Bangladesh could secure an additional $2 billion in export orders as American buyers shift sourcing from India and China to avoid higher US tariffs, said Zahid Hussain, former lead economist at the World Bank’s Dhaka office.

Speaking at a commemorative lecture on Moazzem Hossain, former editor of Hussain, noted that the Trump administration has imposed tariffs of up to 50% on Indian exports and 30% on Chinese goods, while Bangladesh faces a comparatively lower 20% tariff.

The bulk of new orders is expected to come from India, with a smaller portion from China.

Hussain described this as a key opportunity for Bangladesh but warned that the country must ensure efficient transport and logistics to benefit fully.

He added that Bangladesh’s economy shows signs of stability, with easing inflation, rising foreign reserves, and growth in remittance and export earnings.

Hussain credited improved economic management, including efforts to curb money laundering and bank embezzlement.

However, challenges remain, he cautioned. Investment levels are sluggish, non-performing loans are increasing, and poverty and inequality persist.

Global trends, including a weakening dollar and falling energy and commodity prices, could nonetheless benefit Bangladesh’s export competitiveness.