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U.S. tariff hikes on India and China open door for Bangladeshi exporters
BY Insider Desk
August 30, 2025

Bangladeshi exporters are seeing a surge in interest from American buyers following steep US tariff hikes on imports from India and China.
Industry insiders say the inquiries cover not only Bangladesh’s mainstay apparel sector but also non-traditional products such as hardware, construction materials, PVC pipes, and woven bags.
Since last week, Indian exports to the US have faced tariffs of up to 50%—a combination of an additional 25% penalty duty over Russian oil imports and an earlier Trump-era levy. The rate now applies to goods such as ready-made garments, footwear, jewellery, and chemicals.
Exporters in Bangladesh say this is creating new opportunities, but concerns remain. Meghna Bulk Bag Industries reports a rise in US inquiries but warns that Indian exporters’ pivot to the EU could intensify competition there. Akij Pipes says US buyers are pressing Bangladeshi firms to absorb part of the existing 20% duty on imports from Dhaka.
Light engineering exporters also see opportunities, though they cite high import duties on raw materials as a barrier. “If the government allows duty drawback or bond facilities for small enterprises, it would help us compete,” said Md Saiful Islam of Foresight Business Solutions.
Apparel makers report strong interest from US retailers, with orders shifting away from India and Vietnam. Sparrow Group says it expects 10–15% higher orders in upcoming seasons but stresses that government support is needed to sustain growth as trade patterns shift.
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