FM Khalilur urges global comparison as Bangladesh-US trade pact faces scrutiny

He suggests the deal’s fairness only becomes clear when measured against similar agreements signed by regional peers

Foreign Minister Khalilur Rahman has called on critics to evaluate Bangladesh’s recent trade agreement with the United States within a global context, pushing back against claims that the pact compromises national interests.

He responded to the pact’s criticism on Tuesday in Dhaka after a meeting with a visiting delegation led by Brendan Lynch, the US assistant trade representative for South and Central Asia.

The agreement has drawn scrutiny following reports that Bangladesh accepted significantly more conditions than the US.

Khalilur said such comparisons should not be made in isolation, noting that countries like Indonesia, Vietnam, and Cambodia have also agreed to extensive commitments in similar negotiations.

He emphasised that public discussion around international agreements is both necessary and healthy, but should be informed by a broader global context.

According to him, evaluating Bangladesh’s deal alongside those of peer economies would provide a clearer understanding of its terms and outcomes.

"Indonesia agreed to such mandatory clauses in 231 instances. To truly understand this agreement, one should read it alongside the deals signed by Indonesia, Vietnam, and Cambodia," Khalilur said.

There have been reports that the Agreement on Reciprocal Tariff (ART) binds Bangladesh to 131 mandatory conditions compared with only six for the US.

The deal was the culmination of nine months of negotiations after the second Trump administration announced steep retaliatory tariffs in April 2025.

While Bangladesh initially faced an additional 37 percent tariff, the rate was eventually negotiated down to 19 percent.

Khalilur noted that Bangladesh secured a competitive rate compared with its peers.

"Vietnam got 20 percent, while we secured 19 percent. These agreements are in the public domain now. I encourage you to compare our purchase commitments and policy agreements with those of other nations to see the full picture," he said.

As part of the trade-off to secure lower tariffs, Bangladesh has already committed to major purchases from the US, including 14 Boeing aircraft and increased imports of wheat, cotton, and soybeans.

The agreement, signed by the Muhammad Yunus-led interim government just three days before its term ended, has been labelled "structurally unequal" by the Center for Policy Dialogue (CPD) and has faced a legal challenge in the High Court.

Critics argue that the interim administration overstepped its mandate by signing a long-term pact that compromises economic sovereignty.

In response, Khalilur reiterated his earlier stance that both the BNP and Jamaat-e-Islami had given their "consent" to the deal before it was finalised.

Khalilur, who served as a high representative to the chief advisor during the negotiations of the agreement, now oversees the implementation of the pact as the foreign minister of the BNP-led government.