Bangladesh Raises US Apparel Market Share to 10.53% as China’s Exports Decline

Bangladesh expanded its share of the United States apparel market to 10.53% in 2025, up from 9.26% a year earlier, as American buyers redirected sourcing away from China, according to official US trade data.

Figures from the Office of Textiles and Apparel (OTEXA) under the US Department of Commerce show that US retailers and brands imported garments worth US $ 77.88 billion globally in 2025. Of that total, Bangladesh supplied apparel valued at US $ 8.20 billion, consolidating its position as the third-largest exporter to the US market.

Vietnam emerged as the leading garment supplier to the United States in 2025, overtaking China. Vietnamese exports totalled US $ 16.74 billion, capturing a 21.50% market share.

China, which had led the market in 2024 with a 20.83% share, saw its position weaken significantly. Its share declined to 13.66% in 2025, with exports amounting to US $ 10.64 billion, according to OTEXA data.

The sharp contraction in China’s share has been attributed largely to higher tariffs imposed during the administration of US President Donald Trump last year, prompting global brands and retailers to diversify sourcing strategies.

The United States remains Bangladesh’s largest single-country export destination for apparel. The latest data reflect a steady recovery and gradual expansion in Bangladesh’s market position over recent years. Its share stood at 9.37% in 2023 and 9.74% in 2022, after falling to 8.76% in 2021 amid the severe disruption caused by the Covid-19 pandemic.

The increase in 2025 underscores growing demand for Bangladeshi garments at a time when US importers are recalibrating supply chains.

Industry leaders have indicated that further growth is possible if trade conditions remain supportive. The Trump administration recently reduced the reciprocal tariff rate to 10% following a US court ruling, a development that may help ease pricing pressures in the American market.

Mahmud Hasan Khan, President of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), stated that the reduction in tariffs would likely lower commodity prices in the US market, encouraging buyers to increase purchases of apparel products. He added that this could lead to higher exports of Bangladeshi-made garments in the future.