Bangladesh's limited trade diplomacy, coupled with its slower shift towards value-added production, could allow Vietnam to surpass it in global rankings
This includes allowing more duty-free imports from the US, offering warehouse facilities for American cotton and removing various non-tariff barriers.
Trump's announcement sent businesses scrambling. Orders froze. Buyers demanded discounts. Stock markets plummeted.
With China, Vietnam and Cambodia vying for market share, Bangladeshi exporters fear a race to the bottom on prices -- one they may not win
The 90-day suspension of reciprocal tariffs by the US has brought a much-needed reprieve for Bangladesh’s readymade garment sector, which had been preparing for a potential slowdown in orders and pricing pressures.
Exporters in Bangladesh’s garment sector face a moment of reckoning over how they will manage urgent international shipments after India abruptly closed a transshipment route that had grown popular for air cargo.
"This pause gives Bangladesh enough time to make preparations"
The local suppliers are now trying to negotiate prices of garments under the new tariff regime
As new US tariffs shake global trade routes, Bangladesh is pursuing a plan to reduce its trade imbalance with the US through targeted import increases, regulatory reforms and behind-the-scenes diplomacy. Bangladesh is not panicking and may even stand to gain, officials said yesterday.
Bangladesh’s garment industry, already under consistent pricing pressure from global clothing retailers and brands, now faces a fresh challenge due to new reciprocal tariff measures implemented by the Trump administration.
Factories provide essentials at subsidised prices to win worker loyalty and orders. But what does the factory gain?
Business leaders and economists have called upon the government to initiate immediate high-level negotiations with the United States administration following President Donald Trump’s imposition of reciprocal tariffs, warning that failure to secure concessions could erode the nation’s competitive edge in its most lucrative export market.
The US’s reciprocal tariff announcement will most definitely impact Bangladesh as its nearest competitors in apparel supply to the American market are facing lower tariffs, said exporters and economists yesterday.
The government will shortly write to the United States Trade Representative (USTR), urging it to reduce what it describes as an irrational imposition of 37 percent reciprocal tariffs on Bangladeshi exports, a top official said yesterday.
Bangladesh’s reliance on Indian imports has been increasing as local manufacturers and industries are struggling to reduce the time needed to bring in goods from other destinations as they battle to meet shrinking lead times.
Nearly 75 percent of the 9,596 garment and non-garment factories across Bangladesh were yet to pay workers their March wages till yesterday, according to Industrial Police, as Eid holidays are just around the corner.
China has been the single largest trading partner for Bangladesh for many years, but imports from the country have far outweighed exports
An uncertain future is overshadowing the joy of the upcoming Eid for thousands of workers who have lost their jobs due to factory closures and layoffs in the wake of last year’s political shift.
