Bangladesh’s ready-made garment exports to the European Union (EU) declined in both value and volume during the first seven months of 2026, compared with the same period last year. The fall came against a broader slowdown in the European clothing market, where total imports also decreased. However, the sharper decline in Bangladesh’s exports has drawn attention because key competitors, particularly China and Vietnam, recorded growth during the same period.
According to updated Eurostat data, the value of total clothing imports by the EU fell by 5.10 per cent between January and July 2026 compared with the corresponding period of 2025. Import volume declined by 3.23 per cent, while the average import price of clothing fell by 1.93 per cent per kilogram.
The figures indicate that European buyers reduced their clothing purchases while also paying lower average prices. The combination of weaker demand and downward pressure on prices has created a challenging environment for apparel suppliers across international markets.
Bangladesh has been affected more severely than the overall contraction in the European market. During the seven-month period, the value of Bangladesh’s garment exports to the EU dropped by 13.65 per cent. Export volume also fell by 5.66 per cent.
The decline has resulted in Bangladesh losing a portion of its share of the European clothing market. At the same time, the average price of garments exported from Bangladesh fell by 8.47 per cent per kilogram.
The decline in unit prices is particularly notable because Bangladesh remains one of the major suppliers of garments to the European market. According to the available data, Bangladesh is offering the lowest average garment prices among the leading clothing suppliers to Europe.
This means Bangladeshi exporters are facing pressure on two fronts. Shipments have declined in volume, while the average price received for those shipments has also fallen. For an industry heavily dependent on export earnings, such a combination can place additional pressure on revenue even when factories continue to receive orders.
The performance of Bangladesh’s major competitors presents a contrasting picture. Despite the overall decline in EU clothing imports, China and Vietnam managed to increase the value of their garment exports to the market.
China’s garment export value to the EU rose by 1.89 per cent during January-July, while Vietnam recorded growth of 3.92 per cent. Their gains came at a time when the European market as a whole was contracting, highlighting the competitive pressure faced by other suppliers.
Vietnam also achieved a substantial increase in the average price of its exported garments. Its average garment price rose by 11.76 per cent per kilogram during the period. Cambodia also increased its average price, with growth of 7.86 per cent.
The contrasting performance suggests that the decline in European clothing demand has not affected all suppliers equally. While overall imports have fallen, individual exporting countries have been able to protect or expand their positions through differences in pricing, product mix and market competitiveness. The available figures, however, do not establish the specific reasons behind the performance of each supplier.
For Bangladesh, the latest figures also underline the importance of maintaining its position in a major export destination while dealing with lower prices. A fall in average export prices can reduce the value of shipments even when the decline in volume is comparatively smaller.
Bangladesh Apparel Voice chief executive officer Mahbubuddin Rubel said clothing imports into Europe had declined overall this year, affecting Bangladesh as well. He added that exports had increased to some extent over the past two months.
Rubel said the performance of China and Vietnam remained a concern because both major competitors had managed to increase their exports despite the downturn in the European market.
The EU is a major destination for Bangladesh’s ready-made garment industry, making changes in European demand and purchasing patterns particularly significant for exporters. The latest January-July figures show that Bangladesh is dealing with a weaker European market at the same time as several competing suppliers are maintaining growth.
For the country’s apparel industry, the immediate challenge is therefore not simply the contraction of the European market. The sharper fall in Bangladesh’s export value and volume, combined with lower average prices, has occurred alongside gains by key competitors such as China and Vietnam.
