US Trade Bodies Oppose Tariff Hike on Apparel Imports from BD

Denmark-based Bestseller highlighted four major human rights risks in its Bangladesh supply chain, including wage issues and excessive overtime, in its September report. Amid political unrest, the company maintained communication with suppliers, ensuring worker safety and supporting factories by adjusting delivery timelines and avoiding wage cuts. Bestseller emphasized managing excessive working hours, protecting vulnerable groups, and providing safe transportation for workers. While some factories were disrupted by protests, most continued operations. Industry leaders acknowledged overtime challenges but noted efforts to reduce disruptions and maintain stability.

Meghna Group has partnered with Turkey's Tam Hangers to establish Tam Hangers Bangladesh Limited, aiming to produce plastic garment hangers for export. Tam Hangers holds a 51% stake, while Meghna Group holds 49%. A new factory in Mirzapur, Tangail, began trial production on October 4 with 16 machines, capable of producing 30,000 hangers daily. The facility plans to expand to 40 machines, with a total investment of $7.5 million and the creation of 500 jobs.

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has requested over Tk58.61 crore in soft loans from the government for 39 apparel factories impacted by recent labor unrest, which affected more than 56,000 workers. The letter, sent on October 6, highlights the urgent need for financial support to cover wages.

Standard Chartered Bangladesh has signed a memorandum of understanding (MoU) with DBL Lifestyles, the franchise partner of Adidas, Nike, Puma, and Levi's in Bangladesh. Under the agreement, the bank’s cardholders will receive a 15% discount on Adidas products and a 10% discount on Nike, Puma, and Levi's products when using Visa signature credit, platinum credit, or priority banking debit cards. The MoU was signed at DBL Group’s head office in Gulshan, Dhaka, with senior officials from both organizations present at the event.

Bangladesh's garment exports to its primary markets, the US and the European Union (EU), have declined significantly in the first seven months of this year. Exports to the US decreased by 10.28%, with total exports amounting to nearly $4.10 billion, down from $4.57 billion during the same period last year. In comparison, Vietnam's exports fell by only 1.53%, amounting to $809 million. Similarly, garment exports to the EU's 27 countries declined by approximately 5%, with exports totaling $1.11 billion, down from $1.17 billion a year earlier.

A group of 36 Bangladeshi apparel manufacturers is demanding over $10 million in unpaid dues for garments supplied to the now-bankrupt UK retailer Debenhams. At a press conference in Dhaka, the vendors blamed negligence by local forwarder Expo Freight Limited (EFL) for the delayed payments, despite Debenhams’ liquidation in 2020.