The Bangladesh Export Processing Zones Authority has witnessed a sharp rise in Chinese investments over the past 14 months, due to China鈥檚 shift to high-value products and the ongoing US-China tariff tensions.
According to BEPZA officials, a total of 39 foreign companies signed investment deals between July 2024 and August 2025.
Among them, 23 were fully Chinese-owned, while four others were partnership companies involving Chinese firms, including one with a Bangladeshi partner.
In FY2024鈥�25 alone, 33 companies invested $497.8 million, with the potential to create about 59,400 jobs.
In the first two months of FY2025鈥�26, six companies invested $158.8 million, which is expected to generate employment for approximately 19,700 people, according to the officials.
In FY25, 19 entirely Chinese firms, alongside one China鈥揃ritish Virgin Islands company, one China鈥揝ingapore company, and one China鈥揃angladesh joint venture company, invested in BEPZA zones.
Four additional Chinese firms, a聽China鈥揃ritish Virgin Islands firm,聽and a South Korean company also invested during July and August of this fiscal year.
Moreover, 11 domestic and other foreign companies also invested in FY25 and FY26.
Analysts said China is gradually moving away from low-value, labour-intensive industries toward high-end, technology-driven manufacturing.
Rising wages in China, coupled with geopolitical tensions with the United States, have prompted conventional production units to relocate to cheaper destinations, such as Bangladesh and Vietnam,聽they added.
鈥楥hinese investments are entering diverse sectors including garments, footwear, household products, accessories, battery plates, camping items, and safety wear,鈥� ASM Anwar Parvez, executive director of BEPZA, told 抖阴精品.
According to BEPZA officials, Dunion Taiyang Sheng Shoes (BD) Co Ltd signed a deal to invest $10.2 million in a footwear plant at BEPZA EZ, targeting 2.1 million pairs annually.
Baishili Household Products Bangladesh Co. Ltd would invest $10.47 million to manufacture 21.4 million units of household goods and bags.
Khaixi Group, which had invested $60 million in 2022, expanded its operations in 2025 with an additional $40 million to produce 20 million pieces of lingerie and undergarments聽annually.
Handa (Bangladesh) Garments Co Ltd is investing $41.3 million in a large-scale RMG facility, expected to produce 72.1 million high-value items.
The companies that signed agreements in 2025 are expected to start operations by December, said Anwar Parvez.
鈥楨arlier we mostly saw investments in shoe accessories, but this time we are receiving investment in full-fledged footwear production, meaning the zone would arrange both finished products and backward linkage sector,鈥� he added.
Regarding the Chinese investment,聽Mohammad Abdur Razzaque, chairman of聽Research and Policy Integration for Development, told The 抖阴精品 that as China shifted its production to high-value and sophisticated levels, it relocated its low-value production to Vietnam, Bangladesh, and other countries.
鈥榁ietnam is already saturated and is also under US scrutiny, which opened new opportunities for Bangladesh,鈥� he added.
He also said that it would have been better if they had invested in man-made fibre and other necessary聽sectors on a joint venture basis.
However, it would be difficult to push them for a joint venture; rather, proper negotiation of the government and proactive measures of the business could be helpful, he added.
He also said the government and businesses could focus on receiving Chinese investment, primarily for export-oriented sectors, otherwise the country might face balance of payment issues, he added.
BEPZA officials said most EPZs were operating at near full capacity.
To accommodate new investors, plots were being offered primarily at the BEPZA Economic Zone within the National Special Economic Zone at Mirsarai, alongside limited space at the Mongla EPZ and other locations.
Out of 539 plots at BEPZA EZ, 300 have already been handed over.
In the past 14 months, BEPZA signed agreements with 20 investors for BEPZA EZ and 19 others for various EPZs.
Officials expected at least two more foreign investment agreements by the end of August.
Apart from BEPZA, Chinese companies are also investing through other agencies.
Recently, China Lesso Group signed a $32 million deal with BIDA to establish a facility at the NSEZ Mirsarai for the production of PVC and PEX pipes, solar panels, and related products.
BEPZA executive chairman Major General Abul Kalam Mohammad Ziaur Rahman welcomed the new investors.
During the signing ceremony with Dunion Taiyang Sheng Shoes at BEPZA EZ, he reaffirmed his commitment to providing a secure and supportive environment for investors.
He also urged the company to make the best use of land, noting the need for efficient factory designs that allow future vertical expansion.
He further emphasised the incorporation of environment-friendly features, including rooftop solar panels and rainwater harvesting facilities, within the factory premises.
