Despite agreement on trade issues, Bangladesh's negotiations with the United States are currently stalled on non-trade issues. Among these are some sensitive issues on which a Bangladesh delegation will travel to Washington next week for a third round of negotiations, with the advice of the interim government's chief advisor and others.
This information has been revealed through conversations with several business leaders. However, government advisors and related officials are not officially saying anything about the negotiations due to non-disclosure agreements with the United States.
On July 7, US President Donald Trump announced new tariffs on 14 countries, including Bangladesh, South Korea, and Japan. In this, an additional tariff of 35 percent was set on Bangladeshi products. Earlier, the tariff was supposed to take effect from July 9, but it has been postponed to August 1. If the US administration can negotiate with him during this period, the tariff rate may be reduced, otherwise the announced rate will be effective. Although the country implemented a 10 percent counter-tariff on the export of goods from all countries three months ago.
A team led by Commerce Adviser Sheikh Bashiruddin returned home last Sunday after holding talks in Washington from July 9 to 11. Returning home last Monday, the Trade Adviser told reporters at a press conference, "Preparations are being made for the third phase of talks with the US. Time has been sought from the US. We hope that Bangladesh will be able to continue doing business in the US market with its capacity and that the US will impose tariffs on Bangladeshi products at a reasonable level. The discussions with the US on tariffs last week were encouraging and quite engaging."
It is learned that among the conditions being discussed in the negotiations is that if the United States imposes sanctions on any country, Bangladesh will also have to comply with it. That means that Bangladesh will have to refrain from trade or investment activities with the country under US sanctions. In addition, there is a condition that Bangladesh will not provide duty-free benefits to any other country for the products that the United States will provide.
The United States is the single largest export market for Bangladeshi goods. In the 2024-25 fiscal year, Bangladesh exported goods worth US$8.69 billion to the United States, which is a little more than 18 percent of the country's total export earnings. More than 85 percent of Bangladeshi goods exported to the United States are ready-made garments. In addition, hats or caps, leather shoes, home textiles, wigs, etc. are exported more.
When asked, Commerce Secretary Md. Mahbubur Rahman told, "A meeting was held with businessmen and economists. I have received their opinions. Another inter-ministerial meeting will be held soon. Some opinions will come from here as well. Overall, I will go to the United States for the third-stage meeting with maximum preparation. We are hopeful that we will be able to bring the best results for the country on customs matters before August 1."