CA on Tariff Issue: "Our Interests Are Close to U.S. Interests"

Chief Adviser Prof Muhammad Yunus on Monday said Bangladesh is prepared to scale up imports from the United States and expressed hope that this would pave the way for further tariff reductions, fostering a more sustainable and mutually beneficial trade partnership.

He reaffirmed Bangladesh’s strong commitment to deepening bilateral ties with the United States, particularly in trade, investment, energy, and development cooperation.

“Thank you very much for the support. We are very happy about what has happened. This is key to our economy,” Prof Yunus said during a meeting with Assistant United States Trade Representative (AUSTR) Brendan Lynch at the chief adviser’s office in Tejgaon, Dhaka.

He was referring to the USTR’s recent decision—announced on July 31—to lower the reciprocal tariff rate on Bangladeshi exports to the US from 35% to 20%, describing it as a significant milestone in bilateral trade relations, said Chief Adviser’s Deputy Press Secretary Abul Kalam Azad Majumder.

During the meeting, both sides discussed strategies to reduce the trade imbalance between the two countries and Bangladesh’s plan to expand imports of US agricultural products such as cotton and soybeans. Discussions also covered enhanced energy cooperation, including LPG imports from the US, civil aircraft purchases, drug control measures, and the ongoing Rohingya humanitarian issues.

Emphasizing continued progress in bilateral engagement, Prof Yunus expressed optimism regarding the early signing of the draft bilateral trade agreement currently under negotiation.

“Our interests are closer to those of the United States. That makes this process easier and more promising,” he said.

The chief adviser also highlighted Bangladesh’s actions under the 11-point Labour Action Plan proposed by the US, underscoring the government’s commitment to upholding international labour standards and fair practices. Looking ahead, Prof Yunus said the interim government expects increased flows of investment and concessional credit in key sectors such as health and education.

"We must make sure the door to US investment in Bangladesh becomes wider," he said, assuring the visiting USTR team that the interim government would improve the climate for foreign direct investment in the country.

AUSTR Brendan Lynch commended the constructive approach taken by Bangladeshi counterparts throughout the trade dialogue and welcomed the strengthening partnership between the two nations.

He noted that Bangladesh began the process in February when the national security adviser met him and offered to unilaterally reduce the trade gap with the US, saying this early start positively impacted negotiations and the outcome.

"You dispatched a tough negotiating team who worked very hard and effectively," he told the chief adviser.

He also emphasized the importance of timely implementation of tariff agreements and purchase commitments.