B Mirror Report : Bangladesh’s ready-made clothing exports to the US reached $7.08 billion between January and October of last year, a rise of more than 15% year over year. Local producers credit this increase to US purchasers’ advance shipments before to the Trump administration’s promised reciprocal tariffs, which stimulated large-scale imports at the beginning of the year.
Between April and July, the US imposed a temporary 10% minimum tariff on certain Bangladeshi goods, which added to an already effective 16% tariff, raising the total to nearly 26%. On 8 August, the US further increased tariffs on the country. To avoid higher tariffs, US buyers imported unusually large volumes earlier in the year, driving up export statistics for January–October.
Exporters note that this early surge makes the ten-month statistics appear stronger than the actual trend for the entire year, as shipments slowed after August. Initially, the US had announced a 35% reciprocal tariff, later revised to 20% following bilateral negotiations.
This growth occurred despite an almost stagnant US apparel market. According to the US Office of Textiles and Apparel (OTEXA), total US apparel imports from the world fell 0.61% year-on-year to $66.63 billion during January–October. Other major apparel-exporting countries, however, saw positive growth:
- Vietnam: +11.5% to $14.16 billion
- India: +8.6% to $4.39 billion
- Pakistan: +12.3% to $2.02 billion
- Indonesia: +10.1% to $3.98 billion
- Cambodia: +25.5% to $4.04 billion
- China: −32.4% to $9.49 billion
Unit prices of Bangladeshi garments fell slightly by 0.63%, reflecting intense competition and cautious buying by US retailers. Comparatively, Vietnam’s unit prices dropped 0.46%, China 10.47%, Cambodia 7.26%, Pakistan 6.85%, and Indonesia 2.72%. India’s unit prices increased 1.57%.
According to exporters, while exports were strong at the start of the year, shipments slowed from August onward, particularly in October and November after the higher tariffs took effect.
Anwar-ul Alam Chowdhury Parvez, former president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said the January–October data does not fully reflect the annual trend. Most of the growth occurred in early months due to advance shipments before tariffs were imposed. He expressed optimism that post-election political stability will encourage international buyers to place full orders.
Meanwhile, US retail sales in November showed strong year-on-year growth. The National Retail Federation (NRF) noted that good holiday-season sales put 2025 spending forecasts on track, reducing inventory levels and potentially encouraging new orders from countries like Bangladesh.
NRF President & CEO Matthew Shay said November retail sales rose year-on-year, though monthly growth remained flat. He highlighted that the timing of Cyber Monday in December (due to a late Thanksgiving) may have slightly delayed online purchases. Consumers are price-conscious, and retailers are offering competitive pricing to meet holiday budgets. Shay expressed confidence in both holiday season forecasts and annual retail sales targets, which is positive news for Bangladesh’s garment exports.
