Revolutionizing Fashion: How AI is Transforming the Korean Textile Industry in 2026

Kang Seong-jeon | 2026.01.08

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On the 8th, the Korea Fashion Association (the Association) announced it signed a memorandum of understanding (MOU) with the Korea Textile Development Institute (KTDI) at the Textile Center to support AI-driven growth for fashion companies and reshape the industry’s structure.

The deal builds on the Fashion AI Alliance—a public-private partnership the Association officially launched on Nov. 27 last year—and aims to create a practical collaborative framework to drive AI adoption across every stage of the fashion industry.

Under the MOU, the two organizations will pursue several initiatives: building and scaling an AX (AI transition) ecosystem for fashion companies; fostering collaboration between fashion brands and AI firms; identifying AI business models for the industry and promoting successful pilots; and training hands-on AI talent for the sector.

Crucially, the partnership will establish a real-world proving ground to apply AI across the full fashion value chain—from fabric and material development to design, production and distribution. By combining KTDI’s strengths in materials, testing and data with the Association’s industry network, the initiative is expected to boost the Fashion AI Alliance’s execution capabilities.

The Association says the MOU will expand public-private-research cooperation centered on the Fashion AI Alliance. It plans to roll out models and programs in phases so small- and mid-sized fashion companies that struggle with AI adoption can use them in everyday operations.

Seong Rae-eun, president of the Korea Fashion Association, said, “If the Fashion AI Alliance sets the direction, this agreement establishes the first structure to put it into action.” She added, “AI transformation in the fashion industry depends not only on developing technology but also on creating the people and systems that understand and apply it.”

Reporter Seongjeon Kang castlekang@etnews.com