Vietnam Seeks Tariff Relief in Key Meetings with US Officials and Business Leaders
Vietnam’s Deputy Prime Minister Ho Duc Phoc is visiting Washington this week for high-level talks aimed at easing trade tensions with the United States. His key meeting with US Treasury Secretary Scott Bessent is scheduled for Wednesday, as Vietnam pushes for a revision of new tariffs affecting its vital exports.
Push to Reverse 46% Tariffs
The United States has imposed a 46% tariff on Vietnamese exports, set to take effect this Wednesday. These exports make up around 30% of Vietnam’s gross domestic product. Hanoi is urging Washington to delay the move and reconsider its impact. In a recent call, Vietnam’s top leader To Lam told President Donald Trump he was open to negotiating a zero-tariff trade agreement.
So far, Vietnam has already taken steps to ease tensions. It has lowered tariffs on several US goods, including cherries, almonds, and apples. However, officials in Washington note that the country remains a major trade surplus partner, ranking fourth with a $123.5 billion surplus last year.
US Trade Representative Jamieson Greer said Vietnam is aware that it is a key target of the latest trade actions, but added that its tariff reductions were a positive sign.
Business Talks with Boeing, SpaceX and Apple
Following his 45-minute meeting with Secretary Bessent, Deputy PM Phoc will meet with Boeing executives. He is also set to attend the signing of a $200 million aircraft financing agreement between Vietnamese airline Vietjet and US investment firm KKR. This deal may help address US concerns about the trade imbalance.
On Thursday, Phoc is expected to meet with executives from SpaceX, which is preparing to offer its Starlink internet service in Vietnam. The company has received permission to bypass Vietnam’s strict foreign ownership rules.
Phoc’s schedule also includes a meeting with Apple executives. He will also meet with US companies such as Intel and Coca-Cola, which have operations in Vietnam.
Strategic Importance of the Visit
This visit highlights Vietnam’s urgent efforts to preserve trade ties with the US while defending its export-driven economy. The talks come amid broader US concerns about trade practices, including transhipping from China, seafood dumping, and intellectual property issues.
While a quick resolution is unlikely, Vietnam hopes that ongoing dialogue and continued economic cooperation will ease tensions and lead to more favourable trade terms in the future.
with inputs from Reuters