The recent emergence of sustainable practices and circularity with numerous innovations is recognized as a new horizon of the fashion industry, which can help transform the fashion business to achieve sustainability goals. This chapter presents emerging sustainable practices in manufacturing operations of fashion and textiles (e.g., yarn, knitting, weaving, apparel, printing, washing, packaging), associated benefits, key challenges, and stakeholder roles in fostering circular economy broadly. Drawing upon the manufacturing operational stages, this study highlights the nature and transformative impact of emerging sustainable practices (e.g., circular design principles, bio-based materials, close loop system, sustainable dyeing and finishing, digital printing zero-waste pattern, ethical sourcing) and benefits for diverse stakeholders. It provides insights into the practical and theoretical applications of sustainable practices contributing to the broader understanding of circularity, and opportunities for wider stakeholders to enable a more sustainable fashion and textiles business. Readers can get an overview of the contemporary innovations in fashion circularity.