Bangladesh’s ready made garment exports to the European Union witnessed a significant downturn during the first four months of 2026, highlighting growing challenges for the country’s largest export sector.
According to the latest data from Eurostat, Bangladesh exported apparel worth €6.09 billion to the EU between January and April 2026, down 19.4% from €7.55 billion during the same period last year. The decline resulted in an export revenue loss of nearly €1.47 billion.
The drop was steeper than the overall contraction of the EU apparel import market, causing Bangladesh’s market share to fall from 24.4% to 21.9% — the largest decline among major garment-supplying countries.
In contrast, China strengthened its position despite a modest 4.6% decline in exports, while Vietnam maintained near-stable performance with only a 0.7% drop, supported by the EU-Vietnam Free Trade Agreement and increased exports of higher-value products.
Both of Bangladesh’s key apparel segments recorded notable declines. Knitwear exports fell 20.1% to €3.45 billion, while woven garment shipments dropped 18.4% to €2.64 billion.
Industry experts attribute the slowdown to weaker European consumer demand, declining unit prices, rising production costs, energy shortages, supply chain disruptions, and increasing competition from rival sourcing destinations.
BGMEA President Mahmud Hasan Khan said global economic uncertainty, geopolitical tensions, higher borrowing costs, and concerns over Bangladesh’s upcoming graduation from Least Developed Country (LDC) status are weighing on export performance. He also pointed to persistent domestic challenges, including gas and electricity shortages, delays in raw material imports, and port inefficiencies.
