Bangladesh Chief Adviser Muhammad Yunus Pleads US President Donald Trump To Reconsider Reciprocal Tariffs

Dhaka: Amidst massive economy turmoil, Bangladesh Chief Adviser Muhammad Yunus has reached out to US President Donald Trump, pleading him to reconsider the recently imposed reciprocal tariffs on Bangladeshi goods and put a pause on them for at least three months. Bangladesh's chief adviser's request to Trump comes as Bangladesh, struggling to balance its economy amidst turmoil, has been hit hard by Trump's sweeping tariffs, a hefty 37% tariff on Bangladeshi goods.

In his letter to Donald Trump, Yunus stressed Bangladesh's commitment to strengthening economic ties with the United States. The country has proposed several measures to boost American exports to its rapidly expanding market of 170 million people. 

"We will complete the ongoing and planned actions within the next quarter. Please allow us the necessary time to smoothly implement this important work in consultation with US officials," Yunus wrote in the letter. He also requested a three-month postponement of the reciprocal tariff measure on Bangladeshi exports to the US, allowing Dhaka to implement measures to increase imports from the US.

Impact Of US Tariffs On Bangladesh

The textile and garment industry, accounting for about 80% of Bangladesh's exports, has been severely affected by the new tariffs. The industry has been rebuilding after a revolution toppled the government last year, but Trump's 37% tariff has sparked alarm and raised concerns about trade losses. Bangladesh, the second-largest garment producer after China, manufactures for global brands like Gap Inc, Tommy Hilfiger, and Levi Strauss.

The tariffs have already had a massive impact on the industry, with several leaders reporting that US buyers have begun halting orders from Bangladesh. The interim government has pleaded with US-based buyers for their understanding while discussing measures to mitigate the impact. Bangladesh exported around $8.4 billion worth of goods to the US last year, with $7.34 billion coming from the ready-made garments sector.

Also Read | Amidst All Out Anti-Naxal Operation In Chhattisgarh, 26 Maoists Surrender Before Security Forces In Dantewada

Strengthening Economic Ties

Yunus, in his letter, stated that Bangladesh has proposed several measures, including increased agricultural imports from Washington, tariff reductions by 50%, and the removal of non-tariff barriers. Bangladesh imposes the lowest tariffs on US exports in the South Asian region and is willing to remove all tariffs on agricultural commodities like cotton, wheat, corn, soybean, and scrap metals.

"We will take all necessary actions to fully support your trade agenda," Yunus assured Trump in the letter, urging him to reconsider the reciprocal tariffs. The Bangladeshi interim leader stressed the importance of allowing Dhaka to implement measures to boost imports from the US. The National Board of Revenue, Bangladesh's tax authority, is expected to meet to review the fallout from the tariffs.