Vietnam expected a lower US tariff rate than the 20 percent President Trump announced July 2, according to four people familiar with the discussions, per a report in Politico→view source.
As such, Trump’s announcement surprised and angered Vietnamese officials, who felt blindsided after private negotiations, the publication has said.
Key details:
- Vietnam expected a tariff around 11 percent, but Trump announced 20 percent, or 40 percent for goods from third countries.
- Neither Vietnam nor the US has released official documentation confirming final terms.
- Hanoi has not formally accepted the new rate and has said little publicly since the July 2 announcement.
- A draft joint statement obtained by Politico indicated a more favourable deal for Vietnam, suggesting Trump’s public claim overrode prior terms.
- Regional experts warn that these actions hurt America’s credibility and complicate future trade talks across Asia.
- Other Asian nations are reportedly discussing the last-minute change, raising concerns about US reliability as a trade partner.
See also: What’s Next for Vietnam if Trump’s 46 Percent Tariff is Here To Stay?