Gazi Anowar :
In a high-stakes diplomatic effort, Bangladesh and the United States are scheduled to hold a crucial virtual meeting on 29 July to discuss the recently imposed 35% reciprocal tariff on Bangladeshi exports to the US.
With just days remaining before the new tariff regime takes effect on 1 August, the meeting is being viewed as a critical opportunity for negotiation and possible de-escalation.
In a letter dated 8 July, US President Donald Trump officially informed Bangladesh’s Chief Adviser, Prof Muhammad Yunus that the new tariffs- framed under a national emergency declaration – would come into force on 1 August.
If fully implemented, Bangladeshi exports to the US could face tariffs nearing 50% on average, potentially delivering a major blow to the country’s export-dependent economy, particularly in the readymade garment (RMG) sector.
Speaking to reporters, Commerce Adviser Bashir Uddin confirmed that the government had sent a formal letter to US Commerce Secretary Howard Lutnick just two days earlier, outlining Bangladesh’s position on the tariff issue. “We are waiting for a response and an invitation.
Once we receive both, our negotiation team is ready to travel immediately,” Bashir stated.
He emphasized that the government is working with full momentum, acknowledging the urgency of the situation. “This is as important for the US as it is for us. There is no inertia on our part,” he said.
Responding to calls from business leaders to appoint a lobbyist in Washington, Bashir clarified, “The government has not appointed any lobbyist. You have to understand that the US is operating under a national emergency declaration.
I’m not sure if lobbyists can intervene effectively within the structure in which this is happening.”
He further explained that many of the required policy responses involve intricate inter-ministerial legal procedures, adding, “Only we understand what needs to change in our systems. A lobbyist may not be equipped to grasp or handle that.”
The Adviser noted that the government has been working “day and night” over the past two weeks to coordinate efforts across all relevant ministries. “We’ve conveyed our position and hope to proceed upon receiving the invitation,” he added.
When asked how confident the government is about receiving the invitation before the 1 August deadline, Bashir Uddin replied, “I’m just as curious and eager as you [journalists] are.”
He also said a schedule for the online meeting may arrive “within today or tomorrow,” signaling that diplomatic communication remains open.
Crucially, he confirmed that dialogue with the US would continue even if the 1 August implementation date passes without a resolution. “Of course, they will,” he stated regarding post-deadline negotiations.
Meanwhile, economic analysts are carefully evaluating the potential impact of Bangladesh’s trade maneuvering. Dr Khondaker Golam Moazzem, Research Director at the Centre for Policy Dialogue (CPD), told The New Nation that the overall success of these negotiations may depend on several factors: (1) how additional imports from the US contribute to reducing the trade deficit.
(2) The extent to which Bangladesh must bear higher import costs due to shifting away from more competitive suppliers.
(3) The pressure this may place on the country’s already fragile foreign exchange reserves. (4) The reaction from traditional sourcing countries like Ukraine, Brazil, and Russia, which may be sidelined due to this strategic realignment.
As part of a parallel strategy, the Bangladesh government has approved the import of 220,000 tonnes of wheat from the United States at a comparatively higher price, hoping to leverage the deal to secure reduced tariffs on Bangladeshi exports to the US market- a move widely seen as a goodwill gesture to create leverage in upcoming talks.
The announcement came following the weekly meeting of the Advisory Council Committee on Government Purchase (ACCGP) held on Wednesday at the Bangladesh Secretariat.
Finance Adviser Dr Salehuddin Ahmed said the government is actively negotiating with US authorities to reduce the recently imposed 35% tariff on Bangladeshi exports, especially garments.
As part of this strategy, the Cabinet Committee on Public Purchase approved the wheat import deal, which is valued at Tk817.57 crore, translating to Tk37.20 per kilogram.
The wheat will be procured under a government-to-government (G2G) agreement from a US agency, with the purchase price fixed at $302.75 per tonne – higher than current global market rates.
Syed Moazzam Hossain, president of the Australia Bangladesh Chamber of Commerce and Industry (ABCCI), said the govt. bets on US wheat deal to secure export relief and it is overreliance on such symbolic measures
“Trade negotiations with the US are complex and driven by a broader set of strategic interests.
Simply importing higher-priced wheat is unlikely to tip the scale unless it’s part of a well-coordinated diplomatic push,” he argued. “More engagement with the US private sector and use of institutional diplomacy is needed.”
Whether the diplomatic push and trade concessions will translate into tariff relief remains to be seen. But with the clock ticking toward the 1 August deadline, the outcome of the 29 July meeting could define a pivotal moment in Bangladesh-US trade relations.
