Tuesday, July 29, 2025

US Trade Deal with Vietnam 7-29-25

The US has reached a trade deal with Vietnam, according to President Trump's announcement on July 2, 2025. This preliminary agreement follows concerns from the US administration about Vietnam's trade surplus with the US and aims to address them.  

Key aspects of the deal include:

Tariffs: A 20% tariff on Vietnamese exports to the US, replacing a previously lower rate.

Transshipment: A heightened 40% tariff on goods suspected of being transshipped from China through Vietnam to evade US tariffs. This seeks to address the issue of goods from other countries being routed through Vietnam to bypass trade barriers.

Market Access: Vietnam will grant zero tariffs on US imports and provide preferential access for certain American goods, according to Trump

Note: As of July 28, 2025, no official text of the agreement has been released, and some details are still being developed.

The deal is described as a "framework" agreement, indicating that while some aspects are outlined, others will be negotiated in the coming months.The Vietnamese government has confirmed reaching a "framework for a fair and balanced reciprocal trade agreement". 

In addition to this new agreement, the US and Vietnam have a history of trade relations dating back to the signing of the US-Vietnam Bilateral Trade Agreement (BTA) in 2000. They also meet regularly under the 2007 Trade and Investment Framework Agreement (TIFA) to discuss various trade and investment issues. 

Yes, the US has reached a trade deal with Vietnam, according to President Trump's announcement on July 2, 2025. This preliminary agreement follows concerns from the US administration about Vietnam's trade surplus with the US and aims to address them. 

Key aspects of the deal include:

·       Tariffs: A 20% tariff on Vietnamese exports to the US, replacing a previously lower rate.

·       Transshipment: A heightened 40% tariff on goods suspected of being transshipped from China through Vietnam to evade US tariffs. This seeks to address the issue of goods from other countries being routed through Vietnam to bypass trade barriers.

·       Market Access: Vietnam will grant zero tariffs on US imports and provide preferential access for certain American goods, according to Trump

Note:

·       As of July 28, 2025, no official text of the agreement has been released, and some details are still being developed.

·       The deal is described as a "framework" agreement, indicating that while some aspects are outlined, others will be negotiated in the coming months.

·       The Vietnamese government has confirmed reaching a "framework for a fair and balanced reciprocal trade agreement". 

In addition to this new agreement, the US and Vietnam have a history of trade relations dating back to the signing of the US-Vietnam Bilateral Trade Agreement (BTA) in 2000. They also meet regularly under the 2007 Trade and Investment Framework Agreement (TIFA) to discuss various trade and investment issues. 

does the us have a trade deal with vietnam ai overview

Yes, the US has recently reached an agreement on a loose framework for a trade deal with Vietnam

Here's an overview of the key points:

·       Agreement Framework: A preliminary agreement on a potential bilateral trade deal was announced on July 2, 2025.

·       Tariffs: Vietnamese exports to the US will face a 20 percent tariff, with a higher 40 percent tariff on goods suspected of being transshipped from China through Vietnam to evade US tariffs.

·       Market Access: Vietnam will provide zero tariffs on US imports and preferential access for certain American goods.

·       Transshipment Concerns: The deal addresses US concerns about Vietnam being used to transship Chinese goods, and Vietnam has agreed in principle to cooperate in preventing this.

·       Details to be Finalized: Specific implementation details, product-specific rates, and the definition of "transshipment" still need to be finalized. 

The agreement establishes a framework for revised trade relations with new tariffs, market access provisions, and efforts to address transshipment. 

https://www.google.com/search?q=does+the+us+have+a+trade+deal+with+vietnam

Comments

In 2024, the United States experienced a record-high trade deficit with Vietnam, reaching $123.5 billion.

Multiple sources confirm that Vietnam's nominal GDP for 2024 was estimated to be around $456 billion US dollars. The World Bank reported Vietnam's GDP per capita (current US$) at $4,717 USD in 2024. Vietnam Population reached over 100 million in 2024.

Vietnam has agreed to ending its illegal forwarding of Chinese goods and offered open access for US goods with a 0% tariff. Vietnam will pay a 20% tariff on goods imported to the US.

Norb Leahy, Dunwoody GA Tea Party Leader

No comments: