Although the U.S. relationship with Bangladesh was initially troubled because of strong U.S. ties with Pakistan, U.S.-Bangladesh friendship and support developed quickly following Bangladesh's independence from Pakistan in 1971.

U.S.-Bangladesh relations are excellent. These relations were boosted in March 2000 when President Clinton visited Bangladesh, the first visit ever by a sitting U.S. President, and when Secretary of State Colin Powell visited in June 2003. A centerpiece of the bilateral relationship is a large U.S. economic aid program, which totaled about $100 million in 2001. U.S. economic and food aid programs, which began as emergency relief following the 1971 war for independence, now concentrate on long-term development. U.S. assistance objectives include stabilizing population growth, protecting human health, encouraging broad-based economic growth, and building democracy. In total, the United States has provided more than $4.3 billion in food and development assistance to Bangladesh. Food aid under Titles I, II, and III of PL-480 (congressional "food-for-peace" legislation) has been designed to help Bangladesh meet minimum food requirements, promote food production, and moderate fluctuation in consumer prices. Other U.S. development assistance emphasizes family planning and health, agricultural development, and rural employment. The United States works with other donors and the Bangladesh Government to avoid duplication and ensure that resources are used to maximum benefit.

Since 1986, with the exception of 1988-89, when an aircraft purchase made the trade balance even, the U.S. trade balance with Bangladesh has been negative, due largely to growing imports of readymade garments. Jute carpetbacking is the other major U.S. import from Bangladesh. Total imports from Bangladesh were about $2.1 billion (excluding services) in 2002, down from the $2.4 billion in 2001. U.S. exports to Bangladesh (some $269 million, excluding services in 2002) include wheat, fertilizer, cotton, communications equipment, aircraft, and medical supplies, a portion of which is financed by the U.S. Agency for International Development (USAID). A bilateral investment treaty was signed in 1989.

Relations between Bangladesh and the United States were further strengthened by the participation of Bangladesh troops in the 1991 Gulf war coalition, and alongside U.S. forces in numerous UN peacekeeping operations, including Haiti in 1994, as well as by the assistance of a U.S. naval task force after a disastrous March 1991 cyclone in Bangladesh. The relief efforts of U.S. troops are credited with having saved as many as 200,000 lives. In response to Bangladesh's worst flooding of the century in 1998, the United States donated 700,000 metric tons of food grains, helping to mitigate shortages.

The U.S. Embassy in Dhaka is located at Madani Avenue, Baridhara, Dhaka 1212, Bangladesh; tel: (880) (2) 885-5500, fax: (880) (2) 8823744. Hours of Operation: Sunday to Thursday (08:00 a.m.-16:30 p.m.), except holidays.