WASHINGTON: United States President Donald Trump said on Wednesday (Jul 2) that the US has struck a trade deal with Vietnam, after months of negotiations, that imposes a 20 per cent tariff rate on many imports from the Southeast Asian country.
The rate is lower than the initial 46 per cent levy Trump announced in April on goods from Vietnam, largely as a result of its big trade surplus with Washington.
“It is my Great Honour 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,” Trump said on Truth Social.
Trump said that goods from Vietnam would face a 20 per cent tariff and that any transshipments from third countries would face a 40 per cent levy.
Vietnam would also provide the US with more market access, with US exports to the country facing no tariffs, he said.
“It is my opinion that the SUV or, as it is sometimes referred to, Large Engine Vehicle, which does so well in the US, will be a wonderful addition to the various product lines within Vietnam,” Trump said.
The White House and the Vietnamese trade ministry did not immediately respond to a request for comment.