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BTMA seeks duty-free access to US market for garments made from American cotton

BTMA seeks duty-free access to US market for garments made from American cotton
by Insider Desk
April 22, 2025

Bangladesh’s primary textile sector has called on the United States to grant duty-free access for garments produced using US cotton, aiming to boost bilateral trade and support the country’s ready-made garment (RMG) exports.

The Bangladesh Textile Mills Association (BTMA) made the appeal in formal letters to Gary Adams, President of the National Cotton Council of America, and Eric Geelan, Political and Economic Counsellor at the US Embassy in Dhaka.

BTMA President Showkat Aziz Russell urged the US government to permanently remove Bangladesh from the list of countries subject to additional tariffs.

This comes after US President Donald Trump’s recent imposition of reciprocal duties, which set a 37 percent tariff on certain imports from Bangladesh. Although a 90-day pause was announced, a 10 percent base tariff remains in effect.

The BTMA expressed its commitment to expanding the use of US cotton in its production, much of which is destined for American and global markets. In support of this, a dedicated central warehouse for US cotton is being established in Bangladesh to facilitate increased imports. The BTMA estimates that imports of American cotton, which currently stand at $270 million, could grow four to fivefold with supportive policies.

To advance these goals, the BTMA plans to send a delegation to the US for high-level meetings with government and industry stakeholders. The mission, comprising 12 to 13 members, will be organised in collaboration with the National Cotton Council of America.

The BTMA, which represents 1,856 mills in yarn and fabric manufacturing, dyeing, printing and finishing, noted that the textile sector has drawn over $23 billion in cumulative investment. Garments account for over 90 percent of Bangladesh’s exports to the US, and currently, Bangladesh faces duties of over 15 percent. In contrast, Bangladesh imposes a 2.2 percent duty on US imports.

The BTMA concluded its letters by reiterating the industry’s appreciation for longstanding economic ties with the US and its readiness to deepen engagement through reciprocal trade benefits.

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