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Published: 02.06.2016

NEW – Active Supply Chain Management in the Textile Industry

As part of China’s 5 year plan launched in 2011, all of China’s textile manufacturers must cut energy and water use by 16% and 30% respectively by 2015 or face a penalty fine or closure. Yuyue is a supplier of the global furniture chain IKEA. Upon encouragement from IKEA, the factory joined the IFC China Water Program in 2012. The IFC and IKEA contributed to the cost of conducting water and energy efficiency audits. Interventions, funded by Yuyue, were made to upgrade machinery and control systems. Total water withdrawal was reduced by 325 000 m3 per year and energy consumption was reduced by 8 874 MWh per year.