Photo: Alamy
On Wednesday, President Trump announced a dynamic trade deal with Vietnam, locking in a 20 percent tariff on the country’s imports to the United States. The agreement grants American goods tariff-free access to Vietnam’s markets, a sharp win for the Trump administration.
Additionally, the deal imposes a 40 percent tariff on goods from high-tax countries shipped through Vietnam to the United States.
With a sneak-peek post just before 10:30 am, President Trump wrote on Truth Social, “I just made a Trade Deal with Vietnam. Details to follow!”
Just 19 minutes later, he laid out the terms in another Truth Social post.
“It is my Great Honor to announce that I have just made a Trade Deal with the Socialist Republic of Vietnam after speaking with To Lam, the Highly Respected General Secretary of the Communist Party of Vietnam. It will be a Great Deal of Cooperation between our two Countries. The Terms are that Vietnam will pay the United States a 20% Tariff on any and all goods sent into our Territory, and a 40% Tariff on any Transshipping. In return, Vietnam will do something that they have never done before, give the United States of America TOTAL ACCESS to their Markets for Trade.”
He continued, “In other words, they will ‘OPEN THEIR MARKET TO THE UNITED STATES,’ meaning that, we will be able to sell our product into Vietnam at ZERO Tariff. It is my opinion that the SUV or, as it is sometimes referred to, Large Engine Vehicle, which does so well in the United States, will be a wonderful addition to the various product lines within Vietnam. Dealing with General Secretary To Lam, which I did personally, was an absolute pleasure.”
According to The Hill, Vietnam exports various goods to the United States, including electrical machinery, clothing, and footwear. In 2024, the United States imported over $136 billion in goods from Vietnam, while the United States exported $13 billion to the communist country.
The United States’ trade deficit with Vietnam was more than $123 billion, according to the outlet.
Commerce Secretary Howard Lutnick celebrated the win on X. “Our trade deal with Vietnam is a massive win for America’s businesses, manufacturers, and farmers! For the FIRST TIME EVER, Vietnam will open its market to the United States. They will pay 20% to sell their products here, and 40% on transshipping – meaning if another country sells their content through products exported by Vietnam to us – they’ll get hit with a 40% tariff. This is HUGE for our farmers.”
