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Bangladesh ahead of China again in US apparel

Bangladesh retained its position as the second-largest apparel supplier to the US in January-July, despite a 6.50 per cent year-on-year decline in shipments to $4.66 billion.

Its position was helped by a much steeper 34.21 per cent plunge in Chinese exports, while overall US apparel imports also contracted sharply amid weaker demand.

Bangladesh’s garment exports to the US fell 10.73 per cent in July alone, according to data from the US Office of Textiles and Apparel (OTEXA), which tracks American textile and apparel imports.

The latest figures underline the resilience of Bangladesh’s ready-made garment (RMG) industry in its key export market, but also point to mounting pressure on exporters as US demand weakens and competition from other Asian suppliers intensifies.

Overall US apparel imports fell 8.65 per cent year-on-year to $41.83 billion in the first seven months of 2026.

China, once the leading apparel supplier to the US, saw its shipments fall 34.21 per cent to $4.55 billion, putting it marginally behind Bangladesh.

Bangladesh had briefly overtaken China in January-February for the first time, following higher tariffs imposed by the administration of US President Donald Trump on Chinese garment imports.

Vietnam remained the largest apparel supplier to the US, although its shipments fell 1.03 per cent to $9.36 billion during January-July.

India’s apparel exports to the US dropped 25.77 per cent to $2.45 billion, while Pakistan’s declined 5.60 per cent to $1.26 billion.

Several competing suppliers performed better despite the broader market contraction. Indonesia’s exports rose 2.76 per cent to $2.74 billion, while Cambodia recorded a 10.48 per cent increase to $2.62 billion, OTEXA data showed.

Shipment volumes also declined for Bangladesh, although the fall was less pronounced than those recorded by China and India.

By piece count, Bangladesh’s apparel exports dropped 4.34 per cent, compared with declines of 24.17 per cent for China and 24.02 per cent for India.

Unit prices also varied among major suppliers. Prices increased to some extent for Vietnam, Indonesia and Cambodia, while unit prices fell across the board among several leading exporters.

China recorded the steepest decline in unit prices at 13.24 per cent, while Bangladesh’s unit prices fell by a more moderate 2.26 per cent.

The latest data present a mixed picture for Bangladesh’s RMG sector. The country has managed to preserve its second-place ranking despite weaker US demand and a decline in export value, while China has suffered a far sharper contraction.

But the fall in both Bangladesh’s shipment value and volume suggests that exporters are facing a more challenging market. With the US remaining a major destination for Bangladesh’s garments, prolonged weakness in American apparel demand, alongside rising competition from countries such as Vietnam, Indonesia and Cambodia, could limit export growth in the coming months.