Written by The Banking Post
The United States has signaled that it may further reduce the 20% retaliatory tariff on Bangladeshi exports if the bilateral trade deficit continues to shrink.
Commerce Adviser SK Bashir Uddin said Sunday that Washington expressed satisfaction with the recent decline in the trade gap to about $6 billion and assured that tariff cuts would be considered as progress continues.
The assurance came during talks in Dhaka with a US delegation led by Deputy Assistant Trade Representative Brendan Lynch, who arrived on a three-day visit to finalize discussions on a draft trade agreement.
Dhaka has committed to boosting imports of US agricultural products, energy, and aircraft as part of efforts to rebalance trade. “There has been good progress on these commitments, which has been acknowledged by the US side,” Bashir Uddin told reporters after the meeting.
Bangladesh is seeking to lower the duty to 15%, but no deal has yet been reached. Instead, discussions focused on a phased reduction linked to improvements in the trade balance.
The US first imposed tariffs of 37% on Bangladeshi goods under a reciprocal trade policy, later trimming them to 35%, and most recently to 20% effective from August 7.
Officials said the current round of talks will shape the final draft of a trade agreement aimed at strengthening bilateral economic ties. “Our goal is to secure a deal that supports exporters and builds a more balanced trade relationship,” Bashir Uddin said.
