U.S. Further Lowers Bangladesh Tariffs to 19% with New Apparel Exemptions (02-10-2026)

The U.S. will reduce its “reciprocal tariffs” on Bangladesh to 19% under new trade agreement announced by the White House, introducing zero-tariff access for certain apparel and textiles made with U.S.-sourced cotton and synthetic fibers. Overall U.S. tariffs on Bangladesh will fall from 20% to 19%—down from 37% in 2025—facilitating deeper market access for U.S. chemicals, medical devices, auto parts, soy products, and meat. Bangladesh will also recognize U.S. food, drug, vehicle safety and emissions standards. In exchange, it will open markets for U.S. industrial and agricultural goods, and the U.S. anticipates Bangladesh will purchase about $150 billion in energy and $35 billion in agricultural products over the next 15 years. The apparel sector, a $40 billion pillar of Bangladesh’s economy employing 4 million workers, is expected to benefit from the exemption mechanism, with firms increasing U.S. raw material usage to support exports as they compete with India’s roughly 18% duty rate.