Bangladesh’s readymade garment (RMG) shipments to the United States fell 6.5% during the first seven months (January–July) of 2026, reaching $4.66 billion, down from $4.98 billion in the same period last year.
Official data from the Office of Textiles and Apparel (Otexa) released on Saturday (September 5) shows that the slowdown reflects a broader market contraction in the US, where total apparel imports dropped 8.65% year-on-year to $41.83 billion.
The export decline accelerated in July, with monthly Bangladeshi garment sales to the US plunging 10.73%.
Despite the drop in revenue, volume, and unit price, Bangladesh weathered the US market contraction better than major regional competitors like China and India, which saw drastic export slumps exceeding 25% to 34%.
Total US garment import value fell 8.65% to $41.83 billion, while import volume dropped 9.41%. Average unit prices across all sourcing origins edged up slightly by 0.84%.
Export volume from Bangladesh fell 4.34%, while the average unit price decreased by 2.26%, pulling total earnings down to $4.66 billion.
Monthly export revenue from Bangladesh to the US dropped by 10.73% in July, signaling weakening short-term momentum.
China and India experienced deep market contractions in the US, declining 34.21% and 25.77% in value, respectively.
Cambodia (+10.48%) and Indonesia (+2.76%) bucked the downward trend, expanding both export value and volume in the US market.
US Apparel Imports Value Growth (Jan–Jul 2026)
Cambodia ────────────────────────► +10.48%
Indonesia ────────► +2.76%
Vietnam ──► -1.03%
Pakistan ──────► -5.60%
Bangladesh ───────────► -6.50%
India ───────────────────────────────────────────────► -25.77%
China ─────────────────────────────────────────────────────────────────► -34.21%
Export Origin Country | Export Value (Jan–Jul) | Value YoY Change (%) | Volume YoY Change (%) | Unit Price Change (%) | Market Position & Trade Dynamics |
Cambodia | Growth | +10.48% | Positive | Positive | Top Performer: Strong volume expansion and competitive sourcing pricing |
Indonesia | Growth | +2.76% | Positive | Positive | Resilient Growth: Capturing market share in mid-to-high value garments |
Vietnam | Minor Drop | -1.03% | Positive | Slight Decline | Stable Market Share: Maintained shipment volume despite minor revenue dip |
Pakistan | Decline | -5.60% | Decline | Moderate Shift | Moderate Drop: Slower buyer demand in basic cotton and fleece segments |
Bangladesh | $4.66bn | -6.50% | -4.34% | -2.26% | Moderate Contraction: Outperforming China/India, but hurt by July sharp decline |
India | Sharp Decline | -25.77% | -24.20% | Decline | Severe Slump: Major loss in US order volume across woven and knit categories |
China | Severe Decline | -34.21% | -24.17% | -13.24% | Heaviest Loss: Deep contraction in volume compounded by sharp unit price drops |
"The US apparel market is going through an overall contraction," noted Mohiuddin Rubel, founder and CEO of Bangladesh Apparel Voice (BAV). f"While Bangladesh is in a relatively better position in terms of export value compared to China and India, the accelerated drop in July requires close monitoring and strategic adjustment."
Industry observers emphasize that domestic exporters must look beyond low-value high-volume items to offset falling global demand.
Expanding into high-value functional garments, diversifying into non-US markets, and improving lead times remain critical to maintaining Bangladesh's global market share.
Strategic recommendations for exporters
- Transition production lines toward synthetic fibers, activewear, and outerwear to increase average unit prices.
- Accelerate trade outreach in non-traditional destinations across East Asia, South America, and the Middle East to cushion against US retail slowdowns.
- Address domestic port and energy bottlenecks to prevent order reallocation toward growing Southeast Asian hubs like Cambodia and Indonesia.