Trump’s tariffs have mounted uncertainties in the global supply chain. There is a potential price hike, gaps in production, delays in the supply chain, pauses in orders, and trade fluctuations due to global trade variations across the globe.

Garment suppliers in Bangladesh have either delayed or paused some orders for Walmart. This was due to the potential threat of a 35% Trump tariff on textile imports, according to a recent Reuters report. Factory owners in Bangladesh say they are unable to absorb a 35% tariff and expect a reduction in orders.

The move underscores growing uncertainty in the global apparel market, as US policy now signals higher costs for major retail supply chains.

Bangladesh is the third-largest exporter of garments to the US. The country’s economy relies heavily on this sector, which makes up more than 80% of its export earnings and about 10% of its GDP.

The garments industry plays a major role in employment, particularly for unskilled female workers. Factory owners and workers are concerned about the uncertainty surrounding future orders, with some overseas buyers postponing their shipments or further negotiating prices.

Manufacturers in Dhaka and other industrial zones are closely monitoring developments. Many say they are holding back on hiring or expanding production until trade conditions become clearer.

Bangladesh, however, is currently in talks with US officials in Washington to negotiate lower tariff rates.

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