Garment export to US records double-digit growth

Bangladesh's apparel export to the United States, its single-largest market, has been on the ascent with a double-digit growth of 15.14 per cent recorded during the first ten months of 2025.

According to the US official count, the exports grew both in terms of value and volume during the January-to-October period of the bygone calendar year.

Readymade garment exports from Bangladesh during the period singly fetched US$7.07 billion, marking the 15.14-per cent growth, according to the data released on January 08 by OTEXA, an affiliate of the US Department of Commerce.

The country had earned US$6.14 billion in the same period of 2024.

During the reporting period, the growth rate also reversed the global growth which was 0.60 per cent negative, placing Bangladesh ahead of main competitors, save Cambodia, though Vietnam sustained its top-exporter stand pushing China behind.

During the period, Bangladesh outpaced almost all its major competitors in export growth to the US, notwithstanding the tariff turmoil that spelt an upset for many exporting countries.

However, exporters say that OTEXA published the data of September for the shipments made two months back, while reciprocal tariffs imposed by the US came into effect on August 7.

According to state-owned Export Promotion Bureau (EPB) data, published two months ahead of Otexa data release, overall RMG exports have already started facing a downtrend for the past five months since August 2025.

Meantime, during the January-October period, Bangladesh shipped 2.27 billion square meters of garments, about 15.87-per cent higher than 1.96 billion square meters sent in the corresponding period of 2024.

America's overall apparel imports during the time stood at US$66.62 billion, down from $67.02 billion in the corresponding period of the previous year.

Vietnam, during the first ten months of 2025, became the leading apparel exporter to the US, shipping RMG items worth US$14.16 billion, accounting for about an 11.54-per cent growth.

China dropped to the second position with US$9.49 billion worth of apparel shipments with a 32.46-per cent year-on-year negative growth, highlighting the effects of elevated tariff barriers and ongoing geopolitical tensions.

Asked about the industry view, Mohiuddin Rubel, former Director of BGMEA, said US overall apparel imports declined both in value and volume by 0.61 per cent and 2.24 per cent respectively while unit prices increased by 1.67 per cent.

"This is a clear signal that the market is slowing after a long period of growth, with buyers likely prioritising value, consolidation, and price optimisation," he says.

"On paper, growth remained positive and impressive in 2025, especially against a nearly flat US market."

However, the trend suggests potential headwinds ahead, with signs that momentum may slow in the near future as buying patterns shift, inventories normalise, and competition intensifies from other South and Southeast Asian suppliers.

He, however, explains that these figures are based on OTEXA data, which reflects imports at US territory only.

OTEXA data are generally published with about a two-month lag, so what they see now is already slightly behind real-time market dynamics.

Sector insiders, however, note that Bangladesh is facing challenges in the EU where the economy is undergoing difficulties while major competitors like China have been focusing on that market due to high US tariff walls on China's goods.

Exporters say though Chinese orders have been shifting from the US due to high tariffs, China is increasing its share in the EU market aggressively by offering 'much lower prices' to buyers to offset US market-share decline.

Meantime, India's apparel exports rose by 8.60 per cent to US$4.39 billion during the January-to-October period of 2025. Indonesia recorded a 10.07-per cent increase in apparel shipments to US$3.98 billion, continuing its steady growth as a supplier to the US market.

Cambodia bagged 25.46-percent rise in exports, reaching US$4.04 billion, during the period under consideration.

Pakistan also recorded a growth of 12.28 per cent to bag US $2.02 billion from the US market.

munni_fe@yahoo.com