[🇧🇩] Trump's Victory/Tariff/ Bangladesh

[Bilal9]

Bangladesh escapes tariff imposition for US exports for 90 days.

 

[Saif]

Chief Adviser thanks Trump for pausing ‘reciprocal tariffs’

Chief Adviser Muhammad Yunus has expressed his gratitude to the US President Donald Trump for declaring a complete halt on all “reciprocal tariffs” for 90 days, according to a UNB report. “Thank you, Mr. President, (@POTUS) for responding positively to our request for 9

thefinancialexpress.com.bd

Chief Adviser thanks Trump for pausing ‘reciprocal tariffs’
FE ONLINE DESK
Published :
Apr 10, 2025 00:33
Updated :
Apr 10, 2025 00:33

Chief Adviser Muhammad Yunus has expressed his gratitude to the US President Donald Trump for declaring a complete halt on all “reciprocal tariffs” for 90 days, according to a UNB report.

“Thank you, Mr. President, (@POTUS) for responding positively to our request for 90-day pause on tariffs. We will continue to work with your administration in support of your trade agenda,” Chief Adviser's Press Secretary Shafiqul Alam said quoting Prof Yunus.

In a post on Truth Social on Wednesday, Trump stated that he had “authorized a 90-day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately.”

“Due to the lack of respect China has shown to the World’s Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately,” Trump wrote on his social media.​

 

[Saif]

Trump announces 90-day pause on tariffs except for China

President Donald Trump announced a complete three-month pause on all the “reciprocal” tariffs that went into effect at midnight, with the exception of China, a stunning reversal from a president who had insisted historically high tariffs were here to stay. But enormous tariffs will rem

thefinancialexpress.com.bd

Trump announces 90-day pause on tariffs except for China
FE ONLINE DESK
Published :
Apr 09, 2025 23:55
Updated :
Apr 10, 2025 00:40

President Donald Trump announced a complete three-month pause on all the “reciprocal” tariffs that went into effect at midnight, with the exception of China, a stunning reversal from a president who had insisted historically high tariffs were here to stay.

But enormous tariffs will remain on China, the world’s second-largest economy. In fact, Trump said they will be increased to 125% from 104% after China announced additional retaliatory tariffs against the United States earlier on Wednesday, according to a CNN report.

“Based on the lack of respect that China has shown to the World’s Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately,” Trump said in his social media post. “At some point, hopefully in the near future, China will realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable,” he wrote.

Wall Street breathed a sign of relief, however, that Trump was backing down on other extreme trade measures. Stocks rallied sharply on the news – even though the 10% universal tariff on all imports coming into the United States remained in effect.

Trump in a Truth Social post Wednesday said he has “authorized a 90 day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately.”

Shortly after the announcement, Treasury Secretary Scott Bessent said the pause was part of “his strategy all along.” But he also said that Trump had “great courage to stay the course until this moment.”

CNN previously reported that Bessent traveled to Mar-a-Lago on Sunday to discuss the tariffs with Trump, encouraging him to focus on an endgame of reaching new deals with a variety of countries.

Bessent said Trump would be “personally involved” in all the discussions as he seeks out concessions.

“No one creates leverage for himself like President Trump,” Bessent said.

The message sought to cast to other countries was: “Do not retaliate and you will be rewarded,” he said, adding that the move “signals that President Trump cares about trade and that we want to negotiate in good faith.”

He and and Commerce Secretary Howard Lutnick were with Trump when he sent his message on Truth Social, Lutnick confirmed on a post on X.

“Scott Bessent and I sat with the President while he wrote one of the most extraordinary Truth posts of his Presidency,” Lutnick said. “The world is ready to work with President Trump to fix global trade, and China has chosen the opposite direction.”​

 

[Saif]

Will US tariffs backfire in Bangladesh?

THE relationship between the United States and Bangladesh has long been a complex interplay of strategic interests, democratic ideals, and economic imperatives. However, the imposition of tariffs under the Trump administration and the...

www.newagebd.net

Will US tariffs backfire in Bangladesh?
by Shafi Mostofa 12 April, 2025, 00:00

Workers are engaged in sewing stations in an apparel factory at Savar, on the outskirts of Dhaka, on April 9. | Agence France-Presse/Munir Uz Zaman

THE relationship between the United States and Bangladesh has long been a complex interplay of strategic interests, democratic ideals, and economic imperatives. However, the imposition of tariffs under the Trump administration and the subsequent geopolitical manoeuvring have introduced new tensions and contradictions into this dynamic. The US approach to Bangladesh — particularly its stance towards Sheikh Hasina’s government — has oscillated between support, pressure, and reluctant accommodation, reflecting broader strategic ambiguities. Meanwhile, the lack of sustained soft power engagement and the economic fallout from tariffs risk pushing Bangladesh further into China’s orbit, a trend Beijing has been all too eager to exploit.

The US’s approach to Sheikh Hasina’s government has been marked by inconsistency. Initially, Washington viewed Hasina as a secular counterweight to Islamist forces in Bangladesh, particularly given her government’s crackdown on extremist groups. However, as her administration grew increasingly authoritarian — marked by disputed elections, suppression of dissent, and human rights violations — the US began to distance itself. The Biden administration’s emphasis on democracy and human rights further strained relations, culminating in sanctions against Bangladesh’s Rapid Action Battalion and the exclusion of Dhaka from the Democracy Summit.

Yet, this pressure has not been linear. Reports suggest that the US hesitated to impose visa restrictions on Awami League officials, reportedly after reassurances from India, which views Hasina as a bulwark against Chinese influence in South Asia. This inconsistency underscores a fundamental contradiction in US policy: while Washington publicly champions democratic norms, it often subordinates these principles to geopolitical expediency. The result is a mixed message — one that weakens US credibility and fuels perceptions of hypocrisy in Dhaka.

However, the recent student-led revolution in Bangladesh has brought a dramatic shift in political leadership, replacing the Hasina regime with an interim government led by Dr Muhammad Yunus. Given Yunus’s strong connections with the Western world, particularly the United States, many anticipated a reinvigoration of US-Bangladesh relations. However, this prospect now faces significant challenges following the Trump administration’s sudden imposition of a 37 per cent tariff on Bangladeshi exports. The US is a key market for Bangladesh’s ready-made garments, with annual exports worth $8.4 billion, and any decline could significantly hurt the country’s overall export earnings. Though not aimed specifically at Bangladesh, experts warn that new US tariffs may raise garment prices, reduce competitiveness, and divert buyers to other suppliers, leading to lower export revenue for Bangladesh. This move risks undermining the economic foundation of the new government, potentially pushing Dhaka to explore more reliable and less punitive economic partnerships.

In this context, China appears poised to deepen its engagement with Bangladesh. Beijing has already signalled its willingness to step in with a series of strategic economic offers, including zero-tariff access for Bangladeshi goods until 2028, proposals for a free trade agreement and investment agreement, and major investments in infrastructure and industrial zones. As the US’s trade policy isolates Dhaka at a critical juncture, China’s timely overtures provide both financial lifelines and political reassurance. This convergence of US economic pressure and Chinese opportunity could accelerate Bangladesh’s pivot towards Beijing, shifting the balance of regional influence and embedding Bangladesh more firmly within China’s broader geopolitical and economic architecture.

That said, the US has often relied on India to mediate its relationship with Bangladesh, given New Delhi’s historical and cultural ties with Dhaka. However, this strategy is increasingly fraught. Anti-India sentiment in Bangladesh — fuelled by disputes over water sharing, Muslim minority persecution in India, border killings, and perceived Indian interference in domestic politics — limits New Delhi’s ability to act as an effective intermediary.

Furthermore, India’s own economic restrictions, such as export bans on essential commodities during crises, have strained its image in Bangladesh. By outsourcing its Bangladesh policy to India, the US risks being perceived as complicit in New Delhi’s unpopular manoeuvres, undermining its own influence. Instead, Washington should engage Dhaka directly, leveraging its own diplomatic and economic tools to build a partnership independent of Indian mediation.

To stabilise relations with Bangladesh, the US can consider adopting a more nuanced and proactive approach. The US should reconsider the Trump-era tariffs and explore alternatives such as a bilateral FTA or GSP Plus status. Economic engagement, rather than punitive measures, would provide Bangladesh with tangible reasons to align with the US. Washington can engage Dhaka on its own terms, rather than relying on India. This includes high-level diplomatic visits, cultural exchanges, and development partnerships that address Bangladesh’s priorities, such as climate resilience and energy security. Strengthening educational ties (through scholarships and university partnerships) and people-to-people exchanges can rebuild goodwill.

Taking stock, the imposition of steep US tariffs on Bangladeshi exports — amid a post-revolution leadership shift — risks undermining Washington’s influence at a critical geopolitical juncture. While the interim government under Dr Muhammad Yunus was expected to strengthen ties with the West, the punitive trade measure could instead accelerate Bangladesh’s pivot towards China, which is offering generous, strategically timed economic incentives. These developments expose a long-standing inconsistency in US policy towards Bangladesh: a rhetoric of democratic values often subordinated to geopolitical interests and reliance on India’s mediation. As anti-India sentiment grows and China steps in with infrastructure funding, tariff relief, and diplomatic support, the US risks losing ground in South Asia’s strategic equation. To restore its relevance, Washington must engage Dhaka directly — through fair trade, development cooperation, and respect for Bangladesh’s agency — rather than isolating it through protectionism or delegating its diplomacy to New Delhi.

Dr Shafi Mostofa, a post-doctoral research fellow at the Democracy Institute, Central European University, Hungary, is an associate professor of world religions and culture at the University of Dhaka.​

 

[Saif]

Bangladesh eyes opportunity as Trump imposes high tariffs on Chinese goods

US President Donald Trump has been steadily increasing tariffs on Chinese goods in the American market. As of last Thursday, the US has imposed up to 145 per cent tariffs on Chinese products. In response, China has imposed 125 per cent retaliatory tariffs. This ongoing trade war between the US...

en.prothomalo.com

Bangladesh eyes opportunity as Trump imposes high tariffs on Chinese goods
Shuvonkar Karmokar Dhaka
Published: 12 Apr 2025, 22: 34

This ongoing trade war between the US and China presents new opportunities for Bangladesh and other competing countries.

US President Donald Trump has been steadily increasing tariffs on Chinese goods in the American market. As of last Thursday, the US has imposed up to 145 per cent tariffs on Chinese products. In response, China has imposed 125 per cent retaliatory tariffs. This ongoing trade war between the US and China presents new opportunities for Bangladesh and other competing countries.

According to Bangladeshi economists and exporters, Chinese products will lose their competitive edge in the US market due to the high tariffs. As a result, American buyers are expected to shift their orders away from China, along with a significant volume of investment. To attract this shifting business, both local and foreign investment in Bangladesh will be required. Additionally, the government must take swift and effective steps to improve the ease of doing business.

President Trump has imposed a minimum 10 per cent reciprocal tariffs on products from various countries to reduce the US trade deficit. In total, products from 57 countries now face increased tariffs. Although Trump announced a 90-day suspension of retaliatory tariffs last Wednesday, the minimum 10 per cent tariff remains in effect for all countries. Meanwhile, the US–China trade war continues to escalate. It began on 2 April with a 34 per cent tariff on Chinese goods, which has since increased to 145 per cent as of last Thursday. In retaliation, China now imposes 125 per cent tariffs on American goods.

According to the World Trade Organization (WTO), this ongoing trade war could reduce bilateral trade between the US and China by up to 80 per cent, which accounts for 3 per cent of global trade. WTO Director-General Ngozi Okonjo-Iweala warned that the trade war could severely damage the global economy.

According to the US Census Bureau, in 2024, bilateral trade between China and the US totaled $582.4 billion, of which $438.9 billion were Chinese exports to the US, and $143.5 billion were American exports to China.

By contrast with China, Bangladesh’s trade volume with the US is relatively small. In 2024, bilateral trade was $10.6 billion, with Bangladesh exporting $8.4 billion worth of goods to the US and importing $2.2 billion.

Speaking to Prothom Alo, MA Razzaque, chairman of the private research organisation Research and Policy Integration for Development (RAPID), said, “The trade war between the United States and China will create instability in the global market. In the short term, this may lead to a decline in product demand. However, in the medium and long term, a golden opportunity awaits Bangladesh, as both business and investment are expected to shift away from China. No matter how much China negotiates in the coming days, the additional tariffs in the US market will not be eliminated."

What are the opportunities for Bangladesh?

China is currently the top exporter of ready-made garments to the US, followed by Vietnam, Bangladesh, India, and Indonesia. The US is Bangladesh’s largest single export market, with 87 per cent of Bangladesh’s exports to the US being garments.

Under the Trump administration, a 37 per cent retaliatory tariff was previously imposed on Bangladeshi goods, raising the total tariff to 52 per cent. With the suspension of retaliatory tariffs, for the next three months the tariff will be reduced to a minimum of 10 per cent, making the average effective tariff about 25 per cent. In comparison, Chinese goods are now facing 145 per cent tariffs.

Because of these high tariffs, US buyers began canceling or suspending orders for Chinese-made garments, leather goods, and other products. Now, those orders are returning, and buyers have started inquiring about placing new orders in other countries.

On Thursday, Shovon Islam, Managing Director of Sparrow Group of Industries, told Prothom Alo: "We’ve received several emails from buyers looking to shift their orders away from China. At this tariff rate, US brands simply can’t afford to import apparel from China."

Exporters say that following the imposition of high tariffs, US buyer companies have started suspending orders for Chinese-made garments. Some companies are even canceling shipments that are currently en route from China by sea.

Team Group managing director and BGMEA former vice president Abdullah Hil Rakib considers the high tariffs on Chinese goods a major opportunity for Bangladesh.

He said, “Other competing countries will also try to take China’s business. But we have additional production capacity that many of them don’t. If we execute properly, the next 10 years could be full of potential.”

He added that Chinese exporters are now targeting the European Union (EU) market and offering lower prices due to heavy government subsidies. This could increase competition for Bangladeshi firms focused on the EU.

Analysis of data from UN Comtrade, China Customs, and the US International Trade Commission (USITC) shows that the top US imports from China include: electronics, home appliances, apparel, medical supplies, wood products, construction equipment, electrical machinery, batteries, chemicals, processed agricultural goods, transport equipment and semiconductors.

According to the Bangladesh National Board of Revenue (NBR), the top exports from Bangladesh to the US in fiscal year 2023–24 were: ready-made garments, caps, leather shoes, home textiles, wigs and leather products.

When asked about the matter, Sharif Zahir, managing director of Ananta Group, one of Bangladesh’s leading garment exporters, told Prothom Alo: “Orders for high-end apparel previously exported from China are shifting. We must invest in building capacity for such products. Investments will also shift from China, and a portion of that can come to Bangladesh. But to secure those investments, we should prioritise specialised garments, synthetic fibers, electronics, footwear, and toys. Above all, we must actively engage with the US administration to ensure Bangladesh is exempt from retaliatory tariffs.”​