What the US-Bangladesh Reciprocal Trade Agreement Means for Cotton, Apparel & Verification

On February 9, 2026, the United States of America and the People’s Republic of Bangladesh announced an Agreement on Reciprocal Trade, signaling a significant step forward in bilateral economic cooperation and supply chain alignment.

The Agreement builds on the long‑standing US–Bangladesh Trade and Investment Cooperation Forum Agreement (TICFA), signed in 2013, and introduces new mechanisms that could reshape global textile and apparel supply chains, particularly for products made with US-origin cotton and textile inputs. 

While many implementation details are still emerging, the direction of travel is clear: trade incentives are increasingly tied to origin, transparency, and proof. For the global cotton and apparel industry, this places renewed focus on verification.

What we know so far

The Agreement outlines a broad framework to strengthen market access, reduce trade friction, and improve regulatory alignment between the two countries.

Key trade and tariff provisions

• Preferential access for US goods: Bangladesh will grant expanded preferential market access for a broad range of U.S. industrial and agricultural products, including machinery, ICT and energy products, and key agricultural commodities.
• Lower US tariffs on Bangladeshi imports: The United States will reduce reciprocal tariffs on Bangladeshi-origin goods to 19%, with scope for further zero tariff adjustments for eligible products.
• Zerotariff pathway for select apparel: The U.S. will introduce a mechanism allowing certain Bangladesh made textile and apparel products to enter at zero tariff, with eligibility tied to the use. and export volumes, of U.S.-produced cotton and other U.S. textile inputs.

At the time of writing, this mechanism is still being defined, and legislative details or provisions may change over time. However, its structure clearly links trade advantage to the verified use of U.S. origin inputs. For the most up-to-date information please contact us.

Why this matters for cotton and apparel supply chains

Bangladesh is one of the world’s most important apparel manufacturing hubs, with exports to the U.S. representing a substantial share of its economy. At the same time, the US is a major producer and exporter of cotton. 

By explicitly tying tariff relief to the use of US-produced cotton and textile inputs, the Agreement introduces a new dynamic. 

Marc Lewkowitz, CEO and President of Supima describes this as fundamental. "The US-Bangladesh trade agreement signals a fundamental shift in global textile trade: origin is now central to economic advantage. As trade policy increasingly rewards transparency, the industry must move beyond self-reported data and embrace independent, scientific verification. Supima through its partnership with Oritain is leading this transition - demonstrating how forensic science can provide the trusted evidence that modern supply chains require."

For US cotton:

The mechanism has the potential to reinforce demand for US-origin cotton in global supply chains, supporting exporters by linking fiber origin directly to downstream trade benefits. 

For organizations like Supima, this represents validation of strategic investments already made. "For Supima specifically, this agreement validates our strategic investment in Oritain's forensic verification technology," Marc explains. "We recognized early that the future of agricultural trade would require proof, not just claims. Now, as tariff benefits hinge on demonstrable origin, Supima producers and supply chain partners are uniquely positioned with both premium fiber quality and the scientific verification infrastructure to capitalize on this opportunity immediately."

For Bangladeshi manufacturers:

The Agreement may create a competitive advantage for manufacturers able to demonstrate that their products genuinely use US-origin cotton, provided they can produce credible, defensible evidence. 

This is where the nature of that evidence becomes critical. Traditional supply chain documentation, such as certificates of origin, invoices, shipping records, plays an important role, but as Marc points out, "can be challenged, manipulated, or called into question during customs audits or buyer due diligence. Manufacturers who partner with Supima gain access to Oritain's forensic verification, which tests the actual fiber rather than paperwork. This provides unassailable proof that satisfies regulators, buyers, and customs authorities, eliminating audit risk and establishing trust."

For brands and retailers:

Trade incentives tied to origin increase expectations around transparency, traceability, and substantiation, especially as brands navigate regulatory scrutiny, tariff compliance, and sourcing risk. 

The solution, according to Marc, requires both quality and verification: "By offering both premium fiber quality and forensic verification, Supima provides a complete solution that addresses the immediate compliance needs of manufacturers, the transparency expectations of brands, and the trust requirements of consumers."

Part of a broader pattern

This agreement doesn't exist in isolation. Similar patterns are emerging globally. Marc observes, “the United States-Mexico-Canada Agreement's (USMCA) yarn-forward rules, the EU's Ecodesign for Sustainable Products Regulation requiring supply chain transparency, and growing consumer and regulatory scrutiny around labor practices and environmental claims all point in the same direction. Origin verification isn't a response to one agreement. It's a response to a structural shift in how global trade operates."

What you can do now

Companies that prepare early will be best positioned to respond once eligibility criteria and enforcement expectations are defined. 

1. Engage in verification programs now - Bangladeshi manufacturers supplying US markets can begin preparing by engaging in verification programs that scientifically verify US origin.
2. Prepare for origin‑based scrutiny - If tariff exemptions are tied to the use of US cotton, manufacturers and brands should expect greater scrutiny around fiber origin claims, from buyers, regulators, and customs authorities.
3. Strengthen evidence, not just paperwork - Traditional supply chain documentation plays an important role, but it may not fully address questions around substitution, blending, or mis‑declaration. Independent verification adds an additional layer of confidence. 

This Agreement signals a shift toward supply chains built on transparency and accountability. As origin becomes central to trade advantage, Oritain helps translate sourcing decisions into trusted evidence.