September 17, 2026

Bangladesh’s US apparel exports fall 11% in July amid energy crunch

OTEXA data show Bangladesh’s July decline was milder than those of India, China and Vietnam, but exporters warn gas and power shortages could deepen the slide

 Senior Correspondent

bdnews24.com News Service

Published : 07 Sep 2026, 06:30 AM

Updated : 16 Sep 2026, 11:48 AM

Bangladesh’s apparel exports to its largest single-country market, the United States, has fallen about 11 percent in July, though the country retained its position as the second-largest supplier. 

Exporters warn the decline could worsen without relief from energy shortages.

The US accounts for nearly 20 percent of Bangladesh’s export earnings. 

In January-July, Bangladesh shipped $4.66 billion in apparel to the US, down 6.5 percent from $4.98 billion a year earlier.

OTEXA data released Saturday showed July exports at $730.2 million, compared with $651 million in July 2025. 

India’s fell 28.80 percent, China’s 17.54 percent and Vietnam’s 10.69 percent.

Over the seven months, Vietnam’s exports fell 1.03 percent, China’s 34.21 percent, India’s 25.77 percent, Pakistan’s 5.6 percent, Mexico’s 10.5 percent and Honduras’s 10.33 percent. 

Cambodia and Indonesia rose 10.48 percent and 2.76 percent, respectively.

US apparel imports overall fell 8.65 percent to $41.83 billion from $45.8 billion.

Bangladesh’s exports rose 36 percent to $9.73 billion in 2022, then fell 25 percent to $7.29 billion in 2023. 

They rose 0.75 percent to $7.34 billion in 2024 and about 12 percent to $8.2 billion in 2025.

BGMEA former director Mohiu­ddin Rubel said, “US businesses imported less apparel overall... Our growth decline is much lower than China and India.”

He said Trump’s tariffs had disrupted calculations worldwide.

Bangladesh Apparel Voice CEO Rubel added, “July’s 11 percent decline is worrying... Without solving gas and power problems, this negative trend will continue.”

BKMEA Executive President Fazlee Shamim Ehsan said gas shortages since Jul 21 had effectively shut local spinning mills, preventing fabric production and exports.

Bangladesh exported 1.53 billion pieces in January-July, down 4.34 percent from 1.6 billion. China and India’s volumes fell 24.17 percent and 24.02 percent, while Vietnam, Indonesia and Cambodia rose.

Unit prices fell 2.26 percent for Bangladesh, 1.44 percent Vietnam, 13.24 percent China, and 6.1 percent, 1.4 percent, 2.3 percent and 5.12 percent for Indonesia, Cambodia, India and Pakistan.

Trump cut Bangladesh’s reciprocal tariff from 35 percent to 20 percent last July. China and India faced higher rates. 

Later, the US Supreme Court scrapped his global tariff on Feb 20; a new law imposed 10 percent, raised to 15 percent the next day.

On Jul 25, the US imposed 10 percent-12.5 percent tariffs on 60 countries over forced-labour controls. 

Bangladesh faced 10 percent, while China, Vietnam and Thailand faced up to 12.5 percent. 

The government expects Bangladesh to gain a relative advantage.

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