The United States and Bangladesh are moving forward with a series of defence and trade agreements that are expected to significantly expand Washington’s military and strategic footprint in the Bay of Bengal. Under the agreements, U.S. Navy warships will gain direct access to Bangladeshi ports and airports for maintenance, refuelling, and resupply operations, marking a major shift in the region’s geopolitical landscape.
Ports such as Chittagong and Matarbari are expected to play a central role in the arrangement, allowing American naval assets to operate more effectively across the Bay of Bengal and the wider Indian Ocean. The agreements also include expanded intelligence-sharing cooperation between the two countries, strengthening U.S. maritime reach in one of Asia’s most strategically sensitive waterways.
The development has triggered concern in India, which has historically maintained a dominant naval presence in the region due to its extensive coastline and strategic interests in the Bay of Bengal. India operates several naval installations in the area, including a nuclear submarine base, and has long viewed the waters as critical to its regional security architecture. Analysts believe the arrival of a deeper American military presence could alter the balance of power in waters traditionally influenced by India and China.
The agreements come amid broader economic cooperation between Washington and Dhaka. According to reports, officials from the U.S. Trade Representative’s Office visited Dhaka between May 5 and 7, 2026, to discuss implementation of the Reciprocal Trade Agreement signed between the two countries. The deal reportedly reduces U.S. tariffs on certain Bangladeshi garment exports to 19 percent, while granting zero reciprocal tariffs for specific textiles and apparel produced in Bangladesh using American cotton and man-made fibres.
The agreements are also aligned with a broader 15-year strategic framework that includes increased Bangladeshi imports of U.S. defence equipment, agricultural products, and chemical goods. The move is seen as part of Washington’s larger Indo-Pacific strategy aimed at expanding influence in a region increasingly defined by competition among major global powers.
The growing partnership could place Bangladesh in a delicate diplomatic position. Dhaka has traditionally maintained strong political, economic, and military ties with China, particularly in the areas of port infrastructure development and defence procurement. Approximately 70 percent of Bangladesh’s military hardware is reportedly sourced from China, making the new U.S. alignment particularly significant.
The issue also revives earlier political controversy surrounding former Bangladeshi Prime Minister Sheikh Hasina. Hasina had previously alleged that the United States pressured her government to permit the establishment of an American military base on St Martin’s Island in the Bay of Bengal. She claimed her refusal contributed to her political downfall, though Washington dismissed the allegations as false. Hasina further argued that the proposed base was part of a broader effort to expand U.S. strategic influence in the Indo-Pacific.
For decades, the Bay of Bengal remained relatively insulated from direct naval competition among global powers. However, with the United States now deepening its military engagement with Bangladesh, regional observers warn that the waters could increasingly become a focal point of strategic rivalry involving the U.S., India, and China.
