Trump imposes 20% tariff on Vietnam, secures zero-tariff access
3 Min Read
Trump announces a new trade deal with Vietnam, imposing a 20% tariff on exports to the US while securing zero-tariff access for American goods in Vietnam.
-
US President Donald Trump speaks to the media before walking across the South Lawn of the White House to board Marine One en route to Joint Base Andrews, Md., and on to Florida, Tuesday, July 1, 2025, in Washington (AP)
US President Donald Trump announced on Wednesday a new trade agreement with Vietnam that will impose a 20% tariff on all Vietnamese exports to the United States, while granting American goods zero-tariff access to Vietnamese markets.
In a statement published on his Truth Social platform, Trump said the deal was reached following a phone call with the General Secretary of the Communist Party of Vietnam, To Lam. He emphasized that Vietnam would now “open their market to the United States,” giving US products full access without any tariffs.
"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 … give the United States of America TOTAL ACCESS to their Markets for Trade," Trump stated.
'Fairer terms for American producers'
He added that this marked a significant shift in bilateral trade relations and would ensure fairer terms for American producers, especially amid concerns over transshipment practices used to bypass tariffs.
Vietnam has now become the third country, after the United Kingdom and China, with which the Trump administration has revisited its trade framework since a new round of tariffs was rolled out over three months ago.
The announcement drew attention from economists and trade analysts who noted that such a deal, if implemented, would significantly alter the balance of trade between Washington and Hanoi, and may have broader implications for Southeast Asia’s export economy.
White House says July deadline for higher tariffs may be extended
On Thursday, White House Press Secretary Karoline Leavitt revealed that the Trump administration may push back a July 9 deadline for higher tariffs on imports from several countries.
While Trump has already implemented a broad 10% tariff on most US trading partners this year, he has temporarily paused more aggressive tariffs on dozens of economies to allow room for negotiations.
When asked whether the deadline could be extended, Leavitt responded, "Perhaps it could be extended, but that's a decision for the president to make," adding that the July 9 date is “not critical".
"The president can simply provide these countries with a deal if they refuse to make us one by the deadline,” she said, adding that this gives him the ability to impose a reciprocal tariff rate he believes benefits the country.
