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As Bangladesh Deepens China Relations, US Mounts Strategic Push as India Struggles to Reset Ties

26 0
06.08.2026

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Dhaka: Within weeks of Bangladesh Prime Minister Tarique Rahman’s visit to Beijing, Washington dispatched two senior officials to Dhaka with proposals on technology, investment and defence, even as New Delhi’s efforts to repair strained ties came under fresh pressure after a dispute over former prime minister Sheikh Hasina’s public appearance in India, underscoring an intensifying contest for influence in the Bay of Bengal.

US Special Envoy for South and Central Asia Ambassador Sergio Gor visited Dhaka from July 30 to August 1, followed days later by Admiral Steve Koehler, commander of the US Pacific Fleet, whose discussions with the Bangladeshi leadership ranged from artificial intelligence and investment to a long-pending defence information-sharing agreement.

The clearest illustration of the strategic competition came on August 1. During his meeting with Rahman, Gor urged Bangladesh to join the US-led Pax Silica initiative, a State Department-backed platform aimed at reducing dependence on Chinese technology ecosystems. Hours later, Bangladesh’s Ministry of Foreign Affairs announced that the country would join the China-led World Artificial Intelligence Cooperation Organization (WAICO) as an observer.

The competing announcements highlighted the increasingly difficult balancing act facing Dhaka as Washington and Beijing seek to shape Bangladesh’s partnerships in critical technologies. While Pax Silica seeks to build a trusted ecosystem for artificial intelligence and digital infrastructure among US partners, WAICO represents Beijing’s effort to establish a parallel framework for global AI cooperation.

India joined the US-led Pax Silica initiative during the India AI Impact Summit in New Delhi on February 20, 2026. Bangladesh, however, had held back from committing to either initiative until last week.

Bangladesh’s decision to join WAICO has raised concerns in Washington because of China’s expanding role in sensitive sectors such as communications systems, undersea cables, artificial intelligence, 5G and military technology, a senior foreign ministry official told The Wire on condition of anonymity.

The official said Washington would prefer Bangladesh to work with the United States, Western countries or allied partners in those sectors rather than deepen cooperation with China.

During his meeting with Rahman, Gor also discussed increasing US investment in Bangladesh through greater participation by American companies. 

Following the meeting, Prime Minister’s Office spokesperson Mahdi Amin told a press conference that around 45 senior executives from 25 leading US companies are expected to visit Bangladesh by the end of next week to explore investment opportunities.

On industrial and infrastructure projects

The US investment push comes after Bangladesh signed a series of investment agreements with China during Rahman’s visit to Beijing. Besides agreeing to cooperate on........

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