China will provide 100% duty-free market facilities to Bangladesh from 1 December this year.

On 5 September, President Xi Jinping announced that in the opening ceremony of the Beijing Summit of the Forum on China-Africa Cooperation.

In his keynote speech, he said that 33 African countries, including the least developed (LDC) countries that have diplomatic relations with China, will be given 100% duty-free market facilities.

Accordingly, Bangladesh will get a 100% duty-free market facility for the export of all types of products under tariff quota management from December 1. The basic rate of duty will be applicable on goods exceeding the quota amount.

Diplomatic relations were established between Bangladesh and China on 1 December 1975. China is going to launch this trade facility for Bangladesh on the same day.

China is Bangladesh's largest trading partner. It exported products to Bangladesh worth more than $18.6 billion in fiscal year 2022-23, while Bangladesh's exports to China were worth about $676 million. 

In 2022, China granted duty-free benefits to 98 percent of Bangladeshi products, including 383 new products, including leather and leather products; In 2020 which was 97 percent in Bangladeshi products.

The Chinese ambassador said, "Many Bangladeshis ask me why China is interested in FTA with Bangladesh. There are two reasons for this. Both countries want to simultaneously tackle economic challenges and ensure smooth development. Secondly, we want to take China-Bangladesh relations to greater heights."

Bangladesh will be considered as a developing country from LDC on November 24, 2026. According to WTO rules, when a country transitions from an LDC, that country no longer enjoys tariff-free benefits in international trade. However, in the case of Bangladesh, the facility will continue for another three years.