Vietnam’s Ministry of Industry and Trade has said progress is being made in “reciprocal” trade negotiations with the United States, in a statement posted on its website→view source.
The statement goes on to confirm Vietnam’s “reciprocal” tax rate has been reduced from 46 percent to 20 percent.
Key details in the statement include:
- High-level engagement: Led by Minister Nguyen Hong Dien and USTR Chief Jamieson Greer, discussions have included technical and ministerial sessions with participation from over a dozen Vietnamese ministries and the Vietnamese Embassy in Washington.
- Wide agenda: Talks have focused on tariffs, rules of origin, customs procedures, agriculture, digital trade, services, investment, IP, and supply chain resilience.
- Tax reduction milestone: On 1 August 2025, the White House announced a new Executive Order under President Trump, reducing Vietnam’s reciprocal tax rate from 46 percent to 20 percent — part of a broader revision affecting 69 countries.
- Outlook: Negotiations will continue toward a formal reciprocal trade agreement. Both sides aim to advance based on mutual respect, economic openness, and the principles of the Vietnam–US Comprehensive Strategic Partnership.
Of note, the statement is vague, lacking specific commitments, timelines, or details on which sectors or concessions have been agreed, leaving the scope and impact of the ongoing negotiations open to interpretation.
See also: What’s Next for Vietnam if Trump’s 46 Percent Tariff is Here To Stay?