On April 13, Texas Attorney General Ken Paxton launched an investigation into Lululemon over the potential presence of the “forever chemical” PFAS. The Canadian activewear brand generated over $11 billion in 2025 alone. The investigation will also look into the brand’s "restricted substances" list, testing protocols, and supply network practices to determine whether its products comply with Texas’s laws. Lululemon responded that PFAS were fully phased out of their products in 2023. As PFAS regulations continue to tighten globally, expect these investigations to occur more frequently across different jurisdictions. In case you want to dive deeper, we previously covered the PFAS ban globally and how to find alternatives, and also specifically the PFAS ban in packaging.
Speaking of sportswear, on April 5, we covered Allbird’s $39 million fire sale (while once valued at $4 billion). Only 10 days later, on April 15, their stock surged 582%, as the company announced its pivot to AI compute infrastructure. Allbirds, now NewBird AI, announced a deal to raise up to $50 million in funding, expected to close in Q2 2026. Given the unprecedented nature of this pivot and the AI fever globally, we are quite confident that the raise will be a success. The next question is: what will NewBird do with this money afterwards - as we rephrase Kanye West’s remark - we like some of Allbird’s shoes, what do they know about AI infrastructure?
Speaking of switching up, on April 14, Microsoft announced that it’s pausing all Carbon Dioxide Removal purchases for a “reassessment” of its portfolio. As a result, the CDR market it helped build is now on the verge of a shakeout. Industry voices say not to worry, since Microsoft accounts for only 25% of the total CDR market. Yes… and no? Losing a quarter of demand is quite detrimental to any market, especially one still trying to prove commercial viability. We previously covered biochar as a carbon removal instrument, as well as the failed precision fermentation industry, where too many startups depend on a handful of incumbent players for their commercialisation.
Speaking of dependence, the Hormuz blockade 50 days ago has added €22 billion to the EU’s energy bill. Experts argue that the dual energy crises for the EU (Ukraine and now Hormuz) will speed up the energy transition. It will, in the long run. In the short run, some industries cannot move that fast and still be very dependent. Examples are high-temperature process industries such as cement, steel, and chemicals. Our team will track more signals on this story in the weeks to come, especially on what it means for SMEs in Europe.
Speaking of pressure, diversification to “China +1” destinations - such as Vietnam - has been the new normal since Trump Term 2. Yet, supply chain rerouting is among the hardest puzzles to solve. This week, we focus on electronics and the consumer hardware industry, and explain how rerouting from China to Vietnam in this space has a lot of complications, yet is not impossible. You can download the report here if this is part of your world.
Enjoy your weekend. Stay sharp, and keep creating.
Anh & Tri
On behalf of the Tocco team
MatterDrop with more Samples available
Our team is quietly opening early access to MatterDrop - our new flagship product designed to change how industrial teams discover, compare, and request next-gen materials, supplies and manufacturing solutions.
Instead of jumping between supplier sites, trade shows, PDFs, and cold outreach, MatterDrop is being built as a more curated, higher-signal experience: digital pavilions organised by theme, with samples, brochures, and supplier access requestable in one place.
Application open now - grab your seat here
(For teams with a concrete sourcing need, we are also opening the first buyer brief requests. Submit a brief by writing to product(at)tocco.earth)
Further Resources · Material & Manufacturing News · 04.2026
(Global 🌏) VOC-Free Coatings: What’s Available? VOC-based coatings are being regulated out of the EU and the US market. If you’re in coatings, paints, or surface treatment, get your list of VOC-free alternatives currently on the market.
(Global 🌏) 10 Brands Using Monomaterials to Watch. From The North Face and Puma in apparel to Polestar and XEV in automotive, here are ten brands and their monomaterial product design that our team has tracked. Did we miss out on notable products? Let us know through comments or email reply.
(Global 🌏) In case you missed it - we discussed the Charts of The Week and dived deep on Trading & Sourcing, with analysis on what we called “extra industrial taxes” and on how to deal with fickle trade partners.
(Global 🎙️) Sven Agten came back with Round 2 in the Long Game Podcast with Leon Ge. The Belgian CEO discussed why the Iran conflict might be “the Waterloo of America” and the industrial trends defining the next 20 years. Episode available on Youtube, Spotify, and Apple Podcast.