Trump says US has struck trade deal with Vietnam

US President Donald Trump on Wednesday announced a trade deal with Vietnam. Products from the South-Asian country in the US will attract a tariff of 20 per cent, while US products in Vietnam will be sold at zero tariff.

Further Vietnam will pay 40 per cent tariff on transshipping. The rate is lower than an initial 46% levy Trump announced in April on goods from Vietnam, largely as a result of its big trade surplus with Washington.

Trump said that the deal was made after speaking with To Lam, General Secretary of the Communist Party.


In a post on Truth Social, Trump wrote, "It is my Great Honor to announce that I have just made a Trade Deal with the Socialist Republic of Vietnam after speaking with To Lam, the Highly Respected General Secretary of the Communist Party of Vietnam. It will be a Great Deal of Cooperation between our two Countries. The Terms are that Vietnam will pay the United States a 20% Tariff on any and all goods sent into our Territory, and a 40% Tariff on any Transshipping. In return, Vietnam will do something that they have never done before, give the United States of America TOTAL ACCESS to their Markets for Trade. In other words, they will 'OPEN THEIR MARKET TO THE UNITED STATES,' meaning that, we will be able to sell our product into Vietnam at ZERO Tariff."

Trump said that SUVs, which do not sell in America, will do well in Vietnam.

" It is my opinion that the SUV or, as it is sometimes referred to, Large Engine Vehicle, which does so well in the United States, will be a wonderful addition to the various product lines within Vietnam. Dealing with General Secretary To Lam, which I did personally, was an absolute pleasure. Thank you for your attention to this matter!"