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Bangladesh sector on the brink

Bangkok Post

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July 10, 2025

The fear of job losses is rippling through Bangladesh’s garment factories as US President Donald Trump's 35% tariff on the South Asian nation threatens orders from its main export market and crimps the country’s biggest industry.

- RUMA PAUL FATIMA JOHORA

The readymade garments sector accounts for more than 80% of Bangladesh’s total export earnings, employs 4 million people and contributes roughly 10% to its annual GDP. Raimoni Bala, who operates an industrial sewing machine at a garment factory in Ashulia, a satellite town on the outskirts of Dhaka, says she fears losing her job every day.

“For the past few months, everyone is talking about cuts,” said Ms Bala, 32. “Whenever anyone visits the factory, my chest aches. I feel like they've come to tell me I've lost my job.” In a letter to Bangladesh Chief Adviser Muhammad Yunus, Trump said a 35% levy will be imposed on Bangladeshi imports from Aug 1 — slightly lower than the 37% tariff he announced in April but more than double the previous average of around 15%.

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