In the first six months of the current year (2026), Bangladesh's readymade garment (RMG) exports to the European Union (EU) decreased by 16.43% compared to the same period of the previous year. As a result, export earnings in the European market fell to 8.64 billion euros. This information was recently published by 'Bangladesh Apparel Voice' (BAV) after analyzing data from Eurostat. The sharp decline in Bangladesh's exports was primarily driven by the overall contraction of the EU's own apparel import market.

Mohiuddin Rubel, Founder and CEO of BAV, reported that during the January–June period, the volume of Bangladesh's RMG shipments to the European market declined by 8.22%, while the average unit price decreased by 8.94%.

However, amidst widespread concerns throughout the year, a slight improvement was observed in June. In that single month, Bangladesh's RMG exports to the EU grew by 0.87% year-on-year, reaching 1.37 billion euros. A 6.53% increase in export volume during this month helped mitigate some of the negative impact caused by a 5.31% decline in average unit price.

EU's Shrinking Market and Neighboring Countries' Performance Overall, in the first half of the year, the EU imported apparel worth 41.10 billion euros from the global market, which is 9.70% lower than the same period last year. This downturn in imports was largely due to weakening consumer demand and falling product prices across European markets. During this period, the EU's total import volume dropped by 6.40%, while the average unit price decreased by 3.53%.

The impact of this slowdown in the European market was felt across almost all major apparel-exporting nations:

• Turkey: Exports dropped by 14.60% • Pakistan: Exports dropped by 12.53% • India: Exports dropped by 12.49% • Sri Lanka: Exports dropped by 11.21% • China: Exports dropped by 8.88% • Cambodia: Exports dropped by 8.84%

Vietnam: The Sole Exception

Among the major apparel-supplying nations, only Vietnam managed to maintain a positive trend during this period. In the first half of the year, Vietnam's apparel exports to the EU increased by 0.36%. Although Vietnam's export volume fell by 11.52%, a 13.43% surge in their average unit price allowed them to offset the drop in volume and achieve overall growth. Vietnam recorded the highest rate of unit price growth among key competitors.

While the average unit prices for Indonesia and Cambodia also increased, both countries failed to achieve overall growth due to a significant drop in their export volumes.

According to analysts, Bangladesh's export contraction was steeper than the overall decline in the EU's apparel import market. The simultaneous decline in both shipment volume and unit prices poses fresh challenges for the country's RMG sector.

Author: Dr. Abul Hasnat Milton Journalist, Political Analyst, and Editor-in-Chief, The Source News Bangla