Trade Dispute Escalates Between U.S. and Vietnam

U.S. President Donald Trump has announced a 46% reciprocal tariff on Vietnam, part of a broader strategy targeting over 180 trading partners. This move, set to take effect on April 9, aims to address what the U.S. describes as unfair trade practices, including Vietnam's alleged 90% import duties on American goods.

Vietnam's Counterargument

Ta Hoang Linh, from Vietnam's Trade Ministry, disputes the U.S. claims, pointing out that Vietnam's average Most Favored Nation (MFN) tariff rate is only 9.4%. Linh highlights Vietnam's efforts to balance trade, including reducing tariffs on 16 categories of goods important to U.S. businesses.

Trade Figures and Future Negotiations

In 2024, Vietnam exported $119.5 billion worth of goods to the U.S., importing only $15.1 billion. Despite this imbalance, Linh argues for the complementary nature of the two economies. Vietnam has requested a suspension of the tariffs for further discussions, aiming to avoid negative impacts on its 12% export growth target.

Looking Beyond the U.S. Market

Linh encourages Vietnamese exporters to explore other markets, emphasizing the potential in regions like the Middle East, Latin America, and Central Asia, where Vietnam is negotiating new trade agreements.