The new U.S. tariffs will particularly impact textile exports from Bangladesh, Sri Lanka and Pakistan, exacerbating political and economic challenges and risking derailing their IMF programs. On April 2, the United States announced a new set of tariffs impacting many trading partners, including a 37% tariff on Bangladesh, 30% on Pakistan and 44% on Sri Lanka. While the United States suspended these so-called reciprocal tariffs for 90 days on April 9, Bangladesh, Pakistan and Sri Lanka remain subject to the blanket 10% tariff that the United States imposed on most of its trading partners. These tariffs are part of a broader U.S. strategy to address trade imbalances. This announcement came as all three countries are engaged in International Monetary Fund programs and face economic challenges, including high debt burdens and dwindling foreign exchange reserves. ...
