Major apparel brands and retailers are reducing orders from factories in Ashulia, Dhaka, due to concerns over supply chain risks following last year’s labor unrest. Brands from Spain, Switzerland, and the US are shifting production to other areas in Bangladesh to avoid potential disruptions, creating uncertainty for Ashulia’s suppliers.
Although Ashulia has temporarily managed to offset the loss with additional orders redirected from China for the Spring-Summer 2025-26 season, this is not seen as a full recovery. Industry leaders stress the need for stability to regain buyer confidence, with a clearer picture expected by March when orders for the Fall-Holiday 2026 season begin.
Factories in Gazipur, Chattogram, and other lower-risk areas are receiving orders originally meant for Ashulia. Some top buyers are reportedly planning to remove Ashulia-based suppliers from their approved lists entirely. Industry insiders warn that if instability continues, buyers will increasingly shift to alternative production hubs, particularly Chattogram.
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