BD agrees to buy US agri goods to protect export edge

NN Online:
Bangladesh has successfully secured a 20% tariff rate on its apparel exports to the United States—on par with key competitors such as Sri Lanka, Vietnam, Pakistan, and Indonesia, which received rates between 19% and 20%.

According to the Chief Adviser’s press wing, this outcome ensures that Bangladesh’s competitiveness in the global apparel market remains intact.

In contrast, India was hit with a 25% tariff after failing to finalize a comprehensive deal with the US.

“We approached the negotiations with caution, making sure our commitments aligned with national priorities and our economic capacity,” said Dr Khalilur Rahman, Bangladesh’s National Security Advisor and chief negotiator.

“Safeguarding the apparel sector was a top priority. At the same time, we committed to purchasing U.S. agricultural products to support our food security and strengthen ties with U.S. farming states,” he added.

Dr Rahman also noted that Bangladesh avoided a potential 35% punitive tariff. “This is a big win for our economy and the millions whose livelihoods depend on the apparel industry. We’ve maintained global market access and opened new doors in the world’s largest consumer market.”

The announcement came as U.S. President Donald Trump rolled out a new tariff regime, imposing rates of up to 41% on imports from 70 countries ahead of the August 1 deadline for finalizing bilateral trade agreements.

These deals go beyond simple tariff reductions. They require countries to make domestic policy adjustments that the Trump administration believes contribute to trade imbalances and raise national security concerns.

To qualify for lower tariffs, countries were also required to commit to purchasing U.S. goods—especially in agriculture and manufacturing—while addressing issues like non-tariff barriers and economic asymmetries.

The Chief Adviser’s office acknowledged the complexity of the negotiation process, citing the wide scope of U.S. demands and the long-term implications for domestic policy and trade relations.