United News of Bangladesh

Bangladesh hopes to build on the progress made during the first round of fruitful negotiations with the United States, as the second round of talks on the tariff issue is set to begin in Washington DC today (Wednesday). "Bangladesh hopes to build on the progress made during the first round of fruitful negotiations on 27th June and conclude the agreement expeditiously," said Chief Adviser’s Press Secretary Shafiqul Alam on Wednesday. The Office of the U.S. Trade Representative (USTR) is responsible for developing and coordinating US international trade, commodity and direct investment policy and overseeing negotiations with other countries. The head of USTR is the US Trade Representative, a Cabinet member who serves as the president’s principal trade advisor, negotiator and spokesperson on trade issues. The USTR has invited Bangladesh to the second round of negotiations on the Agreement on Reciprocal Tariff during July 9-11, 2025. "Bangladesh is among the first countries to restart negotiations following the issuance of President Trump's letter to leaders of 14 countries on July 7," Alam said. Trump announces 35% tariff on Bangladeshi goods, to be effective Aug. 1 Commerce Adviser Sk Bashir Uddin, who is leading the Bangladesh delegation, will participate in person in Washington DC while National Security Adviser Dr Khalilur Rahman will join virtually from Dhaka, said the Press Secretary.  Senior officials, including the Commerce Secretary and an Additional Commerce Secretary, have arrived in Washington DC to join the talks. US President Donald Trump in his letter to Chief Adviser Professor Muhammad Yunus said, "We look forward to working with you as your trading partner for many years to come. If you wish to open your heretofore closed trading markets to the United States, and eliminate your tariff, and non-tariff, policies and trade barriers, we will, perhaps, consider an adjustment to this letter." Trump said these tariffs may be modified, upward or downward, depending on their relationship with Bangladesh. "You will never be disappointed with the United States of America," President Trump wrote to Prof Yunus. Starting on August 1, 2025, the US President said they will charge Bangladesh a tariff of only 35% on any and all Bangladeshi products sent into the United States, separate from all sectoral tariffs. "Please understand that the 35% number is far less than what is needed to eliminate the trade deficit disparity we have with your country. As you are aware, there will be no tariff if Bangladesh, or companies within your country, decide to build or manufacture products within the United States and, in fact, we will do everything possible to get approvals quickly, professionally, and routinely - In other words, in a matter of weeks," Trump said. Trump to put 25% tariffs on Japan and South Korea, new import taxes on five other nations The White House in its factsheets said President Trump is the best trade negotiator in history. “His strategy has focused on addressing systemic imbalances in our tariff rates that have tilted the playing field in favor of our trading partners for decades.” The White House said countries that are not serious about addressing the tariff and non-tariff trade barriers that impede American exports and harm American workers, farmers and businesses are facing the consequences. On July 7, President Trump signed an Executive Order determining that certain tariff rates, which were initially set to expire on July 9, will expire on August 1, 2025. President Trump has sent tariff notification letters to multiple countries, informing them of new reciprocal tariff rates set to take effect on August 1. The US President may send more letters in the coming days and weeks. Asian shares mostly down as Trump’s tariff deadline nears The countries he sent letters include: Bangladesh (35%), Japan (25%), Korea (25%), South Africa (30%), Kazakhstan (25%), Laos (40%), Malaysia (25%), Myanmar (40%), Tunisia (25%), Bosnia and Herzegovina (30%), Indonesia (32%), Serbia (35%), Cambodia (36%) and Thailand (36%).

Dhaka Chamber of Commerce and Industries (DCCI) on Sunday urged African country Rwanda to enhance import of Bangladeshi products. Arman Haque, Senior Vice President of DCCI, requested Rwanda’s importers to import steel, cement, eco-friendly brick, PVC pipe, electrical cable and skilled construction workers from Bangladesh.  He made the request in a meeting of DCCI with High Commissioner of the Republic of Rwanda based in New Delhi Mukangira Jacqueline at DCCI Gulshan Center on Sunday. Read: Uzbekistan keen to invest in Bangladesh’s oil, gas exploration sector Bangladeshi investors have a good prospect in the growing infrastructure sector of Africa’s one of the promising countries, Rwanda, Arman said. Arman assured the High Commissioner that the Dhaka Chamber will extend its fullest cooperation in facilitating any business delegation from Rwanda. In response, High Commissioner of Rwanda Mukangira Jacqueline said that the existing trade relations with Bangladesh is very good and it will continue in future as well. Read DCCI urges Philippines to invest in Bangladesh’s healthcare, tourism sectors She also said that Rwanda is the second fastest growing economy in Africa and fifth in east African region in terms of creating network readiness. She mentioned that in Rwanda an entrepreneur can avail company registration in less than 6 hours. She invited Bangladeshi investors to invest in Rwanda with a view to capture large African market. Mukangira stressed stronger collaboration between the businessmen of both the countries. Read: Hong Kong based company Campvalley to invest $ 54 million in BEPZA Economic Zone She urged Dhaka Chamber to sign a MoU with the Chamber in Rwanda in order to facilitate frequent exchange of business delegation. DCCI Vice President Monowar Hossain and Second Counsellor of the High Commission of Rwanda Irakoze Prosper were also present during the meeting.    

To enhance the export of Bangladeshi products and services, the country will have to explore untapped markets in the Commonwealth of Independent States (ex-Soviet republics), Latin America and Africa instead of depending on the European Union and the US. Bangladesh has the least market share in Africa, but many opportunities await there. There are 16 countries in the Southern African Development Community. The bloc is a common customs union that could be a gateway to a market of almost 300 million people. If a product enters one member country, it can easily travel to other countries without facing customs problems. So efforts are necessary to conclude a preferential trading agreement or free trade agreements with these African countries. Experts and stakeholders made the comments Saturday at the webinar "Diversification of Bangladesh's Export Basket: Opportunities and Challenges" organised by the Institute of Chartered Accountants of Bangladesh (ICAB). Commerce Minister Tipu Munshi said at the event: "Export earnings have big effects on our investment, GDP growth, real exchange rate, unemployment, government revenue and expenditure. So, export diversification is the highest priority area of our government." Although the geographic location of Bangladesh is ideal for global trade, the country is facing a trade deficit of $15 billion, ICAB CEO Shubhashish Bose said. In fact, the country’s trade deficit widened to $17.86 billion in 2020 from $15.8 billion ion 2019. "The country's six major export items – woven garments, knit garments, leather and leather products, jute and jute goods, agricultural products, frozen foods – constituted 92% of its export during the fiscal year 2019-20," he added. "However, the IT sector, pharmaceutical products, oceangoing shipbuilding industry, light engineering sector ceramic and porcelain wares are thrust sectors and deserve more attention for earning more foreign currency."

China has granted zero tariff treatment for 5,161 more Bangladeshi products in the Chinese market effective from July 1.

Prime Minister Sheikh Hasina on Wednesday announced 'Light Engineering' as the product of the year to give special attention to this sector for earning more foreign currencies by exporting various products.