Bangladesh’s gain is a reshuffle, not a boom: tariffs and risk management are accelerating America’s shift away from China toward “reliable volume” suppliers.
Bangladesh increased its share of the US apparel market to 10.53% in 2025, up from 9.26% in 2024, as US brands diversified sourcing away from China, according to reporting that cites OTEXA trade data. Bangladesh shipped $8.20bn of apparel into a US import market worth $77.88bn, consolidating its position as the third-largest supplier.
The reshuffle
The main movement came from the top. Vietnam took first place in 2025 with $16.74bn and a 21.50% share, while China fell to 13.66% on $10.64bn, down sharply from a 20.83% share in 2024.
Why it matters
For Bangladesh, passing the 10% threshold signals deeper integration into US assortments—but also tighter scrutiny on compliance, lead times and product breadth. For US buyers, the lesson is that concentration risk now carries a cost. China’s decline is widely linked to tariff pressure and policy uncertainty, which incentivise multi-country sourcing even when China remains operationally strong.
What happens next
Trade policy remains the wild card. After the US Supreme Court struck down broad “emergency” tariffs under IEEPA, the administration moved to a time-limited global 10% tariff via other authorities—offering partial relief but not predictability. Bangladesh can gain further share—yet the bigger competitive advantage will come from faster replenishment, tighter quality, and proof-ready traceability, not headline tariff swings.
