by 
Dhaka, July 8, 2025 - US President Donald Trump has announced a 35% countervailing tariff on goods from 14 countries, including Bangladesh, putting the country’s export sector, particularly the readymade garment industry, in grave jeopardy. The new tariff, initially set to take effect on July 9, has been deferred to August 1.
The decision follows the expiration of a 90-day tariff suspension by the White House. An executive order issued on April 7 stated that the new tariff will be applied in addition to existing duties. As a result, the average 15% tariff on Bangladeshi goods will increase to 50%, with tariffs on readymade garments potentially reaching up to 51% and exceeding 60% for some products.
Mahmud Hasan Khan, President of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said, “If this tariff is implemented, it will have a severe negative impact on the export sector. Factories relying on the US market for over 50% of their exports will be hit the hardest.” He expressed frustration, stating, “Businesses are in the dark. We haven’t been informed about tariff negotiations, only given assurances.”
Sources from the Commerce Ministry indicate that formal discussions with the US on the tariff issue have just begun. Commerce Adviser Sheikh Bashiruddin is currently in the US for talks.
According to the US Department of Commerce, Bangladesh exported $2.22 billion worth of readymade garments to the US in the first quarter of 2025, a 26.64% increase compared to the same period last year. In 2024, total export earnings to the US amounted to $8.36 billion.
Mohiuddin Rubel, a former BGMEA director, warned, “If the new tariff persists, many workers may lose their jobs. Without swift action, the industrial sector will face significant losses.” He urged increased engagement with US importers and high-level trade negotiations to highlight the importance of Bangladeshi garments and other products.
