Statement

The United States of America (the United States) and the People’s Republic of Bangladesh (Bangladesh) have agreed to an Agreement on Reciprocal Trade (Agreement) to strengthen our bilateral economic relationship. The Agreement will provide U.S. and Bangladeshi exporters unprecedented access to each other’s respective markets. The Agreement will build upon our longstanding economic relationship, including the U.S.-Bangladesh Trade and Investment Cooperation Forum Agreement (TICFA), signed in 2013.

Key terms of the Agreement will include:

Bangladesh commits to provide significant preferential market access for U.S. industrial and agricultural goods, including: chemicals; medical devices; machinery and motor vehicles and parts; information and communicational technology (ICT) equipment; energy products; soy products; dairy products; beef; poultry; and tree nuts and fruit.

The United States will reduce the reciprocal tariff rate, as initially set forth in Executive Order 14257 of April 2, 2025, to 19 percent on originating goods of Bangladesh, and will identify products from the list set out in Annex III (Potential Tariff Adjustments for Aligned Partners) to Executive Order 14346 of September 5, 2025 (Modifying the Scope of Reciprocal Tariffs and Establishing Procedures for Implementing Trade and Security Agreements) to receive a zero percent reciprocal tariff rate.

The United States commits to establish a mechanism that will allow for certain textile and apparel goods from Bangladesh to receive a zero reciprocal tariff rate. This mechanism will provide that a to-be-specified volume of apparel and textile imports from Bangladesh can enter the United States at this reduced tariff rate, but this volume shall be determined in relation to the quantity of exports of textiles, e.g. U.S. produced cotton and man-made fiber textile inputs, from the United States.

The United States and Bangladesh commit to address Bangladesh’s non-tariff barriers that affect bilateral trade and investment in priority areas, including by Bangladesh: accepting vehicles built to U.S. Federal motor vehicle safety and emissions standards; accepting U.S. Food and Drug Administration certificates and prior marketing authorizations for medical devices and pharmaceuticals; and removing any import restrictions or licensing requirement on U.S. remanufactured goods or their parts.