Bangladesh is set to initiate formal discussions with China on a free trade agreement later this year, following the Prime Minister's visit to China, as announced by State Minister for Commerce, Ahasanul Islam Titu. 

Titu highlighted this development during a seminar focused on the potential benefits of a China-Bangladesh FTA, held at the Chinese Embassy in Dhaka. 

He also mentioned that Bangladesh is actively pursuing free trade agreements with 26 nations, including China, a significant trade and development ally for Bangladesh.

Expressing a desire for mutual development, the state minister emphasized the government's keen interest in establishing a Free Trade Agreement with China.

He also suggested that signing FTAs with various countries is crucial for Bangladesh to realize its Vision 2041 goals.

Chinese Ambassador Yao Wen highlighted the significant advantages that a China-Bangladesh Free Trade Agreement would bring to Bangladesh.

Citing a feasibility study report, he emphasized that the FTA would lead to a substantial decrease in import prices due to reduced tariffs on Chinese goods. This, in turn, would have an immediate impact on curbing inflation in Bangladesh.

Furthermore, the ambassador highlighted the long-term benefits of the FTA, such as increased competitiveness of Bangladeshi products in the global market due to lower raw material costs, which would ultimately contribute to a steady growth in Bangladesh's foreign exchange reserves.

Ambassador Yao Wen also emphasized that the Free Trade Agreement would streamline and enhance Chinese investment in Bangladesh, further contributing to job creation, industrial advancement, and export diversification.

Highlighting the robust foundation of economic and trade cooperation between the two nations, the ambassador pointed out that China has consistently been Bangladesh's largest trading partner for over a decade, with bilateral trade reaching $24 billion in 2023.

Additionally, he mentioned that China stands as the second-largest investor in Bangladesh, with a Foreign Direct Investment (FDI) stock of $3.2 billion by 2023.