Bangladesh’s apparel exports to the United States in 2024 saw a marginal 0.75 per cent growth to reach $7.34 billion compared with those of $7.29 billion in 2023 amid fluctuations in shipments throughout the year.

In terms of volume, the country’s readymade garment exports to the US in 2024 increased by 4.89 per cent to 2.37 billion square metres from 2.26 billion square metres in 2023, according to the US Department of Commerce’s Office of Textiles and Apparel data released on Thursday.

Amid the slow growth rate, the share of Bangladesh’s apparel to the US market fell to 9.26 per cent in 2024 from that of 9.37 per cent in 2023.

Bangladesh’s RMG exports to the US saw a sharp decline in early 2024, with those in January down 36.73 per cent to $547.96 million. March followed with a 14.17 per cent drop and April-June period saw further declines of 2.06 per cent, 2.93 per cent and 3.17 per cent respectively.

Despite the early setbacks, exports began to recover in the second half of 2024.

July saw a 6.77 per cent decline, but August experienced a marginal drop of just 0.20 per cent.

From September onwards, exports showed strong growth, with September recording an 18.40 per cent increase, followed by October at 26.66 per cent, November at 42.14 per cent and December at 16.52 per cent, signalling a positive turnaround.

Bangladesh Garment Manufacturers and Exporters Association (BGMEA) former president, Faruque Hassan said that despite all the challenges, including shortages of gas and electricity, production losses due to labour unrest, and a significant political transition, they should be satisfied with sustaining growth, even if it was meager.

He expected that 2025 would be a good year, as demand from the Western market was rising with eased inflationary pressure and lower interest rates.

Faruque also said that Bangladesh could be among the beneficiaries of the ongoing China-US trade war, provided that internal factors such as political stability and law and order improved.

The US data showed that over the past decade, Bangladesh’s apparel exports to the United States have steadily increased, solidifying its position as one of the largest suppliers on the competitive global market.

Bangladesh’s apparel exports to the US saw a 35.87 per cent increase in value and a 26.62 per cent rise in quantity over the past decade from 2015 to 2024.

In 2015, Bangladesh’s apparel exports to the US were valued at approximately $5.40 billion, but it dropped slightly to $5.30 billion in 2016.

In 2017, apparel exports to the US dropped to $5.06 billion, which later recovered in 2018, reaching $5.40 billion, reflecting continued demand for its garments.

According to the US data, 2019 was a strong year for the sector, with Bangladesh’s apparel exports to the US surging to $5.92 billion, a 9.6 per cent increase.

The Covid-19 pandemic caused significant disruptions to global trade, resulting in a drop in Bangladesh’s apparel exports to the US to $5.23 billion in 2020.

In 2021, the industry saw a remarkable rebound, with Bangladesh’s exports to the US rising to $7.14 billion, a 36 per cent year-on-year increase, driven by pent-up demand as economies reopened and consumer spending surged.

In 2022, Bangladesh’s apparel exports to the US hit an all-time high of $9.73 billion, a 36.3 per cent increase from the previous year, driven by a rebound in global demand for apparel.

Bangladesh’s apparel exports to the US in 2023 dipped by 25 per cent, totalling $7.29 billion, down from the previous year’s record highs.

According to exporters, this decrease was likely influenced by global economic uncertainties, including inflationary pressures and shifts in consumer behaviour.

The OTEXA data showed that Bangladesh’s position remained unchanged as the third-largest apparel exporter to the US market while China and Vietnam occupied the first and the second highest positions with 20.83 per cent and 18.9per cent share respectively in terms of value.

In 2024, the total value of US apparel imports reached $79.26 billion, marking a 1.71 per cent increase compared with that of 2023. At the same time, the total quantity of apparel imported by the US surged by 5.95 per cent, which amounted to 25.77 billion square metres.

The OTEXA data showed that the import of apparel by the US from China in 2024 saw a slight 0.79 billion increase in value, reaching $16.51 billion.

Vietnam experienced a significant growth in value, with apparel exports to the US in 2024 climbing by 5.61 per cent to a total of $14.98 billion.

In 2024, India exported $4.69 billion worth of apparel to the US, reflecting a 4.94 per cent increase driven by the country’s growing apparel production capacity and international appeal.

In 2024, Indonesia recorded 1.4 per cent increase in apparel exports, reaching $4.25 billion worth of apparel to the US.

Meanwhile, Cambodia achieved the most impressive growth among its peers, with a remarkable 14.44 per cent increase, bringing its apparel exports to $3.8 billion on the US market.

The OTEXA data showed that Pakistan also saw solid growth on the US market, with a 7.28 per cent rise in apparel exports, bringing the total value to $2.16 billion in 2024.