US emerges second biggest trading partner of Bangladesh

The US became the second largest trading partner of Bangladesh in the July 2024-June 2025 fiscal year, overtaking the traditional second spot holder India, according to data available at the National Board of Revenue (NBR).

China retained the top spot with $22.92 billion in trade, nearly 80% more than the second spot holder, the US.

The growth in US trade was nonetheless huge – thanks to the reciprocal tariff imposed by President Donald Trump and tensions with New Delhi following the ouster of the pro-Indian Awami League regime on 5 August 2024.

Bangladesh’s merchandise trade with US was worth $12.67 billion in the fiscal year starting 1 July 2024, about $1.95 billion more than trade with India over the same period.

Surging Bangladeshi imports from the US, in a bid to avoid Trump administration’s tariff hikes, contributed to the surge in US trade. The US has traditionally remained the top export destination for Bangladesh, and the Trump administration sought to reach a balance with “reciprocal tariffs.”

Year-on-year, imports from the US jumped 43%, while exports rose only 4%.

In contrast, imports from India fell 7%, and exports fell 3%, relegating it to the third spot as both sides erected non-tariff barriers.