Current Affairs · International Trade
Consider the following statements regarding India–U.S.–Bangladesh textile trade dynamics: Statement I: The proposed U.S.–Bangladesh reciprocal tariff mechanism is conditional upon Bangladesh using U.S.-produced cotton or man-made fibre inputs for its garment exports to the U.S. Statement II: India’s garment exports to the U.S. are currently subject to zero reciprocal tariffs, making Indian exporters structurally more competitive than Bangladesh in the U.S. market. Which one of the following is correct in respect of the above statements?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Statement I is incorrect, but Statement II is correct.
- 2Statement I is correct, but Statement II is incorrect.✓
- 3Both Statement I and Statement II are correct, but Statement II is not the correct explanation for Statement I.
- 4Both Statement I and Statement II are correct, and Statement II is the correct explanation for Statement I.
Correct answer
Statement I is correct, but Statement II is incorrect.
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