Bangladeshi stocks plunged on Sunday following US President Donald Trump's executive order on "reciprocal tariffs", triggering concerns of a global recession. The Dhaka Stock Exchange (DSE) resumed trading after a nine-day Eid al-Fitr break, with the DSEX index falling 0.58 per cent to 5,188 points by 11:00 a.m. local time. The market downturn is attributed to fears over the new 37 per cent tariff imposed on Bangladeshi exports to the US, more than doubling the previous 15 per cent rate. Investors reacted nervously, selling shares as the country's export-dependent companies, especially in the ready-made garment sector, face potential losses. In response to these concerns, Bangladesh's interim government convened an emergency meeting to evaluate the impact of the US tariffs, which are part of the ongoing "reciprocal tariffs" strategy. The US is Bangladesh's largest market for ready-made garments, a sector that saw $7.34 billion in exports in 2024. Industry experts warn that the higher tariffs could severely disrupt Bangladesh's economy, which heavily relies on this sector. Attribution: Xinhua Subediting: M. S. Salama
