US becomes Bangladesh’s 2nd-largest trading partner

The United States has recently emerged as Bangladesh's second-largest trading partner, driven by a notable expansion in bilateral trade with the world's largest economy.

Officials familiar with the development say the shift may be linked to successful negotiations between Dhaka and Washington, during which Bangladesh pledged to increase imports from the US to help narrow the trade gap.

This surge marks a temporary reshuffle in Bangladesh's traditional trade structure, long dominated by China, with India usually holding second place.

Recent data, however, indicate a temporary shift in this long-established pattern.

According to the latest figures from the Bangladesh Bureau of Statistics (BBS), the US moved into second place in August, with total trade exceeding US$ 1.0 billion for the month.

This marginally surpassed India, which stood at $ 973 million. China remained firmly in first place, recording $ 2.0 billion in total trade.

The trends in July and June were more conventional, with India retaining second place and the US ranking third.

However, the US had already briefly climbed to second position in May 2025, with total trade amounting to $ 1.17 billion, compared with India's $ 1.05 billion, while China led with $ 2.31 billion.

Economists and business leaders have attributed the recent rise in US-Bangladesh trade to stronger bilateral flows, driven by higher Bangladeshi exports and increased import volumes from the American market.

They also highlighted the positive impact of renewed trade engagements with the Trump administration, which eased certain barriers and improved market access for both countries.

While China's dominance remains largely uncontested, experts say the growing US footprint signals a gradual diversification of Bangladesh's external trade relationships.

Earlier in April, the US imposed higher tariffs on many countries due to concerns over its widening trade deficit.

Bangladesh faced a 37-percent tariff, which was suspended for three months from April 9. On July 31, the rate was reduced to 20 per cent.

Masrur Reaz, chairman of Policy Exchange Bangladesh, said exports to the US surged sharply in May, when Bangladesh shipped goods worth $ 914 million while importing only $ 260 million.

By August, the trade dynamics had shifted somewhat, reflecting higher import volumes from the US, he added.

Bangladesh is currently importing key food staples, mainly wheat, from the American market.

jasimharoon@yahoo.com