The United States and Bangladesh signed a trade agreement on 9 February 2026 that reduced tariffs on Bangladeshi goods from 37% to 19% and promised zero duty for ready-made garments made with US cotton. However, subsequent US court rulings invalidated the legal basis for the original tariffs, creating uncertainty over the deal’s foundation. The agreement, signed just three days before Bangladesh’s national election, has drawn criticism for its unequal obligations and controversial clauses.

The 32-page deal contains 131 binding obligations for Bangladesh compared to only six for the US. Key contentious provisions include mandatory alignment with US sanctions, acceptance of genetically modified agricultural imports without local review, and a commitment to purchase Boeing aircraft. The deal also restricts Bangladesh’s ability to join regional trade blocs such as RCEP and obliges it to support a permanent WTO moratorium on digital customs duties. Some clauses, such as labor law reforms and environmental standards, align with Bangladesh’s own policy goals.

Following the US Supreme Court’s ruling and Malaysia’s similar experience, the BNP-led government now has legal and diplomatic grounds to seek renegotiation, focusing on sovereignty, GMO regulation, and trade diversification.