Whichever date is ultimately confirmed, the trade implications are already being priced into sourcing decisions. Bangladesh’s largest single apparel market has provided a three-year transition after graduation, during which Bangladesh will continue to benefit from Everything but Arms (EBA) preferences. Standard EU clothing tariffs of roughly *.* to ** per cent would then apply, depending on the product.
Global brands sign two- to three-year sourcing contracts, meaning the tariff cliff of **** or **** if the extension holds is already influencing orders being negotiated today.
EU apparel sourcing is already moving beyond Bangladesh
TexPro data on EU** apparel imports for January to May **** versus the same period in **** shows Bangladesh at $**.** billion, down *.** per cent. China reached $**.** billion, up *.** per cent, while Cambodia rose *.** per cent to $*.** billion. Cambodia remains an LDC and retains EBA duty-free access.
