Title

AGREEMENT BETWEEN THE UNITED STATES OF AMERICA AND THE PEOPLE'S REPUBLIC OF BANGLADESH ON RECIPROCAL TRADE

Preamble

Preamble

The United States of America ("United States") and the People's Republic of Bangladesh ("Bangladesh") (individually "a Party" and collectively "the Parties"):

EMPHASIZING their shared values, including their shared commitment to sovereignty, economic prosperity, and resilient supply chains;

RECOGNIZING the bonds of friendship and cooperation between them, in particular in their trade and investment relations, as reflected in the Trade and Investment Framework Agreement between the Government of the United States and the Government of Bangladesh;

INTENDING to enhance reciprocity in their bilateral trade relationship by addressing tariff and non-tariff barriers; and

SEEKING to strengthen their commercial relationship through increased alignment on national and regional economic security matters,

HAVE AGREED as follows:

Body

Section 1. Tariffs and Quotas

Article 1.1. Tariffs and Quotas

1. Bangladesh shall apply a rate of customs duty (1) on originating goods of the United States as set out in Schedule 1 to Annex I.

2. Bangladesh shall not impose quotas on imports of originating goods of the United States unless otherwise agreed by the Parties.

3. The United States shall apply a reciprocal tariff rate on originating goods of Bangladesh as set out in Schedule 2 to Annex I.

Section 2. Non-Tariff Barriers and Related Matters

Article 2.1. Import Licensing

Bangladesh shall not apply import licensing (2) to U.S. goods in a manner that restricts the importation of such goods. Bangladesh shall ensure that any non-automatic import licensing that it applies, is applied only to administer an underlying measure, and in a manner that is transparent, nondiscriminatory, and not unduly burdensome, and that does not reduce the competitiveness of U.S. exports.

Article 2.2. Technical Regulations, Standards, and Conformity Assessment

1. Bangladesh shall allow U.S. originating goods that comply with applicable U.S. or international standards, U.S. technical regulations, or U.S. or international conformity assessment procedures to enter its territory without additional conformity assessment requirements where certification is provided by governmental or internationally accredited laboratories. In doing so:

(a) Bangladesh shall accord to the conformity assessment bodies of the United States treatment no less favorable than that it accords to its own bodies; and

(b) Bangladesh shall facilitate the acceptance of U.S. compliance procedures for goods which are not subject to third-party conformity assessment in the U.S. regulatory framework.

2. Bangladesh shall ensure that technical regulations, standards, and conformity assessment procedures are applied in a non-discriminatory manner and do not operate as disguised restrictions on bilateral trade, if any, and shall remove existing technical barriers to trade in areas that undermine reciprocity, including requirements for duplicative or unnecessary testing or conformity assessment.

Article 2.3. Agriculture

1. Bangladesh shall provide non-discriminatory or preferential market access for U.S. agricultural goods as set forth in Schedule 1 to Annex I.

2. Bangladesh shall ensure that its sanitary and phytosanitary (SPS) measures are science- and risk-based and do not operate as disguised restrictions on bilateral trade, and shall remove unjustified SPS barriers in areas that undermine reciprocity.

3. Bangladesh shall not enter into agreements or understandings with third countries that include non-scientific, discriminatory, or preferential technical standards; include third-country SPS measures that are incompatible with U.S. or international standards; or otherwise disadvantage U.S. exports to such third countries.

Article 2.4. Geographical Indications

Bangladesh shall ensure transparency and fairness with respect to the protection or recognition of geographical indications, including pursuant to an international agreement. In cases where Bangladesh protects or recognizes a term that identifies a good as a geographical indication but where there is no given quality, reputation, or other characteristic of the good that is essentially attributable to its geographical origin, Bangladesh shall permit use of the term in connection with U.S. goods.

Article 2.5. Cheese and Meat Terms

Bangladesh shall not restrict U.S. market access due to the mere use of the individual cheese and meat terms listed in Annex II.

Article 2.6. Intellectual Property

Bangladesh shall provide a robust standard of protection for intellectual property. (3) Bangladesh shall provide effective systems for civil, criminal, and border enforcement of intellectual property rights and shall ensure that such systems combat and deter the infringement or misappropriation of intellectual property, including in the online environment. Bangladesh shall prioritize and shall take effective criminal and border enforcement actions against copyright and trademark infringements.

Article 2.7. Services

Bangladesh shall not adopt or maintain measures that discriminate against U.S. services or service suppliers as compared to domestic services or services suppliers or those of any third country, jurisdiction, or economy. This Article does not apply to the extent that, in all of Bangladesh?s trade agreements, a measure is covered by a relevant non-conforming measure or limitation or Bangladesh is not bound with respect to the measure.

Article 2.8. Good Regulatory Practices

Bangladesh shall adopt and implement good regulatory practices as set out in Article 1.17 of Annex III that ensure greater transparency, predictability, and participation throughout the regulatory lifecycle.

Article 2.9. Labor

1. Bangladesh shall adopt and implement a prohibition on the importation of goods mined, produced, or manufactured wholly or in part by convict labor or forced or compulsory labor, including indentured labor and indentured child labor. (4)

2. Bangladesh shall protect internationally recognized labor rights. (5)  This includes by adopting or maintaining such rights in its law and practice, and effectively enforcing its labor laws, including by creating or maintaining necessary institutions to protect labor rights. Bangladesh shall establish and effectively apply appropriate legal sanctions for violations of those laws. Bangladesh shall not weaken or reduce the protections in its labor laws and shall address any such weakening or reduction that has been made to encourage trade or investment to date. (6)  In addition, Bangladesh shall address issues related to labor rights that contribute to non-reciprocal trade.

Article 2.10. Environment

Bangladesh shall adopt and maintain environmental protections, effectively enforce its environmental laws, uphold or institute as necessary strong environmental governance structures, and address environment-related issues that contribute to non-reciprocal trade.

Article 2.11. Border Measures and Taxes

1. If the United States adopts a border measure to combat regulatory arbitrage that would disadvantage U.S. workers and businesses, Bangladesh shall coordinate and endeavor to align its border measures to address the issue.

2. Recognizing that differences in tax regimes can contribute to nonreciprocal trade, Bangladesh shall not contest, including through countervailing measures or at the WTO, any measure adopted by the United States to rebate or to refrain from imposing direct taxes in relation to exports from the United States.

3. Bangladesh shall not impose value-added taxes that discriminate against U.S. companies in law or in fact.

4. Bangladesh, by 2030, shall implement and maintain technology solutions that allow for full pre-arrival processing, paperless trade, and digitalized procedures for the movement of goods of the United States across its borders.

Section 3. Digital Trade and Technology

Article 3.1. Digital Services Tax

Bangladesh shall not impose digital services taxes, or similar taxes, that discriminate against U.S. companies in law or in fact.

Article 3.2. Facilitation of Digital Trade

1. Bangladesh shall facilitate digital trade with the United States, including by:

(a) refraining from measures that discriminate against U.S. digital products;

(b) ensuring the free transfer of data across trusted borders for the conduct of business; and

(c) collaborating with the United States to address cybersecurity challenges.

2. If Bangladesh enters into a new digital trade agreement with a country that jeopardizes essential U.S. interests, the United States may, if consultations with Bangladesh fail to resolve its concerns, terminate this Agreement and reimpose the applicable reciprocal tariff rate set forth in Executive Order 14257 of April 2, 2025.

Article 3.3. Customs Duties on Electronic Transmissions

Bangladesh shall not impose customs duties on electronic transmissions, including content transmitted electronically, and shall support multilateral adoption of a permanent moratorium on customs duties on electronic transmissions at the WTO.

Article 3.4. Market Entry Conditions

1. Bangladesh shall not impose any condition or enforce any undertaking requiring U.S. persons engaged in commercial activities to involuntarily transfer or provide access to a particular technology, production process, source code, or other proprietary knowledge, or to purchase, utilize, or accord a preference to a particular technology, as a condition for doing business in its territory.

2. Nothing in this Article shall:

(a) apply to government procurement;

(b) preclude the inclusion or implementation of terms and conditions related to the provision of source code in commercially negotiated contracts; or

(c) preclude a regulatory body or judicial authority of a Party from requiring a person of another Party to preserve and make available the source code of software, or an algorithm expressed in that source code, to the regulatory body for a specific investigation, inspection, examination, enforcement action, or judicial proceeding, subject to safeguards against unauthorized disclosure.

Section 4. Economic and National Security

Article 4.1. Complementary Measures

1. If the United States adopts a border measure or other trade action and considers that such measure is relevant to protecting the economic or national security of the United States, the United States intends to notify Bangladesh of such measure. Upon receiving such a notification, and following consultations between the Parties, Bangladesh shall adopt or maintain a complementary restrictive measure, in accordance with its laws and regulations, in support of the U.S. measure.

2. Bangladesh shall adopt and implement measures to address practices of companies owned or controlled by third countries operating in Bangladesh?s jurisdiction that result in: (1) the export of below-market price goods to the United States; (2) increased exports of below market priced goods to the United States; (3) a reduction in U.S. exports to Bangladesh; or (4) a reduction in U.S. exports to third-country markets. The United States will share information with Bangladesh of such below-market price goods.

Article 4.2. Export Controls, Sanctions, Investment Security, and Related Matters

1. Bangladesh shall cooperate with the United States to regulate the trade in national security-sensitive technologies and goods through existing multilateral export control regimes; harmonize Bangladesh's export control regime with U.S. export controls on such technologies and goods; and ensure that its companies do not backfill or undermine these controls.

2. Bangladesh shall cooperate in a manner consistent with, and permitted by, applicable requirements of domestic law, with the United States with a view to restricting transactions that would be violations of U.S. sanctions or export controls if they occurred in the United States or by a U.S. person. (7)

3. Bangladesh shall cooperate in providing information about inbound investment with a view toward increasing transparency and experience sharing with the United States on economic and national security matters.

4. If the United States determines that Bangladesh is cooperating to address shared national and economic security issues, the United States may take such cooperation into account in administering its laws and regulations pertaining to export controls, investment reviews, and other measures.

Article 4.3. Other Measures

1. The United States shall work with Bangladesh to streamline and enhance defense trade.

2. Bangladesh shall adopt measures to encourage shipbuilding and shipping by market economy countries. The Parties shall consult on such measures.

3. Bangladesh and the United States shall enter into a duty evasion cooperation agreement.

4. If Bangladesh enters into a new bilateral free trade agreement or preferential economic agreement with a non-market country that undermines this Agreement, the United States may, if consultations with Bangladesh fail to resolve its concerns, terminate this Agreement and reimpose the applicable reciprocal tariff rate set forth in Executive Order 14257 of April 2, 2025.

5. Bangladesh shall not purchase any nuclear reactors, fuel rods, or enriched uranium from a country that jeopardizes essential U.S. interests except for the procurement of proprietary materials for which there are no alternative suppliers or technologies or materials contracted prior to entry into force of this agreement required for existing reactors.

Section 5. Commercial Considerations and Opportunities

Article 5.1. Investment

1. Bangladesh shall allow and facilitate U.S. direct investment in its territory to explore, mine, extract, refine, process, transport, distribute and export critical minerals and energy resources and to provide power generation, telecommunication, transportation, and infrastructure services on terms no less favorable than it accords to its own private investors in like circumstances and shall regulate those investments in keeping with minimum standards of international law.

2. The United States shall work through its U.S. institutions such as the Export-lmport Bank of the United States (EXIM Bank) and the U.S. International Development Finance Corporation (DFC), if eligible, to consider supporting investment financing in critical sectors in Bangladesh in collaboration with U.S. private sector partners, consistent with applicable law.

3. Bangladesh shall facilitate, to the extent possible, job-creating, greenfield investment in the United States.

Article 5.2. Commercial Considerations

1. Bangladesh shall ensure that its state-owned or controlled enterprises (SOEs), and SOEs of third countries operating in its market, when engaging in commercial activities (a) act in accordance with commercial considerations in their purchase of goods or services; (b) refrain from discriminating against U.S. goods or services; and (c) refrain from subsidizing domestic goods producers, other than those providing non-commercial public goods. Bangladesh shall refrain from providing non-commercial assistance or otherwise subsidizing its goods-producing SOEs.

2. Upon the written request of the United States, Bangladesh shall provide information regarding all forms of non-commercial assistance or subsidies that it provides to a manufacturing enterprise in its te1Tito1y, other than those providing non-commercial public goods, and shall take action to address the distortive impacts of those subsidies and support mechanisms on trade and investment with the United States.

Article 5.3. Textiles

The United States commits to establish a mechanism that will allow for certain textile and apparel goods from Bangladesh to receive a zero reciprocal tariff rate. This mechanism will provide that a to-be-specified volume of apparel and textile imports from Bangladesh can enter the United States at this reduced tariff rate, but this volume shall be determined in relation to the quantity of exports of textiles, e.g, U.S. produced cotton and man-made fiber textile inputs, from the United States.

Article 5.4. Purchases

As set out in Section 6 of Annex III, Bangladesh shall purchase originating goods of the United States.

Section 6. Implementation, Enforcement, and Final Provisions

Article 6.1. Annexes, Appendices, and Footnotes

The annexes, appendices, and footnotes to this Agreement constitute an integral part of this Agreement.

Article 6.2. Modifications and Amendments

Each Party may request reasonable modifications to this Agreement, which the other Party shall consider in good faith. The Parties may agree, in writing, to amend this Agreement if such amendment does not undermine the benefits of this Agreement or other agreements between the Parties.

Article 6,3. Rules of Origin

The Parties intend for the benefits of this Agreement to accrue substantially to them and their nationals. If benefits of this Agreement are accruing substantially to third countries or third-country nationals, a Party may, after consultation with the other Party when practicable, establish rules of origin necessary to achieve the Parties? intention for this Agreement.

Article 6.4. Enforcement

1. Nothing in this Agreement shall constrain, or otherwise prevent, a Party from imposing additional tariffs to remedy unfair trade practices, to address import surges, to protect its economic or national security, or for other similar reasons consistent with its law.

2. If the United States considers that Bangladesh has not complied with a provision of this Agreement, the United States shall, when practicable, seek consultations with Bangladesh. If these consultations do not result in a satisfactory outcome, the United States may reimpose the applicable reciprocal tariff rate set forth in Executive Order 14257 of April 2, 2025 on certain or all imports from Bangladesh to address the noncompliance.

Article 6,5. Termination

Either Party may terminate this Agreement by providing written notice of termination to the other Party. The termination shall take effect 60 days after a Party provides written notice to the other Party or on such other date as the Parties decide.

Article 6.6. Entry Into Force

This Agreement shall enter into force 60 days after the date on which the Parties have exchanged written notifications certifying completion of their applicable legal procedures or on such other date as the Parties may decide.

Conclusion

ANNEX III. Specific Commitments

Section 1. Non-Tariff Barriers and Related Matters

Industrial Goods

Article 1.1. Medical Devices and Pharmaceuticals

1. Bangladesh shall accept a prior marketing authorization approval or clearance that is issued by the U.S. Food and Drug Administration (FDA) as sufficient evidence that a medical device manufactured in the United States meets Bangladesh's requirements for marketing authorization, and shall not require marketing authorization for low-risk medical devices where approval or clearance is not required by the FDA.

2. Bangladesh shall accept U.S. FDA electronic certificates to foreign governments (eCFGs) as sufficient evidence that a medical device meets its approval requirements, and shall not require a hardcopy, original copy, authenticated copy, wet signature, or apostille of the FDA certificates.

3. Bangladesh shall apply to become an affiliate member of the International Medical Device Regulators Forum (IMDRF), and, when developing or implementing regulations for marketing authorization of medical devices, Bangladesh shall adopt relevant scientific or technical guidance documents developed through IMDRF.

4. Bangladesh shall recognize audits and certificates of device manufacturers' quality management systems that are in accordance with the requirements established by the Medical Device Single Audit Program (MDSAP) and conducted by auditing organizations authorized by the regulatory authorities participating in MDSAP to audit under the MDSAP requirements. Bangladesh shall not impose additional regulatory requirements beyond those required for MDSAP.

5. Bangladesh shall accept a prior marketing authorization that is issued by the U.S. FDA as sufficient evidence that a pharmaceutical product manufactured in the United States meets its requirements for marketing authorization in its country.

6. Bangladesh shall accept U.S. FDA's electronic certificates of pharmaceutical products (eCPPs) as sufficient evidence that a pharmaceutical product meets its approval requirements and shall not require a hardcopy, original copy, authenticated copy, wet signature, or apostille of the FDA certificates.

7. Bangladesh shall not require periodic re-authorization for a pharmaceutical product that has previously received marketing authorization from the United States, unless Bangladesh identifies a significant safety, effectiveness, or quality concern.

7. Bangladesh shall not require periodic re-authorization for a pharmaceutical product that has previously received marketing authorization from the United States, unless Bangladesh identifies a significant safety, effectiveness, or quality concern. 

8. Bangladesh shall accept the results of a good manufacturing practice surveillance inspection conducted by the U.S. FDA of a manufacturing facility for pharmaceutical products without further need for an inspection or reinspection performed by Bangladesh?s relevant regulatory authorities when the following conditions apply:

(a) the manufacturing facility is within the territory of the United States; and

(b) the most recent U.S. FDA inspection report as provided by the facility is classified as no action indicated, demonstrating no objectionable conditions or practices.

Article 1.2. Motor Vehicles and Parts

1. Bangladesh shall accept vehicles and vehicle parts that comply with U.S. Federal Motor Vehicle Safety Standards (FMVSS) and U.S. emissions standards and sold in the United States, and accept U.S. compliance procedures for automotive products without requirements for U.S. vehicles to undergo additional processes to enter Bangladesh's market. (8)

2. Bangladesh shall address any other standards or requirements that discriminate against U.S. vehicles and vehicle parts.

Article 1.3. Remanufactured Goods

Bangladesh shall remove import restrictions and any licensing requirements on U.S. remanufactured goods or their parts. (9)

Agriculture

Article 1.4. Recognition of the U.S. Food and Agricultural Control System and Acceptance of Certificates Issued by U.S. Regulatory Authorities

1. Bangladesh shall recognize that the U.S. sanitary and phytosanitary (SPS) measures and other measures for food and agricultural products, including technical regulations and standards, adopted or maintained by the U.S. government,(10) satisfy the requirements of Bangladesh's measures applied to food and agricultural products imported into Bangladesh.

2. Further to paragraph 1, Bangladesh shall accept official U.S. government certification of compliance with U.S. requirements for imports of food and agricultural products into Bangladesh. Bangladesh shall ensure that any future changes made to any bilateral export certification documents or electronic data elements are made with the concurrence of the United States.

3. Bangladesh shall limit attestations and information required in certificates required for imports of U.S. food and agricultural products to what is necessary to comply with applicable U.S. requirements.

4. Bangladesh affirms its commitments under Annex B of the World Trade Organization (WTO) Agreement on Sanitary and Phytosanitary Measures and Article 2 and Article 5 of the Agreement on Technical Barriers to Trade (TBT) to notify proposed measures to the WTO SPS or TBT Committees, as appropriate, and to take into account comments received from WTO Members before the measure is final.

Article 1.5. Facility Registration / Establishment Listing

Dairy Products

1. Bangladesh shall:

(a) recognize the U.S. dairy-safety system as providing at least the same level of protection as Bangladesh's dairy-safety system; (b) allow imports of U.S. dairy products of bovine, ovine, and caprine origins when accompanied by a U.S. Department of Agriculture (USDA) Agricultural Marketing Service (AMS) dairy sanitary certificate; and

(c) not adopt or maintain a facility registration requirement for imports of U.S. dairy products into Bangladesh.

Meat and Poultry (Including Offal), Meat and Poultry Products, Processed Meat and Poultry, Siluriformes, and Egg Products

2. Bangladesh shall recognize USDA Food Safety and Inspection Service (FSIS) oversight of U.S. meat and poultry (including offal), meat and poultry products, processed meat and poultry, Siluriformes, and egg product facilities, including cold storage warehouse facilities, for purposes of allowing imports of U.S. meat and poultry (including offal), meat and poultry products, processed meat and poultry, Siluriformes, and egg products.