USA-Bangladesh trade relationship:

Bangladesh is currently our 64th largest trading partner with $4.2 billion in total
(two-way) trade during 2008. U.S. exports to Bangladesh totaled $468 million, while
U.S. imports from Bangladesh totaled $3.7 billion, mainly apparel. The U.S.
merchandise goods trade deficit with Bangladesh was $3.3 billion in 2008.
In 2008 and 2009, USTR officials met with high-level Bangladeshi officials to discuss
market access, investment and labor-related issues. The United States has
repeatedly raised concerns with the GOB regarding possible changes in rules that
currently allow international shipping companies to operate as 100 percent foreignowned companies in Bangladesh. U.S. officials have stated that such a policy would
have a negative effect on foreign investment in Bangladesh by creating uncertainty
and imposing increased costs on local apparel exporters. The United States and
Bangladesh signed a Bilateral Investment Treaty in July 1989.
In 2007, USTR accepted a Generalized System of Preferences (GSP) country practice
petition from the American Federation of Labor and Congress of Industrial
Organizations (AFL-CIO) regarding worker rights in Bangladesh. The petition alleged
a number of worker rights issues in export processing zones, the ready-made
garments sector, and the seafood processing sector. As part of this review, USTR
has solicited public comments and held hearings on several occasions, most
recently in January 2012. The review was ongoing as of December 2012.

Exports
Bangladesh was the United States' 90th largest goods export market in 2013.
U.S. goods exports to Bangladesh in 2013 were $712 million, up 41.9% ($210
million) from 2012 and up 215% from 2003.
The top export categories (2-digit HS) in 2013 were: Machinery ($121 million),
Cotton, Yarn and Fabric ($106 million), Electrical Machinery ($63 million), Iron and
Steel ($46 million), and Miscellaneous Grain, Seed, and Fruit (Soybeans) ($44
million).
U.S. exports of agricultural products to Bangladesh totaled $253 million in
2013. The leading categories were: cotton ($105 million), soybeans ($34 million),
soybean meal ($31 million), and wheat ($25 million).
Imports
Bangladesh was the United States' 46th largest supplier of goods imports in 2013.
U.S. goods imports from Bangladesh totaled $5.4 billion in 2013, a 9.0% increase
($440 million) from 2012, and up 158% from 2003.

The five largest import categories in 2013 were: Woven Apparel ($3.7 billion), Knit
Apparel ($1.2 billion), Miscellaneous Textile Products ($185 million), Headgear ($110
million), and Fish and Seafood (Shrimp and Prawn) ($59 million).
U.S. imports of agricultural products from Bangladesh totaled $19 million in
2013. The leading category was Tobacco ($11 million).

Investment
U.S. foreign direct investment (FDI) in Bangladesh (stock) was $368 million in 2012
(latest data available).
Bangladesh's FDI in the United States (stock) was $5 million in 2012 (latest data
available), up 25% from 2011.

U.S. Assistance to Bangladesh

The United States has invested billions of dollars to improve the lives of
Bangladeshis and Bangladesh is the largest recipient of U.S. assistance in Asia
outside of Afghanistan and Pakistan. U.S. assistance fosters engagement with the
Government of Bangladesh helping to grow more food, build more roads, and train
more skilled teachers, health care providers, and soldiers. The United States
continues to build upon previous gains to reduce poverty, enhance food security,
improve health and education, mitigate the impact of climate change and natural
disasters, counter violent extremism, and achieve better governance to spur
equitable and sustainable growth.

Bilateral Economic Relations

The United States is Bangladeshs largest export market. Our countries have signed
a bilateral investment treaty, as well as a bilateral treaty for the avoidance of
double taxation. In 2014, U.S. direct investment in Bangladesh was $465 million, an
increase of 12.6 percent from 2013. Our governments held the second annual Trade
and Investment Cooperation Forum Agreement (TICFA) meeting in Washington on
November 23, 2015, which highlighted the potential for greater cooperation with
Bangladesh, particularly in areas of developing infrastructure and energy resources.
In 2014, the United States exported approximately $1.1 billion in U.S. goods to
Bangladesh and imported approximately $5.3 billion worth of goods from
Bangladesh. U.S. exports to Bangladesh include agricultural products (soybeans,
cotton, wheat, dairy), aircraft, machinery, engines, and iron and steel products. U.S.

imports from Bangladesh include apparel, footwear, and textile products; toys,
games and sporting goods; shrimp and prawns; and agricultural products.
Worker rights and worker safety issues led the United States to suspend the
countrys Generalized System of Preferences (GSP) trade benefits in June 2013. At
the time of the suspension, the United States provided the Bangladesh government
with an Action Plan to address worker rights and safety issues as a basis for
considering the reinstatement of GSP trade benefits. Since that time Bangladesh
has made important progress in meeting some of the plans objectives especially
in inspections, safety and security, and the United States continues to work with the
Bangladesh government to ensure further progress on workers' rights.

U.S. Recognition of Bangladeshi Independence, 1972

The United States recognized Bangladesh on April 4, 1972, in a press statement
from Secretary of State William Rogers. In addition, Herbert Spivack, the principal
U.S. officer in Dhaka, delivered a message from President Richard Nixonto
Bangladeshi Prime Minister Sheikh Mujibur Rahman informing him that the United
States government wished to establish diplomatic relations at the ambassadorial
level.

History:
During the Bangladesh Liberation War, the Nixon administration provided
substantial diplomatic assistance to Pakistan due to its strategic interests of
developing close relations with China through the Pakistani military junta. Pakistan
was a Cold War ally of the United States, and for this reason, Richard Nixon and his
national-security
advisor,
Henry
Kissinger,
supported
its
military
dictatorship. However, there had been widespread public support for the cause of
Bangladesh as world opinion began to be sympathetic towards the plight of Bengali
civilians suffering from the 1971 Bangladesh atrocities. Influential US lawmakers
such as Ted Kennedy, Frank Church and William B. Saxbe and such cultural figures
such as Allen Ginsberg, Joan Baez and Bob Dylan engaged in formulating US public
opinion against the Nixon administration. There was significant opposition and
dissent within the US government, especially the State Department, against
administration policy. The United States Consulate in Dhaka, led by Archer K. Blood,
expressed profound dissent with administration policy through the famous Blood
telegram, which is considered to be the strongest note of internal dissent in the
history of the American Foreign Service. Ted Kennedy visited Bengali refugee camps
in eastern India and strongly criticized the Nixon's support for Pakistan and its
ignoring of "the brutal and systematic repression of East Bengal by the Pakistani
army". In the summer of 1971, the Concert for Bangladesh, was held at Madison

Square Garden in New York, and was the world's first benefit concert, which future
concerts such as Live Aid. The concert attracted 40,000 people and was organized
by George Harrison and Ravi Shankar. The United States Congress reinforced arms
embargoes on Pakistan and expressed strong opposition against the Pakistani
military campaign and the role of the Nixon White House in supporting the Pakistani
junta.
After the liberation of Bangladesh in December 1971, the United States formally
recognized the newly independent country on April 4, 1972 and pledged US$300
million in aid. Herbert D. Spivack was the principal American diplomatic officer in
Dhaka at the time. Four days later, the United States and Bangladesh agreed to
establish diplomatic relations at the embassy level. The consulate-general was
officially upgraded to an embassy on 18 May 1972. Bangladesh is one of the most
pro-American countries in the South Asia with 76% favorable of USA and consider it
a close ally.

Trade Donations:
The United States is closely working with Bangladesh in combating Islamic
extremism and terrorism and is providing hundreds of millions of dollars every year
in economic assistance. In June 2013, following the 2013 Savar building
collapse that led to over 1,000 deaths, the United States suspended a preferential
trade agreement with Bangladesh that allowed for duty-free access to the US
market over poor safety standards. The United States has assisted Bangladesh
during cyclone relief operations in 1991 and 2007. Operation Sea Angel One in 1991
and Operation Sea Angel Two in 2007 saw US Marines actively joining Bangladeshi
troops in providing relief to thousands of people in southern Bangladesh who
suffered as a result of the 1991 Bangladesh Cyclone and Cyclone Sidr.

Presidents:
The WTO replaced the "General Agreement on Tariffs and Trade." This happened on
Bill Clinton's watch. This actually transferred the power to negotiate the rules of
foreign trade from governments to a global entity set up to benefit global
corporations. The solution is to return to GATT where governments negotiate on
behalf of their citizens.
In June 2013, President Obama suspended the eligibility of Bangladesh for tariff
benefits under the Generalized System of Preferences (GSP) program. GSP is a
program designed to promote economic growth in the developing world by
providing preferential duty-free entry for up to 5,000 products when imported from
one of 126 designated beneficiary countries and territories. The suspension was

based on insufficient progress by the Government of Bangladesh in affording

Bangladeshi workers internationally recognized worker rights. In July 2013, USTR
provided Bangladesh with an Action Plan on worker rights and safety that, if
implemented, could provide a basis for the President to consider the reinstatement
of GSP trade benefits. In the bilateral meeting following the TICFA signing, the
Government of Bangladesh shared its progress to-date on addressing the various
elements of the Action Plan.