A Factory-Level Analysis of Changes in U.S. Garment Sourcing After the 2013 Rana Plaza Building Collapse

Abstract

This thesis examines changes in the sourcing patterns of U.S. garment importers after the April 24, 2013 collapse of the Rana Plaza factory building in Bangladesh. It contributes to discussions surrounding the efficacy of the two post-Rana Plaza agreements: the Accord on Fire and Building Safety in Bangladesh and the Alliance for Bangladesh Worker Safety. While both agreements had the same goals of ensuring proper working conditions and holding international brands accountable as the over- seers of their global supply chains, differences in the structures of these agreements led to shifts in U.S. garment importer sourcing patterns. Utilizing factory-level data on U.S. imports of goods from Bangladesh, I find that after Rana Plaza, U.S. importers shifted towards goods produced in factories covered by the Alliance while shifting away from goods produced in factories covered by the Accord. I find that these shifts were especially pronounced in Bangladesh’s export processing zones.