RFID tags are used in clothing to store and transmit information about items through radio waves. They contain a microchip and antenna that communicate with RFID readers. When a tag is in range of a reader, it transmits data like the item's brand, size and price. This allows for improved inventory management, reduced theft and loss, and increased efficiency. However, tags can cause discomfort, be difficult to read, and damage clothing. They also present environmental and cultural challenges. Regulations for tags vary by country but generally require information like fiber content, care instructions and manufacturer details.