Bangladesh requests a three-month pause on U.S. tariff amid trade efforts

Bangladesh’s interim head, Muhammad Yunus, has written to U.S. President Donald Trump requesting a three-month delay on a 37% tariff on imports, emphasizing efforts to boost imports from the U.S.

Bangladesh's interim head Muhammad Yunus has written to U.S. President Donald Trump requesting a three-month pause on a 37% tariff on imports from Bangladesh, citing efforts to boost imports from the U.S., his press office said on Monday.

Bangladeshi exporters, especially in the garment sector, are bracing for the impact of the tariff.

In the letter, Yunus — a Nobel laureate who took charge of the interim government in August after prime minister Sheikh Hasina was overthrown — outlined steps Bangladesh has already taken to strengthen bilateral trade.

“We are the first country to take such a pro-active initiative,” Yunus wrote, referring to the February visit of his representative, Khalilur Rahman, to Washington to begin trade discussions. Since then, officials from both countries have been working to identify specific actions that can quickly boost American exports.

The letter notes that Bangladesh was the first South Asian country to sign a multi-year agreement to import U.S. liquefied natural gas, and is working to expand trade in agriculture, energy and technology.

According to the letter, the government is now focusing on increasing imports of U.S. agricultural produce including cotton, wheat, corn and soybeans.

To support this, Bangladesh is finalising a bonded warehousing facility that will allow duty-free access for U.S. cotton, ensuring faster delivery to local manufacturers.

Yunus said Bangladesh maintains the lowest tariffs on U.S. exports in South Asia and plans further cuts.

He also listed reforms under way to ease non-tariff barriers: “We are eliminating certain testing requirements, rationalizing packaging, labelling and certification rules, and simplifying customs procedures and standards.”

Yunus said Bangladesh’s move to approve the use of billionaire Trump aide Elon Musk's Starlink satellite internet network was a signal of readiness to welcome more U.S. investment in high-tech sectors including civil aviation and defence.

“Bangladesh will take all necessary actions to fully support your trade agenda,” Yunus told Trump.

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