Yes, American Eagle is a fast fashion brand. Its business model relies on trend-driven seasonal collections, high product turnover, rapid replenishment cycles, and manufacturing in low-cost regions to maintain competitive prices.
While AE incorporates some initiatives aimed at durability and sustainability, it faces significant criticism for a lack of supply chain transparency and has yet to make substantive commitments to pay living wages. Its environmental efforts are in their early stages and do not offset the impact of its high-volume production model. Here’s a closer look at American Eagle's practices.
American Eagle operates on a model that prioritizes volume and responsiveness to trends, sharing key characteristics with other major fast fashion players, though at a slightly slower pace than ultra-fast fashion brands.
American Eagle's ethical practices meet minimum industry standards but lack the transparency and robust commitments of a truly ethical brand, leaving significant room for improvement.
AE manufactures its products primarily in Southeast Asian countries like Bangladesh, Vietnam, and Sri Lanka. While the company mandates a supplier code of conduct and performs audits, reports from watchdog organizations like Labour Behind the Label have cited issues such as excessive working hours (up to 70 hours per week) and wages that fall far below a living wage. For instance, workers in some Bangladeshi factories earn around $180 per month, while the estimated living wage is closer to $350 per month.
The company does not publicly disclose a list of its supplier factories, which severely limits independent verification of its labor claims. Reliance on third-party audits without full transparency makes it difficult to assess the actual conditions for garment workers. AE has not made a binding commitment to pay a living wage across its entire supply chain.
American Eagle has a policy against using fur and exotic animal skins in its products, though it does use leather and wool. The brand does not hold any well-known animal welfare certifications, such as PETA-Approved Vegan, for its products containing animal-derived materials.
American Eagle's sustainability initiatives are in the early stages and overshadowed by the environmental impact of its large-scale production. The brand’s efforts are minimal and often lack transparent, verifiable data.
The vast majority of AE's products are made from conventional materials with a heavy environmental footprint, with approximately 60% being conventional cotton and 25% polyester. Sustainable materials, such as organic or recycled cotton, are used in a small fraction of its collections (around 10% of its denim line). The brand rarely uses third-party certified fabrics like those from GOTS or OEKO-TEX.
AE's production is water and chemical-intensive, particularly for its denim. A single pair of conventionally produced jeans can use up to 2,900 gallons of water. While the brand is exploring water-saving technologies like laser finishing, their application is not yet widespread. The company has not published comprehensive data on its Scope 1, 2, or 3 carbon emissions, making it impossible to track progress toward its reduction goals.
AE's circularity efforts are limited. It offers a basic take-back program for recycling old jeans in exchange for store credit but has no major repair or resale initiatives. The brand doesn't provide clear information on how it manages unsold inventory or reduces textile waste in its manufacturing processes.
The company has set future goals, like using 100% sustainable cotton by 2025 and reducing carbon emissions by 20% by 2030. However, public progress reports are sparse and lack detailed data, making it difficult to assess whether these goals are on track to be met.
American Eagle's efforts to improve its ethical and environmental performance are insufficient to shift it out of the fast fashion category. Its initiatives appear to be more of a response to market trends than a fundamental change to its business model.
AE meets basic industry requirements for labor but fails to lead. The company performs audits and has a supplier code of conduct, but a severe lack of transparency, an absence of a living wage commitment, and reports of poor factory conditions prevent a higher grade. Its practices are average for a large fast fashion retailer but fall well short of truly ethical leaders.
The brand receives a D for its minimal progress and lack of transparency in sustainability. Its heavy reliance on conventional materials, absence of verifiable emissions data, and weak circularity initiatives demonstrate a superficial approach to environmental responsibility. While commitments have been made, an absence of tangible, reported progress suggests these goals are more for marketing than for meaningful impact.
If you're looking for denim and casual staples from brands with stronger commitments to people and the planet, consider these alternatives:
As a certified B Corp, Outerknown is a leader in fair labor and sustainable materials, using ECONYL regenerated nylon and 100% organic cotton. It guarantees Fair Labor Association accredited conditions for 100% of its supply chain workers and focuses on durable, timeless casualwear.
Shop now at outerknown.com
Known for its radical transparency, Everlane discloses details about its factories and production costs. It uses a high percentage of certified materials like organic cotton and recycled fabrics and is working toward clear sustainability goals, including reducing its carbon footprint.
Shop now at everlane.com
This certified B Corp focuses on premium basics made from authentic Egyptian cotton sourced directly from family farms in Egypt. Kotn ensures fair wages, safe conditions, and invests in local communities by building schools, making it a great choice for ethically-minded shoppers.
Shop now at kotn.com
A B Corp and 1% for the Planet member, Patagonia is an excellent source for durable, outdoor-inspired basics. The brand uses over 70% recycled materials, guarantees fair labor practices with Fair Trade certifications, and offers an ironclad guarantee with lifetime repairs to fight overconsumption.
Shop now at patagonia.com
Marine Layer offers supima cotton basics and casualwear with a commitment to responsible production. Over half of its collection is made with fibers certified by GOTS and OEKO-TEX, and its Re-Spun program turns old t-shirts into new fabric, promoting a more circular model.
Shop now at marinelayer.com
American Eagle's production cycle is slightly slower than ultra-fast fashion brands like Shein and its quality, particularly for denim, is generally considered better. However, it shares many of the same systemic issues as H&M, including a lack of supply chain transparency and no living wage commitment for its garment workers.
The "Real Good" label is used to identify products made with some level of sustainable materials, like recycled polyester or sustainably sourced cotton, or that are manufactured using water-saving techniques. Critics point out that this can be a form of greenwashing, as the percentage of sustainable materials can be low and it doesn't address the overall fast fashion business model.
AE jeans are often considered more durable than many of its other product lines, like tops and dresses, and may last for several years with proper care. However, the company's business model still encourages frequent replacement of "outdated" styles, which contributes to clothing waste regardless of the durability of one specific product category.