US reimposes 10pc tariff on Bangladesh under forced labor trade measure


The tariff took effect on
July 24 following a decision by the Office of the US Trade Representative
(USTR), replacing the temporary 10 percent duty that expired a day earlier.
Although introduced under a different legal framework, the new measure keeps
the overall tariff on Bangladeshi garment exports to the US unchanged at 25.62
percent.
The latest duty follows a
USTR investigation launched in March under Section 301(b) of the US Trade Act
of 1974, which reviewed around 60 countries over their efforts to prevent the
import of products linked to forced labor.
Bangladesh has been
placed in the lower 10 percent tariff category alongside 17 other countries,
including India, Pakistan, Cambodia, Indonesia, Malaysia, Canada and the United
Kingdom. Major apparel-exporting competitors such as China, Vietnam and
Thailand have been assigned a higher 12.5 percent tariff.
The Ministry of Foreign
Affairs said Bangladesh's placement in the lower tariff tier preserves its
competitive position in the US market. It also noted that Washington is
considering a three-year tariff-rate quota that would exempt products made with
US cotton and textile inputs from the Section 301 duties, potentially providing
an additional advantage for Bangladeshi exporters.
Commerce Minister
Khandaker Abdul Muktadir said the latest measure would not create any new
burden for exporters, as the tariff rate remains unchanged despite being
introduced under a different legal basis.
Industry leaders also
downplayed the immediate impact. Bangladesh Garment Manufacturers and Exporters
Association (BGMEA) Director Faisal Samad said exporters were already operating
under the same effective tariff rate.
The US is Bangladesh's
largest single-country export destination. In fiscal year 2025-26, Bangladesh
exported goods worth USD 9.04 billion to the US, including USD 7.74 billion
worth of garments, according to Export Promotion Bureau data. Approximately
one-fifth of Bangladesh's apparel exports are shipped to the American market.










