Bangladesh: Garment exporters seek share of $100 billion US tariff refunds after absorbing additional costs, as apparel buyers receive funds
"Exporters seek share of $100b US tariff refunds", 11 August 2026
At the height of the 2025 reciprocal tariff hikes, many US apparel buyers pressured Bangladeshi garment exporters to share the burden, forcing suppliers to cut prices or offer discounts to keep orders flowing...
Following the US Supreme Court's February ruling declaring the tariffs illegal, major US buyers have begun receiving refunds for the duties they paid...
Exporters say they are now seeking a share of the refunds or, at the very least, some form of compensation through their continued business relationships with US buyers...
Representatives of US buyers also believe suppliers should receive compensation.
However, they said direct refunds may be difficult. Instead, the losses could be partially offset through higher prices in subsequent orders, increased order volumes, or concessions on costs such as air shipments and discounts when such situations arise for local suppliers.
They said any such arrangement would require negotiation between buyers and suppliers.
...neither of the two major apparel industry associations has data on how much of the tariff-related cost burden was actually absorbed by Bangladeshi exporters...