The Voice News: Bangladesh’s growing economy is facing a major setback due to new import tariffs imposed by US President Donald Trump, which are expected to significantly increase trade costs for many developing countries. As a result, countries like Bangladesh are at risk of experiencing increased inequality in global trade, with the export potential in sectors like garments and agriculture predicted to decline. These findings were revealed in a recent report by the United Nations.
The report, titled “Sparing the Vulnerable: The Cost of New Tariff Burdens”, published on Thursday by the United Nations Conference on Trade and Development (UNCTAD), highlights that even though countries like Bangladesh contribute to only 0.3% of the US trade deficit, the new tariff policy is increasing their export costs. This will likely make access to the US market more difficult, particularly for products from the garment and agricultural sectors.
While a 90-day suspension in tariff implementation offers some temporary relief, the report warns of lasting economic damage. The global trade system, which has remained largely unchanged for nearly a century, now poses a challenge for Bangladesh’s economy in light of these new US tariff barriers.
Even with the universal 10% import tariff imposed by the US, additional country-specific tariffs are set to take effect in July. For Bangladesh, this could increase import tariffs up to 44%, putting further pressure on its economy.
The report emphasizes the urgent need for international cooperation, tariff relief policies, and relaxed market entry conditions for developing nations. Without such measures, a new form of inequality may emerge in global trade, potentially hindering long-term global development.
In response, Bangladesh’s National Board of Revenue (NBR) is planning to propose tariff exemptions on 100 American products in the upcoming national budget. The goal is to strengthen bilateral trade relations with the United States and reduce the high tariffs on Bangladeshi products in the US market.