Staff Reporter :
The Bangladesh government has announced plans to expand duty-free access for an additional 100 products imported from the United States, as part of efforts to address the growing trade imbalance between the two countries.
In an official letter sent to the United States Trade Representative
(USTR) on Monday, Bangladesh’s Commerce Adviser, Sheikh Bashir Uddin, outlined the country’s initiative to add 100 new product lines to the existing list of 190 items eligible for zero tariffs.
Bashir Uddin highlighted that this move is part of broader efforts to strengthen bilateral trade relations and improve access for U.S. exports to Bangladesh.
He also stated that Bangladesh is exploring the possibility of signing a long-term liquefied natural gas (LNG) agreement with the U.S. and opening up its healthcare sector to American private equity investments, all in exchange for potential tariff concessions.
“Our administration is focused on lowering tariff rates and removing non-tariff barriers to promote more equitable trade,” Bashir Uddin wrote in the letter. The government is also undertaking reforms such as simplifying customs procedures, updating the import policy, and enforcing stricter intellectual property rights, including patents and trademarks.
The letter also mentioned plans to engage with U.S. automakers about establishing vehicle manufacturing facilities in Bangladesh. Additionally, the government aims to increase private-sector imports of U.S. agricultural products such as soybeans, wheat, and cotton.
These steps are seen as part of a broader strategy to enhance bilateral trade and reduce the existing trade surplus Bangladesh holds with the U.S. Notably, the letter pointed out that following the end of preferential treatment for Bangladeshi exports to the U.S., all Bangladeshi goods are now subject to a 15 per cent tariff, in contrast to the 6.10 per cent average weighted tariff Bangladesh imposes on U.S. products.
Furthermore, key raw materials like cotton and steel scrap are taxed at 0 per cent and 1 per cent, respectively, while Bangladesh continues to face high U.S. tariffs on its garment exports.
In response to these challenges, Bangladesh has committed to addressing the barriers faced by U.S. exports, emphasising its ongoing dialogue with the U.S. Embassy in Dhaka. These discussions, the letter stated, have already led to agreed steps aimed at overcoming trade obstacles.
The letter concluded with a pledge from Chief Adviser and Nobel Laureate Professor Dr. Muhammad Yunus, along with his administration and Commerce Adviser Sheikh Bashir Uddin, to continue fostering a productive partnership with the U.S. “We are committed to strengthening our bilateral trade relations for the economic welfare of both nations and eagerly await your response,” the letter read.
Earlier that day, Chief Adviser Yunus had sent a separate letter to U.S. President Donald J. Trump, requesting a three-month delay in the implementation of reciprocal tariffs on Bangladeshi exports. This request was made to provide the interim government with sufficient time to introduce measures aimed at enhancing U.S. exports to Bangladesh.
On April 2, President Trump announced the imposition of reciprocal tariffs on imports from several countries, including a 37 per cent duty on Bangladeshi goods. In retaliation, Bangladesh has committed to revising its import policies and relaxing non-tariff restrictions to boost U.S. exports.
On April 5, Yunus convened an emergency meeting to discuss the looming tariff issue. Following the meeting, Commerce Adviser Bashir Uddin confirmed that Bangladesh plans to increase imports of essential U.S. goods and reduce its trade surplus, a move aimed at supporting ongoing negotiations over the 37 per cent tariff, which is scheduled to take effect on April 9.
As the situation continues to unfold, Bangladesh remains hopeful that dialogue with the U.S. will lead to a resolution of the tariff dispute, paving the way for a more balanced and mutually beneficial trade relationship.
