The government is on track to finalize an agreement with Boeing for the purchase of 14 aircraft for Biman with an estimated value ranging from Tk 30,000 crore to Tk 35,000 crore. This deal is a strategic move by the country to address the trade deficit with the US, with the expectation of receiving reduced tariffs on Bangladeshi goods in return.
Commerce and Civil Aviation Adviser Sk Bashir Uddin announced that a comprehensive techno-financial assessment has been conducted based on proposals from both Airbus and Boeing. Negotiations, spearheaded by Adviser Wahiduddin Mahmud, have been progressing with Boeing to determine the final pricing for the aircraft.
The proposed aircraft acquisition, comprising eight 787-10s, two 787-9s, and four 737 MAX 8s from Boeing, is anticipated to be spread over a payment period of up to 20 years, with annual payments estimated between Tk 1,500 crore and Tk 2,000 crore.
Following the trade agreement’s signing, it is speculated that the Trump administration may lower the reciprocal tariff for Bangladesh from the current 20 percent to 18 percent. The formal signing event is scheduled to take place in a hybrid format, with Adviser Bashir Uddin and Commerce Secretary Mahbubur Rahman participating virtually, while ministry officials are present in Washington.
In the negotiation discussions, Bangladesh has committed to boosting imports of American products and narrowing the trade gap between the two nations. In return, the US has agreed not to impose tariffs on garment items manufactured in Bangladesh using American raw materials like cotton.
Adviser Bashir Uddin expressed positivity regarding the trade deal progress, highlighting the reduction of the initial 37 percent tariff to the current 20 percent. He emphasized the importance of transparency in agreements, mentioning that disclosures are made once contracts are finalized.
The focus of the government’s efforts extends beyond tariff reduction to potentially eliminating tariffs on Bangladesh’s primary export, garments. The aim is to enhance the current export value of Tk 1 lakh crore by capitalizing on this opportunity.