Bangladesh to Review US Trade Deal Signed by Interim Government
Government adviser indicates potential renegotiation of provisions deemed harmful to national interests.
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Bangladesh plans to review a trade deal with the US signed by its interim government, citing concerns over provisions that could harm national interests and limit sovereign rights.
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Bangladesh is set to review a trade deal with the United States that was signed by its interim government in February, according to a senior aide to Prime Minister Tarique Rahman.
Zahed Ur Rahman, the prime minister’s adviser on information and broadcasting, informed the media on Tuesday that abrogating the agreement could affect bilateral relations and reciprocal tariff arrangements. However, the government is prepared to review and renegotiate specific provisions.
“We can revisit the agreement. We can identify the areas that are more problematic and potentially harmful to the state, and conduct an initial review within the government. I hope we can proceed towards negotiations with the US,” Zahed stated.
The decision to review the pact with the US follows a massive rally held in Dhaka the previous day by left-leaning student organizations, who were demanding its cancellation.
The pact was signed by Bangladesh’s then-interim government, led by Nobel laureate Muhammad Yunus, just four days before the national elections in February.
Opponents have contended that the provisions of the pact infringe upon Dhaka’s sovereign interests. For example, the document reportedly stipulates that if Bangladesh enters into a trade deal with a “non-market country”—a term Washington uses for China and Russia—the US reserves the right to terminate the pact, as reported by the Daily Star in February.
The deal also compels Dhaka to automatically align with US sanctions and trade wars, thereby forfeiting its right to maintain neutrality in power conflicts. Should Dhaka breach its provisions, the US may reinstate previously agreed-upon tariffs. The deal currently provides for a tariff rate of 19% for exports to the US, a reduction from the 20% set in August.
