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Bangladesh Enhances Its Position in the US Women’s Cotton Trouser Market

Bangladesh has secured a significant share of the US women’s cotton trousers market, thanks to its competitive pricing and absence of tariffs. The market dynamics are shifting, with Vietnam, China, Pakistan, and Cambodia also being key players. Tariffs on Chinese exports may enhance opportunities for Bangladesh and other emerging suppliers while challenging traditional leaders.

Bangladesh has established itself as a leading supplier in the US women’s cotton trousers and shorts market by leveraging cost-efficient manufacturing without facing tariffs on its exports. Its competitive pricing and strong market presence have solidified its position as a dominant player, significantly contributing to its market share. The classification of these garments under HS 620462 reflects consistent demand due to their adaptability for both casual and professional settings.

The leading exporters in this category include Bangladesh, Vietnam, China, Pakistan, and Cambodia. However, recent trade policy shifts, particularly tariffs imposed on Chinese exports, could alter the competitive landscape, presenting both challenges and new opportunities for emerging suppliers, according to reports from Fibre2Fashion.

Bangladesh leads the US market with a remarkable Revealed Comparative Advantage (RCA) of 72.80, evidencing its ability to produce competitively priced garments. Additionally, Bangladesh enjoys a low Unit Value Realisation (UVR) of $15.62/kg, making its offerings appealing to US purchasers. The absence of tariffs strengthens Bangladesh’s market position, enabling it to secure a substantial market share.

Vietnam follows as the second-largest exporter, holding an RCA of 1.16 and a different UVR of $18.52/kg. This higher pricing may restrict Vietnam’s competitiveness in the budget-conscious sector, despite its substantial export value of $707.08 million, underscoring its appeal to buyers seeking high-quality garments.

China has encountered significant challenges in maintaining its market position due to the imposition of tariffs on its exports. Currently ranked third, it possesses an RCA of 1.22 and a UVR of $8.31/kg. The tariffs, which took effect on February 4, 2025, and will increase to 20% by March 4, 2025, are anticipated to diminish China’s cost advantage and lead to a reduction in its market share.

Pakistan, positioned fourth in this market, boasts an RCA of 67.61 and a UVR of $15.93/kg, allowing it to compete closely with Bangladesh. Its combination of competitive pricing and tariff-free exports contributes to its stable growth, with an export value of $441.36 million.

Meanwhile, Cambodia is emerging as a viable alternative supplier, ranking fifth with an RCA of 20.34 and a UVR of $14.53/kg. Its exports, totaling $324.67 million, could gain momentum in the US market due to the absence of tariffs and a growing demand for diverse sourcing options. However, Cambodia’s Logistics Performance Index (LPI) may hinder its ability to fully capitalize on emerging opportunities.

The future market outlook suggests that Bangladesh, Pakistan, and Cambodia will continue to thrive due to their high RCA scores and effective cost management strategies. In contrast, Vietnam and China show lower RCA scores, indicating a more vulnerable position in the competitive landscape. As tariffs increase costs for Chinese goods, US buyers may re-evaluate their sourcing strategies more favorably toward Bangladesh, Pakistan, and Cambodia, thereby reshaping the market dynamics in their favor.

Bangladesh’s leadership in the US women’s cotton trousers and shorts market is fortified by its competitive pricing and tariff-free exports. While Vietnam maintains a solid export presence, its higher prices may limit its competitiveness. China faces challenges due to new tariffs that threaten its market share despite its historically low production costs. Pakistan and Cambodia are well-placed to capitalize on these market shifts, demonstrating potential for growth as emerging suppliers alongside Bangladesh.

Original Source: www.tbsnews.net

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