Economists and business leaders across industries have voiced shock over a U.S. plan to impose a reciprocal tariff of 46% on imports from Vietnam, starting April 9, warning the move could hurt exports, dampen foreign investment, and threaten jobs and economic growth. All eyes on negotiations amid rising concerns Pham Xuan Hong, chairman of the HCMC Garment, Textile and Embroidery Association (Agtek), said most members are deeply concerned about the U.S. decision to impose a 46% reciprocal tariff on imports from Vietnam. The additional levy would render them uncompetitive as textile and garment products are already subject to a 16% tariff. The U.S. is Vietnam’s largest textile and garment market, with exports exceeding US$10 billion in 2024, about 40% of the sector’s total export revenue. “It will be a huge challenge for Vietnam’s textile and garment industry if the U.S. proceeds with the new tariff (as from April 9),” he warned. At a recent meeting, Agtek members said they were pinning hopes on strong U.S.-Vietnam ties and the Party’s and Government’s ongoing efforts to hold negotiations with the U.S. side to cope with the new tariff. In the meantime, businesses are planning to diversify export markets and reduce their dependence […]
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