US Trade Team Will Arrive in Dhaka Today to Discuss Further Tariff Reductions

A US trade delegation is set to arrive in Dhaka today for a two-day visit, aiming to move closer to finalising talks on Bangladesh’s proposal to reduce reciprocal tariffs from 20% to 15%.

The framework for a comprehensive trade agreement has already been drawn up, with adjustments expected following discussions in Dhaka.

The three-member team, led by Brendan Lynch, United States Assistant Trade Representative for South and Central Asia, will meet Commerce Ministry officials at the Bangladesh Secretariat at 1:30pm today. During the visit, Lynch will also call on Chief Adviser Prof Muhammad Yunus, Foreign Adviser Touhid Hossain, and Foreign Secretary Asad Alam Siam.

Last month, US President Donald Trump announced a 20% retaliatory tariff on Bangladeshi goods—lower than the originally planned 35%. While the framework is in place, the deal remains unsigned as Dhaka has sought additional time and continued negotiations to further reduce the duty.

Commerce Adviser Sheikh Bashir Uddin and National Security Adviser Khalilur Rahman have both signaled that Bangladesh is pushing for a deeper tariff cut, expressing confidence that ongoing talks could secure further concessions.

“We will only discuss the draft of the US tariff issue during this visit,” Commerce Secretary Mahbubur Rahman told the Daily Sun. He added, “The delegation itself cannot decide on tariff reductions; the USTR’s central body in Washington will take that decision. If necessary, we are ready to visit the US for further negotiations.”

Bangladesh has already benefited from the August tariff cut following prolonged discussions, and officials believe an additional reduction would significantly boost exports to the US.

According to the USTR, total trade in goods and services between the United States and Bangladesh reached an estimated $12.4 billion in 2024, marking a 3% increase from the previous year.