Bangladesh will send the work plan to the United States Trade Representative (USTR) within the next week to reduce the trade gap as part of the efforts to bring down Trump’s reciprocal tariff, currently on pause until July 9.
In a first move to address the shortfall, Sylhet's Osmani International Airport is set to launch dedicated cargo operations today
The United States Trade Representative (USTR), the US government’s chief trade negotiation body, wants to see Bangladesh’s work plan on narrowing the bilateral trade gap before the Trump administration makes a call on reciprocal tariffs.
Local suppliers have secured adequate work orders from US clothing retailers and brands to stay busy until Christmas at the end of this year, although the shipments are likely to be subject to Trump’s reciprocal tariffs.
Safety standards in Bangladesh’s garment sector saw a marked improvement after the disastrous Rana Plaza collapse in 2013, but there is still a need for other sectors to improve in this regard, Labour Reform Commission chairman Syed Sultan Uddin Ahmed said in an interview yesterday.
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.
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.
"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
The chief adviser made the call in a letter to the US president
A $100 shipment of T-shirts or jeans from Dhaka would face nearly $49 in import taxes at a US port, compared to just $11.56 now
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.
