B Mirror Report: Bangladesh has lost its position as the second-largest apparel supplier to the United States after garment exports to the US declined in the first eight months of 2026, with China moving ahead in August.

Vietnam retained the top position among apparel exporters to the US, according to the latest data released by the Office of Textiles and Apparel (OTEXA) under the US Department of Commerce on Wednesday.

Bangladesh exported $5.3934 billion worth of garments to the US during January-August, down 4.43% from the same period a year earlier.

China, meanwhile, exported $5.6307 billion worth of apparel to the US during the period, despite a sharp 39.39% year-on-year decline.

Bangladesh had remained ahead of China through the first seven months of the year, with exports of $4.6589 billion during January-July. China overtook Bangladesh after its August shipments were included in the cumulative figures.

The US is the single largest export destination for Bangladesh’s garment industry, accounting for around 20% of the country’s total apparel export earnings.

Bangladesh’s apparel exports to the US reached a record $9.73 billion in 2022, rising 36% from the previous year. Exports then fell 25% to $7.29 billion in 2023 amid high global inflation and rising interest rates.

Exports recovered slightly in 2024 to $7.34 billion before rising nearly 12% to $8.20 billion in 2025.

The broader US apparel import market also contracted during the first eight months of 2026. According to OTEXA, US importers purchased $49.0755 billion worth of apparel from countries worldwide during January-August, down 7.42% from around $53 billion in the same period last year.

Vietnam remained the largest apparel supplier to the US, exporting $10.9756 billion worth of garments during the first eight months of 2026. Its exports, however, declined 0.76% year on year.