H&M, the largest garment buyer in Bangladesh, has reaffirmed its commitment to the country as a key sourcing destination amid reports suggesting it may reduce purchases from the market.
The Swedish fashion retailer currently sources apparel worth around US $5 billion annually from nearly 300 factories in Bangladesh.
On its website, H&M noted that it works with over 554 commercial product suppliers who manufacture products for its brands in more than 969 Tier-1 factories across Europe, Asia, and North America. China and Bangladesh are its largest clothing production markets.
The company noted that Bangladesh continues to be a very important sourcing market, and it has been sourcing from the country since the early 1980s and has built long-term partnerships with local manufacturing suppliers.
The company has not made any official announcement regarding a reduction in sourcing from Bangladesh, according to Mahmud Hasan Khan, President of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA).
However, industry representatives acknowledged that apparel orders have been lower this year due to weaker global demand and ongoing uncertainty in the international market.
Mohammad Hatem, President of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said “H&M officials recently indicated that order volumes from Bangladesh were lower than last year, although no specific figures were disclosed”.
Industry leaders also cited challenges including Bangladesh’s upcoming graduation from least developed country (LDC) status, India’s growing competitiveness supported by government incentives, global economic volatility, US tariff uncertainties, and supply chain disruptions linked to geopolitical tensions.
According to H&M, Bangladesh remains one of its largest sourcing markets alongside China, with the retailer working with suppliers across more than 969 factories worldwide.
Bharat Tex Special Report 2026 
