India’s recent decision to revoke withdrawal of the transshipment facility it had granted to Bangladesh marks a significant shift in regional trade and diplomatic dynamics. Since 2020, this facility has enabled Bangladeshi goods—particularly ready-made garments (RMG)—to utilize Indian infrastructure for exporting to third-world countries. This decision has implications not only for India-Bangladesh bilateral ties but also for broader regional connectivity, economic interdependence, and strategic concurrence in South Asia. This paper provides a detailed examination of the decision’s background, causes, and consequences, and policy perspectives....