HCMC – Prime Minister Pham Minh Chinh called a Cabinet meeting on the morning of April 3 following U.S. President Donald Trump’s announcement of new import tariffs targeting goods from Vietnam and other economies.
Attendees included Standing Deputy Prime Minister Nguyen Hoa Binh, Deputy Prime Ministers Ho Duc Phuoc and Nguyen Chi Dung, and leaders from relevant agencies.
Trump earlier signed an executive order imposing sweeping reciprocal tariffs on U.S. trade partners worldwide, with Vietnam in the top tier facing a 46% rate, said global media outlets. The tariff announcement came on the afternoon of April 2 (local time), equivalent to the morning of April 3 in Vietnam.
The new measures impose a 10% tariff on the UK, Brazil, and Singapore, while the European Union, Malaysia, Japan, South Korea, and India face rates ranging from 20% to 26%. China and Vietnam, however, are hit with the highest tariffs, at 34% and 46%, respectively.
Trump also revealed a blanket 10% import tariff on all goods entering the U.S., with effect from April 5, applying to every country and territory. Starting April 9, the U.S.’s largest trade partners will face even steeper reciprocal tariffs.
Vietnam’s trade with the U.S. in focus
Vietnam’s export sector, heavily reliant on the U.S. market, is now facing formidable challenges. According to the General Department of Vietnam Customs, Vietnam’s goods exports to America last year reached a staggering US$119.5 billion, while goods imports from the U.S. stood at US$15.1 billion, maintaining a substantial trade surplus with this key partner.
Preliminary customs data in the first two months of this year showed Vietnam’s exports to America amounted to US$19.56 billion, a 16.5% increase, or US$2.77 billion, compared to the same period last year. This growth underscores the U.S. market’s critical role in driving Vietnam’s overall export revenue.
Key export categories performed strongly in early 2025. Machinery, equipment, tools, and spare parts exports to the U.S. hit US$3.3 billion, up 22.6% year-on-year. Textiles and garments reached US$2.46 billion, a 12.5% rise, while footwear exports totaled US$1.29 billion, up 16.1%. Wood and wooden products, the largest export category to the U.S., amounted to US$1.3 billion, a 9.5% increase. Seafood exports grew 14.5% to US$216 million.
However, not all sectors saw gains. Transport vehicles and parts dropped 7.1% to US$459 million, and iron and steel exports fell 22.8% to 229,000 tons.
On the import side, Vietnam purchased US$2.5 billion worth of goods from the U.S. in the first two months of 2025, up 17.7% from the previous year.
Economic implications
With the U.S. as Vietnam’s top export market for goods like wood products and a major destination for machinery, textiles, and footwear, the new 46% tariff could disrupt trade flows and economic growth. The Government’s April 3 meeting signals an urgent effort to assess and mitigate the impact of the new tariff.
