Dhaka confident of riding out tariff storm Say advisers and exporters; govt to send two letters to Trump administration within 48 hours

Dhaka confident of riding out tariff storm Say advisers and exporters; govt to send two letters to Trump administration within 48 hours

Bangladeshi exporters remain optimistic about withstanding the Trump administrations sweeping tariffs, hoping that bold diplomacy and a united front at home will shield them from the trade shock.
Manufacturers and exporters see a narrow but promising window to strengthen Bangladeshs position in the US market, as Dhaka signals its intention to reduce the trade imbalance and actively engage with Washington.
One thing we all agree on is that Bangladesh must not lose its competitiveness, especially not to a rival country.
— Syed Nasim Manzur, MD, Apex Footwear Ltd To that end, the government will send two formal letters to the US administration within 48 hours, laying out Bangladeshs plan to address the bilateral trade gap and remove both tariff and non-tariff barriers.
Chief Adviser Professor Muhammad Yunus will write to US President Donald Trump, while Commerce Adviser Sk Bashir Uddin will address the United States Trade Representative (USTR), the US governments lead trade negotiation office. Both letters will outline specific policy measures to deepen trade ties and restore confidence.
These initiatives come in direct response to Trumps new reciprocal tariff regime announced on April 2, which has upended traditional global trade frameworks and triggered re-evaluations in capitals around the world.
Bangladeshi exporters have expressed alarm, warning that the new tariffs could disrupt exports to the US, which remains Bangladeshs single largest export destination.
Garment manufacturers say the new tariffs, effective from April 9, are likely to provide international buyers with additional leverage to further suppress prices paid to Bangladeshi exporters.
The decision to draft the letters was taken yesterday at a high-level meeting at the finance ministry, attended by four advisers to the interim government, senior bureaucrats and representatives from key export sectors.
Following the meeting, Syed Nasim Manzur, president of the Leathergoods and Footwear Manufacturers & Exporters Association of Bangladesh (LFMEAB), expressed strong optimism.
"From the private sector, we are extremely confident. If theres a level playing field, we can succeed -- we have done it before, and we can do it again," he said. "It is the governments responsibility to create that level playing field. The rest is on us. That is why a united effort is essential."
Manzur said the current sense of momentum was driven by the governments clear and time-bound plan. "We have said it before: this has a shelf life. If we do not act within that window, we will fall behind. But today, I feel we may be able to avoid that. And more importantly, we can overcome it."
Manzur, managing director of Apex Footwear Ltd, emphasised that all stakeholders were aligned on one core principle: national interest comes first. "Identifying opportunities while safeguarding Bangladeshs interests is essential," he said.
"One thing we all agree on is that Bangladesh must not lose its competitiveness, especially not to a rival country," Manzur added.
He also underscored the importance of broadening the export base. "Of course, RMG is our main export driver. But theres a world beyond RMG. We are seeing new sectors emerge," he said.
For example, Bangladesh is now exporting small plastic bags worth $4 million per month, with the US as the largest and fastest-growing destination. "We cannot, and should not, ignore this market."
Manzur said he hoped the governments outreach to the US would yield results quickly. "I hope that within the next 24 to 48 hours, we will be able to give our buyers some really good news."
Former BGMEA President Rubana Huq echoed this hope. "We are expecting a letter from our side that President Trump might tweet himself. That is the kind of impact we are aiming for."
Tapan Chowdhury, managing director of Square Pharmaceuticals Ltd, said the business community was "truly worried". However, after Sundays discussions, they see a roadmap.
Chowdhury also called for support for other industries than garments. He said India once supplied about 30 percent of US pharmaceutical imports, and it has already lost some of that share in the sector, causing a drop in the share prices of Indian companies.
"This shift presents an opportunity for Bangladesh, especially for our pharmaceutical industry. Opportunities are emerging from all directions. For policymakers, this is a pivotal moment," he added.
Finance Adviser Salehuddin Ahmed said Bangladesh was prepared to expand its commercial ties with the US, even if with the import of more essential goods such as LNG.
He emphasised that the government will ensure that exports from Bangladesh continue to flow. "Our garment sector is more competitive than many others. American consumers know this, and we aim to strengthen that perception further through private sector efficiency."
Ahmed also stressed that beyond goods, there are many services Bangladesh can import from the US and offer other services in return.
Addressing the complex nature of trade barriers, he said: "Tariffs do not always tell the full story. Non-tariff measures -- regulations, certifications and customs delays -- can also distort trade. We want to make sure American businesses do not face unnecessary hurdles here."
The government, Ahmed said, will work quickly to rationalise and streamline those barriers.
Commerce Adviser Bashir Uddin said they agreed that the tariff and non-tariff barriers in US-Bangladesh trade should be reviewed.
"Accordingly, we are taking steps to reassess and remove tariff-related and non-tariff barriers that hinder our trade," he said.
Planning Adviser Wahiduddin Mahmud said other countries like China and those in Europe were retaliating against the US over new tariffs, and it was unclear where the trade war would stop.
"The whole world will be jolted. But for us, things are going on according to the plan," the adviser said.
He also said it was not possible to pass the burden of the hiked tariffs on to the workers. "Wage cannot be reduced. We rather need to improve productivity and capacity to supply world-class garments."
Khalilur Rahman, the chief advisers high representative on Rohingya and other priorities, said the government has been discussing this matter with US authorities since February. "Today, I feel encouraged by our discussion with the business community."
He said the Bangladesh ambassador to the US spoke with the Assistant US Trade Representative. "The signals we are receiving from there are aligned with our thoughts. So, we believe we will be able to finalise our positions within a day or two."
Earlier, Bashir Uddin said he consulted US Embassy Chargé dAffaires Tracey Ann Jacobson about communication strategies for negotiation with the US government.