Bangladesh’s garment exports to the United States have experienced double-digit negative growth in recent months while competing countries have consistently reduced their negative growth rates in the same market.
According to data released by the US Department of Commerce’s Office of Textiles and Apparel, Bangladesh’s readymade garment exports to the United States, the country’s largest export market, fell by 12.31 per cent in value and 622 per cent in quantity in the first five months of 2024.
Data showed that Bangladesh’s garment exports to the United States fell to US $ 2.90 billion in the first five months of 2024, down from US $ 3.31 billion in the same time in 2023.
In terms of quantity, Bangladesh’s RMG exports in January-May 2024 fell to 956.55 million square metres from 1.01 billion square metres the previous year.
Exporters reported that Bangladesh was failing to stay up with its competitors in the United States and other important markets due to a severe energy problem, high utility rates, increased production costs, extended lead times, and burdensome customs procedures.
Although overall garment imports in the United States have dropped due to the global economic slump, China and Vietnam have begun to gain market share in recent months due to their quick shipment timeframes, they claimed.
According to OTEXA data, Bangladesh’s cotton clothing exports to the United States in the first five months of 2024 fell 9.56 per cent to US $ 2.01 billion, while RMG produced with man-made fibre shipments fell 21.85 per cent to US $ 755.08 million.
Overall US garment imports declined by 6.0 per cent in the first five months of 2024, to US $ 29.62 billion, down from US $ 31.51 billion in the same period in 2023, according to data.
The United States’ apparel imports from Vietnam declined 1.18 per cent to US $ 5.41 billion in January-May 2024, down from US $ 5.49 billion in the same period in 2023.
Cambodia’s RMG exports to the US increased by 7.75 per cent to US $ 1.28 billion between January and May 2024, compared to US $ 1.19 billion in the same period in 2023.
In the first five months of 2024, India’s RMG exports to the US fell 2.06 per cent to US $ 2.09 billion, while Indonesia’s fell 10.49 per cent to US $ 1.65 billion.
