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Us Tariff Turmoil Sends Ripples Through Bangladesh’s Apparel Trade

A wave of uncertainty has hit Bangladesh’s ready-made garment (RMG) sector as several top American buyers have requested a temporary halt on apparel shipments until April 10. This cautious pause follows President Donald Trump’s decision to impose a hefty 37% tariff on Bangladeshi apparel, sending shockwaves across the export-dependent industry.

Global retail giants like Walmart, Levi’s, and GAP have already initiated cost-cutting measures. While GAP has reportedly asked Bangladeshi suppliers to bear the brunt of the new tariff, others are demanding substantial discounts. The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) is urging swift action, calling on the Bangladesh Shipping Association to expedite the dispatch of US-bound containers from Chattogram Port to avoid missing the April 9 deadline. A delay could mean falling under the new tariff regime, severely slashing profit margins or causing order cancellations.

“We must ensure every container leaves within the next three days,” emphasized former BGMEA Vice President Rakibul Alam Chowdhury. The trade body also issued an open letter urging global buyers to support their long-term partners instead of shifting the financial burden amid this crisis.

Some exporters like Pacific Jeans Ltd. are continuing production as scheduled, but smaller buyers are reportedly pressuring suppliers to share or fully absorb the tariff costs. “It’s going to be extremely difficult,” remarked former BGMEA director Mohiuddin Rubel, urging patience and strategic thinking. Former BGMEA President Faruque Hassan warned of broader implications: “If we offer trade benefits to one country, it may compromise our advantages elsewhere, particularly in the EU. This tariff hike may ultimately strain both economies, pushing up inflation in the US and stalling demand — a lose-lose for all.”

  10:24 AM, Apr 08

Source : Us Tariff Turmoil Sends Ripples Through Bangladesh’s Apparel Trade
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