On October 26, 2025, the US and Vietnam agreed to a framework for a "reciprocal, fair, and balanced" trade deal, which includes Vietnam providing preferential market access for U.S. goods and the US maintaining 20% tariffs but offering zero tariffs on certain Vietnamese products. The framework also aims to address non-tariff barriers by having Vietnam accept U.S. vehicle standards, simplify import rules for medical devices, and strengthen intellectual property protections.
Key provisions of the framework:
Market access: Vietnam will grant preferential market access for most U.S. industrial and agricultural exports.
Tariffs: The US will keep its reciprocal tariffs at 20% but will identify a list of products to receive a 0% tariff.
Non-tariff barriers: The agreement will tackle issues such as import licenses for medical devices, regulatory requirements for pharmaceuticals, and the acceptance of U.S. vehicle safety and emissions standards.
Intellectual property: Vietnam committed to fully implementing its obligations under international intellectual property treaties.
Next steps: The two countries will work in the coming weeks to finalize the agreement, prepare for signing, and complete domestic formalities.
Other
developments:
Supply
chains: Both countries are committed to strengthening cooperation to
enhance supply chain resilience.
Aircraft deal: In a separate development, Vietnam Airlines agreed to purchase 50 Boeing aircraft for over $8 billion.
In October 2025, the U.S. and Vietnam announced a framework for an Agreement on Reciprocal, Fair, and Balanced Trade. It is intended to build on their Comprehensive Strategic Partnership established in 2023.
Details of the new trade framework
Tariffs: The U.S. will maintain a 20% "reciprocal tariff" on most Vietnamese goods, a rate adjusted down from an earlier 46% following negotiations in July and August 2025. As part of the framework, the U.S. will also identify a list of specific Vietnamese products that will receive a 0% tariff rate. In exchange, Vietnam will eliminate or reduce tariffs on nearly all U.S. industrial and agricultural exports.
Timeline: Officials plan to finalize the full agreement and undertake domestic formalities in the coming weeks, in advance of the deal's entry into force.
Non-tariff barriers: Vietnam has agreed to address several non-tariff barriers impacting U.S. exports:
Accepting U.S. motor vehicle safety and emissions standards.
Easing import licenses for U.S. medical devices and pharmaceutical products.
Committing to fully implement intellectual property treaties.
Transshipped goods: Uncertainty remains regarding how the U.S. will determine "transshipped" goods, which are subject to a 40% tariff under the deal. This has put Vietnam in a difficult position, as China is its biggest trading partner and a primary source of imported materials.
Wider context of U.S.-Vietnam relations
Broader cooperation: The trade framework is a key development within a broader relationship that also includes collaboration on security, technology, climate change, and education.
30th anniversary: 2025 marks the 30th anniversary of diplomatic relations between the U.S. and Vietnam, with commemorative events held earlier in the year.
Economic trends: For some time, U.S. companies have been increasingly shifting manufacturing from China to Vietnam. As a result, Vietnam is now one of America's largest trading partners.
https://www.google.com/search?q=US+deal+with+vietnam+october+2025
Norb Leahy, Dunwoody GA Tea Party Leader
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