Vietnam’s strategic response to U.S. tariffs
23 April 2025
Lieu Dang, Co Founder & Partner at DNA Vietnam LLC, Alliott Global Alliance's law firm representative in Vietnam, highlights the strategic steps that the country has taken to protect its economy and strengthen trade ties after facing new U.S. tariffs and growing trade tensions.
In April 2025, the U.S. announced a 46% tariff on a range of Vietnamese imports, citing trade imbalances and concerns about Chinese goods being rerouted through Vietnam to bypass existing U.S. tariffs.
However, several Vietnamese products are exempt from the new 46% tariff, such as:
- Steel/aluminium products and automobiles and auto parts have been subject to tax under other regulations (in which steel products are only subject to 25% tax and aluminium products are 10%);
- Copper, pharmaceuticals, semiconductors, and lumber; and
- Bullion gold, energy, and certain critical minerals which are not domestically available in the U.S.
In response, Vietnam successfully negotiated a 90-day tariff suspension, starting from 09 April 2025, temporarily reducing the rate from 46% to 10%. This suspension gives both sides room to engage in further dialogue.
Vietnamese Government has since initiated negotiations for a bilateral trade agreement that will address tariff-related issues more comprehensively with the U.S. Government. Additionally, the Vietnamese Government has also pledged to tighten controls on transhipment and has expressed openness to dropping tariffs on U.S. imported products to 0% to improve trade relations.
These moves highlight Vietnam’s strategic efforts to stay competitive in global supply chains. Businesses trading with Vietnam should monitor these developments for emerging opportunities and compliance updates.
To support you further, our dedicated Tariffs Update page provides ongoing insights and resources to help you navigate this period of uncertainty. We encourage you to visit it regularly to access our webinar recordings, main takeaways, latest updates and contact details of our contributors.
About DNA Vietnam LLC:
Serving clients in a wide range of industries, including retail, manufacturing, food and beverage, financial services, technology, energy, and infrastructure development. DNA, AGA's law firm representative in Vietnam was founded by Mr Thanh Son Dang and Mr. Chi Lieu Dang, two former partners of a leading global law firm headquartered in the United States.