CHITTAGRAM, Bangladesh — Pacific Jeans Group, one of Bangladesh’s largest apparel exporters, has announced the indefinite closure of all its factories inside the Chattogram Export Processing Zone (CEPZ), leaving around 35,000 workers jobless overnight.
Managing Director Syed Mohammad Tanvir said in a notice that from Tuesday to Thursday, a section of workers refrained from joining their shifts and instead engaged in fights, vandalism, and looting inside the factories.
“Due to the fighting and vandalism, several employees and workers were injured, and the company suffered losses. This constitutes an illegal strike. As a result, the factories are being closed indefinitely in accordance with labor laws,” the notice read.
The closures were executed under Section 13(1) of Bangladesh’s Labor Act, which allows owners to suspend operations without paying wages if an illegal strike occurs.
Largest private shutdown in Chattogram’s garment sector
The move marks one of the largest industrial shutdowns in Chattogram’s export history. All production units of the group — Pacific Jeans Ltd. (Units 1 and 2), Universal Jeans Ltd., Jeans 2000 Ltd., NHT Fashions Ltd., Pacific Workwears Ltd., Pacific Accessories, and Pacific Attires — have been affected.
Industry leaders said no comparable closure had ever taken place in the port city’s garment sector. “Such an incident is unprecedented,” said SM Abu Tayeb, former first vice president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA).
Pacific Jeans Group is considered a pioneer of Bangladesh’s denim industry, with exports exceeding 60 million pairs of jeans in the last fiscal year. The company also produces knitwear and workwear, and is a top contributor to the nation’s $47 billion garment export economy.
From homegrown success to global powerhouse
The late industrialist Nasir Uddin founded the company over four decades ago, starting with a single production line that eventually grew into nine establishments. Pacific Jeans’ total assets are estimated at about $1 billion (Tk 10,000 crore). The company has no outstanding bank loans, having expanded solely through its own profits.
Over the years, Pacific Jeans won seven consecutive gold medals, 24 National Export Awards, and three HSBC Business Excellence Awards. Six of the seven factories that have now shut down were certified as “green” facilities for their eco-friendly operations.
Tensions rising since political change
Labor unrest erupted repeatedly following Bangladesh’s change of government on August 5, 2024, when the army- and Islamist-backed interim administration took power under Nobel laureate Dr. Muhammad Yunus. Since then, sporadic strikes, factional fights, and vandalism have disrupted multiple factories in the CEPZ.
Management sources said efforts by the Bangladesh Export Processing Zones Authority (BEPZA) and police failed to restore discipline in recent weeks. Industrial Police Superintendent Abdullah Al Mahmud said unrest among workers partly stemmed from an ongoing court case filed earlier in 2024. “We are also investigating whether any external parties were instigating the workers,” he said.
A blow to Bangladesh’s green manufacturing image
Until recently, Managing Director Tanvir had expressed optimism about expanding exports to $1 billion by 2028, emphasizing sustainability goals such as reducing water usage by 80 percent, cutting carbon emissions by 65 percent, and increasing solar power coverage from 10 percent to 50 percent by 2030.
Those ambitions have now been derailed. What was once hailed as a model of ethical, eco-friendly garment production has come to a standstill. The abrupt shutdown has shocked the industry and thrown thousands of families into uncertainty.
As Bangladesh’s denim exports face potential disruption, labor leaders are urging the government and BEPZA to mediate an immediate resolution to prevent further economic fallout. For now, the gates of Pacific Jeans — once the pride of Bangladesh’s apparel exports — remain locked and silent.
