Icelandic Textile Cluster

The report “The Icelandic Textile Cluster – Interdisciplinary Collaboration to Strengthen Textile Production in Iceland” was prepared for the Icelandic Textile Center in 2025 and examines the state of the textile industry. It builds on preparatory work previously supported by a grant from Lóa – the Regional Innovation Fund. In this phase, additional elements were included: in-depth interviews with 18 potential cluster members, an analysis of the economic impact of the textile industry in Iceland, and a so-called diamond analysis based on Michael Porter’s cluster theory. The diamond analysis assesses whether the conditions are in place to form a cluster in a specific field and location.

The report (in Icelandic) can be found here: