The Bangladesh Textile Mills Association (BTMA) convened a high-level roundtable today titled “U.S. Tariffs on Bangladesh’s Exports: Reciprocal Strategies and Way Forward for Negotiations” in Dhaka. The event brought together leading voices from trade, business and policy to address the growing impact of U.S. tariffs on Bangladeshi exports and identify actionable strategies to strengthen bilateral trade relations.
BTMA President Showkat Aziz Russell chaired the session and emphasized the need to reduce the trade imbalance between Bangladesh and the United States. He proposed leveraging Bangladesh’s status as a major importer of U.S. cotton by manufacturing cotton-based garments for duty-free access to the U.S. market. He also called for robust government support—both financial and policy-based—and greater foreign direct investment (FDI) to create employment and enhance competitiveness in the textile sector.
The keynote address was delivered by Dr. Masrur Reaz, Chairman of Policy Exchange Bangladesh, who underscored the significance of the recent 90-day deferment on new U.S. tariffs. He urged stakeholders to move beyond diplomacy alone and pursue market-based solutions.
“Bangladesh must act decisively—by engaging buyers and brands, increasing U.S. content in exports, and assessing sector-specific impacts—to secure long-term access to the U.S. market,” said Dr. Reaz. Bangladesh currently faces tariff rates as high as 37%, compared to India (26%), Pakistan (29%), and Indonesia (32%), placing its exports at a competitive disadvantage. Despite being a major buyer of U.S. cotton, Bangladesh receives limited trade preferences—a gap that participants stressed must be addressed through strategic engagement.
Key Recommendations from the Roundtable:
• Increase U.S. content in manufactured goods to 20% to qualify for reduced tariff rates.
• Establish U.S. cotton storage hubs in Bangladesh to streamline imports and eliminate logistical barriers.
• Invest in infrastructure, industrial capacity and human capital to boost productivity and global market readiness.
• Encourage U.S. investment in diversified sectors to expand export offerings.
• Include the U.S. private sector in ongoing Free Trade Agreement (FTA) dialogues alongside government efforts.
Distinguished Participants Included: Hafizur Rahman, Administrator, FBCCI, Anwar Hossain, Vice Chairman, EPB & BGMEA Administrator, Anwar-ul Alam Chowdhury, President, BCI, Abdul Hai Sarker, President, BAB, Shamim Ahmed, President, BPGMEA, Mohibuz Zaman, Managing Director, ACI Healthcare Ltd & Joint Secretary, BAPI, Zonayed Saki, Chief Coordinator, Gono Sanghati Andolon
Also in attendance were BTMA Vice Presidents, Abul Kalam and Md. Saleudh Zaman Khan, along with Directors Md. Masud Rana, Abdullah Al Mamun, Md. Shahid Alam, Md. Kamrul Hassan, Hossain Mehmood, Matiur Rahman. Among others Kutubuddin Ahmed Former President, BGMEA and Member, Advisory Board, BTMA and Mohammad Helal Mia (Chairman, Amanat Shah Group and Member, Advisory Board, BTMA).
Participants expressed cautious optimism that evolving global trade realignments could open new doors for Bangladesh. However, they warned that inaction could lead to long-term setbacks.The event concluded with a unified call for proactive, collaborative efforts between the public and private sectors to address tariff challenges and secure a stronger, more equitable trade relationship with the United States.
The U.S. remains Bangladesh’s largest export destination, accounting for nearly 20% of total Ready-Made Garment (RMG) exports, valued at USD 7.34 billion in 2024.
