U.S. trims tariffs on Bangladesh to 19%

In a significant trade development, the United States has announced a reduction in tariffs on Bangladeshi exports, specifically targeting the country's vital ready-made garment sector, which relies heavily on cotton and synthetic fibers sourced from the U.S. According to Bangladesh's Commerce Secretary Mahbubur Rahman, this new agreement will allow these garments to enter the U.S. market with zero reciprocal duties, thereby enhancing their competitiveness. The move is expected to bolster Bangladesh's economy, which has been heavily dependent on its garment industry as a primary source of export revenue. This tariff adjustment not only reflects the strengthening of trade relations between the two nations but also aims to support Bangladesh's ongoing efforts to recover from the economic impacts of the COVID-19 pandemic. The reduction to 19% signifies a more favorable trading environment and is anticipated to attract increased investment in the Bangladeshi garment sector, further solidifying its position as a global player in textile manufacturing.