The US-China trade war has come as a boon to Bangladesh’s textiles and apparels. Garment exporters will get cheaper raw materials as a result of cheaper cotton prices in the international market. Bangladesh is the largest cotton importer with a 18 per cent global share. The country imported around seven million bales in 2017. The volume of imports is expected to increase further this year.

China is the second-largest buyer of US raw cotton. In response to the US measure, China slapped a 25 per cent retaliatory duty on over 100 US goods and commodities, including cotton. Global commodity prices for cotton have been on a downward trend since then. The US is one of the largest cotton producers and imposition of tariffs is expected to decelerate the pace of its raw cotton exports.

If cotton prices fall fabrics prices also fall. Garment exporters hope to get increased orders in the coming days. They are now leaving out many orders due to lower prices being offered by buyers and hope to be able to pick up such orders. India and Pakistan, which produce and consume cotton, will benefit as a result of the war as they may get higher demand for their produce from China.