Bangladesh on Sunday approved tech billionaire Elon Musk’s Starlink satellite internet service as US tariffs hit the key garment sector.
The Starlink service is expected to be announced at the government-backed investment summit, which begins in Dhaka on Monday. “We have given them permission,” Bangladesh Investment Development Committee Chairman Chaudhary Ashiq Mahmud told reporters on Sunday.
He said that this was approved on March 28. The date comes days before US President Donald Trump announced his tariff plan. Trump’s policy had a major impact on global markets.
The new customs duty on Bangladeshi goods is set at 37%. It increases the tax on cotton from the previous 16 percent.
Musk remains active in the White House as a close aide to Trump. His meetings with foreign leaders have raised questions about his blurring of lines between his official role and professional interests.
After a student-led revolution toppled a hardline government in August 2024, Dhaka’s interim authorities are seeking US support. Interim leader Muhammad Yunus held an emergency meeting on Saturday to discuss the impact of customs duties on the world’s second largest garment manufacturer.
Nobel laureate Yunus plans to write a letter to Trump about the tariffs, his press secretary said on Sunday.
Musk and Yunus discussed bringing Starlink to Bangladesh in February, a service that uses low-Earth orbit satellites to provide internet access to remote areas.
“This service will create new opportunities for entrepreneurial youth, rural and vulnerable women and remote communities in Bangladesh,” said a statement issued by Yunus’ media office at the time.
Textiles and garments account for about 80 percent of the South Asian country’s exports.
According to data from the Bangladesh Garment Manufacturers and Exporters Association, Bangladesh exports garments worth $8.4 billion to the US annually. This is about 20 percent of its total ready-made garment exports.
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