DHAKA — Bangladesh’s readymade garment (RMG) industry is poised to gain from the ongoing trade disputes and reciprocal tariffs between the United States and major competitors like China and India. The US administration’s decision to impose higher tariffs on goods from these countries is being viewed as a significant opportunity for Bangladeshi exporters to capture a larger share of the US market.

According to a leading economist, this shift could result in as much as $2 billion in additional orders for Bangladesh. However, industry leaders are cautious, citing political unpredictability and Bangladesh’s current production capacity as potential roadblocks to a swift and significant shift in business.

The situation is further complicated by legal challenges in the US. President Trump is seeking an expedited Supreme Court ruling to uphold the tariffs after a lower court deemed them illegal. This legal uncertainty could impact the long-term stability of these trade policies.

In a proactive move, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has urged international buyers to increase their sourcing from the country. The BGMEA president highlighted Bangladesh’s tariff advantages over its competitors in the US and also called for a standardized code of conduct for audits and compliance to streamline business processes.

This evolving trade landscape presents both opportunities and challenges for Bangladesh. While the higher tariffs offer a chance to boost exports, the country’s ability to capitalize on this situation will depend on its capacity to scale up production and navigate the complexities of global trade politics.

Source: This rewritten article is based on reporting from The Daily Star.