Barreira/ARCHIVE

Brazilian fashion logs $24 million in sales to Italy, eyes growth following EU trade deal

Brazil generated $24.4 million in fashion exports to Italy between January and July 2026 and seeks to capitalize on opportunities unlocked by the European Union-Mercosur trade agreement, in effect since May, to expand its footprint in the EU market.

To gain ground in a strategic destination — both for its commercial importance and for being home to Milan, one of the world’s top four fashion capitals — the Brazilian industry is focusing on sustainability and innovation as key differentiators against international competitors.

According to Maria Paula Velloso, Business Director at the Brazilian Trade and Investment Promotion Agency (ApexBrasil), signature Brazilian fashion stands out for its identity, authenticity, and aesthetic diversity, resulting in products “capable of engaging the global market without losing their essence.”

“The key differentiator lies in translating culture, creativity, and biodiversity into contemporary design products with strong potential for international market penetration,” she added in a statement.

Destination: Italy

The Italian market has proven receptive to these traits. In 2025, Italy was the second-largest EU destination for Brazilian fashion exports, accounting for 16.9% of total sales to the bloc and reaching $42.3 million, according to ApexBrasil, which identified 14 commercial opportunities in the country.

Between January and September 2026, despite absorbing just 2.1% of Brazil’s total apparel exports, Italy recorded a 23.7% year-on-year surge in purchases, reaching $3.26 million.

Now, after over four months of provisional application of the EU-Mercosur agreement, the gradual reduction and elimination of tariffs opens new avenues for fostering a favorable business environment and easing European market entry for Brazilian companies across multiple sectors, including fashion.

Connecting with European buyers

Aiming for growth in Italy and across the broader EU, Brazil participated last September in White Milano, one of Europe’s premier contemporary fashion trade shows held during Milan Fashion Week.

The country brought a record delegation of 25 brands through the Fashion Label Brasil program, an initiative developed by ApexBrasil in partnership with the Brazilian Association of Fashion Designers (ABEST).

Participating labels presented collections of apparel, swimwear, footwear, handbags, jewelry, and accessories to showcase the breadth of Brazilian production, connect with international buyers, and establish new commercial relationships in Europe.

Sustainability as a competitive edge

Among the Brazilian participants, Lybethras stood out with biodegradable fabrics and artisanal techniques; Ludimila Heringer presented creations featuring natural dyes, botanical prints, and embroidery; and Villa Dharma showcased designs made from natural fibers and discarded fishing nets.

These three brands also took part in Brazilian Sustainable Fashion in Milan, a side event organized by ApexBrasil alongside the trade show that brought together 10 women-led brands for a fashion show and commercial exhibition dedicated to sustainability, design, and cultural preservation.

Through these efforts, Brazil sought to reinforce its commitment to distinguishing itself beyond aesthetics by leveraging sustainable practices and traditional craftsmanship in higher-value-added products in a European market that increasingly values traceability, material provenance, and responsible production processes. EFE