Finance Adviser Dr Salehuddin Ahmed on Tuesday expressed optimism about securing a better outcome in the one-to-one negotiation with the United States Trade Representative (USTR) following US President Donald Trump’s announcement of new tariffs on imports from 14 countries including Bangladesh.
“The final tariff will be fixed in the one-to-one negotiation with the USTR. That’s why we will have our meeting with them (USTR), the rate is not final yet,” he told reporters emerging from Cabinet Committee on Government Purchase (CCGP) meeting held at the cabinet division of Bangladesh Secretariat.
The meeting with the USTR is scheduled for July 9 (US time).
The Finance Adviser dismissed concerns over weak negotiation skills on Bangladesh’s part, saying, “Vietnam received greater tariff relief because their trade deficit with the US is $125 billion while ours is only $5 billion. So, Vietnam got the better discount in the tariff rates.”
He said the Commerce Adviser is already in Washington and has been working on this issue since he went three days ago.
“We will understand the matter after holding the July 8 meeting which will be held early morning on July 9 (Bangladesh time),” he said.
He also said whatever be the result, the government will take its measures considering the final outcome of the meeting.
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“So far, the meetings we have all are positive,” the Finance Adviser said.
US President Donald Trump on Monday slapped a 35% tariff on Bangladeshi goods, 2% lower than his initial rate announced three months ago, but significantly higher than close rival Vietnam (in the field of RMG), which recently secured a trade deal with the US under which its goods will be charged a tariff of 20%.
Trump made the much-anticipated announcement on his Truth Social account, by publishing his letter dated July 7 to Chief Adviser Muhammad Yunus at 2.36am (Tuesday) Bangladesh time. He posted identical letters to other world leaders revealing the tariff rates for their respective countries, which said the new rates would be effective from August 1.
Apart from Bangladesh, it was learned on Monday that imports from Myanmar and Laos would be taxed at 40%, Cambodia and Thailand at 36%, Serbia at 35%, Indonesia at 32%, South Africa and Bosnia and Herzegovina at 30% and Japan, South Korea, Kazakhstan, Malaysia and Tunisia at 25%. More letters may be forthcoming.
The letters warned Trump’s counterparts to not retaliate by increasing their own import taxes, or else the Trump administration would further increase tariffs.