The United States has formally requested Bangladesh to grant zero-duty access for a range of its products, as confirmed by Bangladesh’s Commerce Secretary Mahbubur Rahman. The request, communicated via email from the US Trade Representative (USTR), comes amid ongoing trade negotiations to address Bangladesh’s export-driven economy, which faces challenges from a proposed 35% US tariff set to take effect in August 2025.
The US aims to narrow its trade deficit with Bangladesh, which exceeds $6 billion, by securing duty-free entry for goods like wheat, cotton, LNG, and soybeans. In response, Bangladesh has offered concessions to increase imports of these American products, aiming to maintain competitiveness in the global market, particularly in the garment sector, which is a cornerstone of its economy. Posts on X reflect concerns among Bangladeshi stakeholders about the tariff’s potential to disrupt the garment trade, with some urging swift diplomatic efforts to mitigate the impact.
These negotiations occur against the backdrop of broader US trade policies, including pressures on Bangladesh to reduce reliance on Chinese suppliers. The outcome of these talks will significantly influence Bangladesh’s export market and its ability to navigate the complexities of international trade dynamics.
Published in SouthAsianDesk, July 14th, 2025
Follow SouthAsianDesk on X, Instagram and Facebook for insights on business and current affairs from across South Asia.
