Germany is Bangladesh’s second largest export market after the United States. The volume of bilateral trade is continuously growing, reaching a total of 5.62 billion euros in 2016. Bangladesh exported to Germany goods worth approximately 4.9 billion euros, while its imports from Germany amounted to only around 0.7 billion euros. Textiles account for over 90 percent of German imports from Bangladesh. Other exports to Germany include frozen foods and leather goods. Germany’s main exports to Bangladesh are machinery (55 percent of total exports), chemical products (20 percent) and electrical goods (9 percent). German shipping companies have had ships built in Bangladesh for a number of years now.
German companies are investing in Bangladesh, particularly in the textile, transport, energy and logistics sectors as well as the building materials industry.
A bilateral investment promotion and protection agreement has been in force since September 1986 and a double taxation agreement since 1993.