Bangladesh’s readymade garment (RMG) exports to the United States, its largest single export destination, recorded strong double-digit growth in the first ten months of 2025, driven largely by front-loaded shipments ahead of tighter US tariff enforcement, industry insiders said.
According to US government data, Bangladesh’s apparel exports to the US rose more than 15 percent year-on-year to $7.08 billion during January–October 2025, despite the American apparel market remaining largely flat over the same period.
Exporters said the growth was not demand-led, but rather a result of accelerated shipments before the Trump administration implemented its reciprocal tariff regime.
A temporary 10 percent baseline tariff was imposed by the US from mid-April through July, before higher country-specific tariffs took effect on August 7. Combined with the existing 16 percent US duty, Bangladeshi apparel faced a total tariff burden of around 26 percent during the baseline phase.
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For Bangladesh, an even steeper 35 percent reciprocal tariff was initially announced in April but was later revised downward to 20 percent following bilateral negotiations, easing some pressure on exporters.
During the lower-tariff window, US buyers rushed to place larger-than-usual consignments, pushing up shipment values in the January–October period and masking weaker momentum in the later months, exporters said.
The strong headline growth came despite the US apparel import market contracting slightly. Total US apparel imports from the world fell 0.61 percent year-on-year to $66.63 billion during January–October, according to the Office of Textiles and Apparel (OTEXA) under the US Department of Commerce.
Most major apparel-exporting countries, however, posted growth during the period are Vietnam up 11.5% to $14.16 billion, India: up 8.6% to $4.39 billion, Pakistan: up 12.3% to $2.02 billion, Indonesia: up 10.1% to $3.98 billion, Cambodia: up 25.5% to $4.04 billion
China was the notable exception, with exports to the US plunging 32.4 percent to $9.49 billion, reflecting shifting sourcing strategies and ongoing trade tensions.
Despite higher shipment values, unit prices for Bangladeshi garments declined slightly, underscoring intense price competition and cautious buying by US retailers.
OTEXA data show Bangladesh unit price down 0.63%, Vietnam down 0.46%, China down 10.47%, Cambodia down 7.26%, Pakistan down 6.85%, Indonesia down 2.72%
India was the only major exporter to record a price increase, with unit values rising 1.57 percent, supported by higher-value product mixes.
Exporters said shipment momentum weakened after August, with exports easing further in October and November following the enforcement of higher tariffs.
Anwar-ul Alam Chowdhury (Parvez), former president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said the January–October figures do not fully reflect the year’s underlying trend.
“The growth was concentrated in the early months, when shipments were rushed ahead of tariff enforcement,” he said.
Parvez noted that export performance slowed after August but expressed optimism that shipments would stabilise after Bangladesh’s general election, as buyers typically resume placing full-scale orders once political uncertainty subsides.
Meanwhile, signs of resilience in the US consumer market are offering fresh hope for apparel exporters.
For large apparel suppliers like Bangladesh, improving US retail sales, stabilising tariffs and post-election clarity could support a gradual recovery in export momentum in early 2026. However, exporters warn that pricing pressure, higher duties and intense regional competition will continue to shape sourcing decisions in the US market
