RMG exports to US jump by 46pc in January

Ready-made garment (RMG) exports to the United States have bounced back with a 45.93 per cent year-on-year growth in January.

The growth rate is the highest among major exporting nations, including China, Vietnam, Indonesia, and India. 

According to updated data from the office of textiles and apparel (OTEXA) under the US department of commerce, the exporters from Bangladesh shipped apparel products worth $800 million to the US market in January 2025.

US importers purchased RMG products worth $7.2 billion from different countries in January, marking a 19.5 per cent increase from $6.03 billion in the same period last year. 

The US remains the largest destination for Bangladeshi garments. After a disruption, exports to the US began recovering in 2024, with a modest annual growth of 0.75 per cent and an annual export of $7.34 billion. 

There was a sharp 25 per cent year-on-year decline in exports in 2023 and the figure dipped to $7.29 billion due to disruptions caused by the Russia-Ukraine war.

The RMG manufacturers expressed optimism about the US market when the US president Donald Trump imposed additional tariffs on imports from Canada, Mexico, and China, after taking charge.

According to them, the US imposed a 10 per cent additional tariffs on Chinese goods, and it is likely to prompt American buyers to explore alternative sourcing destinations. It may create opportunities for Bangladesh to secure increased orders and attract new investments.

The recent growth in exports is an aftermath of the increased purchase orders.

Among key competitors, China exported $1.6 billion worth of garments to the US in January, reflecting a 13.72 per cent year-on-year growth.

Vietnam’s exports rose by 19.9 per cent to $1.44 billion during the same period.