Trump Tariff War: Vietnam is preparing to crack down on Chinese goods being sent to the US in the hope of avoiding US tariffs. According to an official familiar with the matter and official documents examined by news agency Reuters, Vietnam is trying to control the export of Chinese goods.
‘Made In Vietnam’ Labels On Chinese Goods
Earlier, White House trade advisor Peter Navarro also expressed concerns about Chinese goods being sent to the US with a ‘Made in Vietnam’ label, as exports from here attract lower tariffs. US President Donald Trump imposed a 46% tariff on Vietnam, which is considerably lower than what was imposed on China.
Following a meeting between the US trade representatives and the Vietnamese Deputy Prime Minister on Wednesday, both countries have agreed to negotiate their respective tariffs.
Meanwhile, Trump extended a 90-day reprieve to most countries, except China, from the ‘reciprocal tariffs’.
Vietnam Hopes For Import Tariff Reduction
According to three officials Reuters spoke to, Vietnam is expecting tariffs in the range of 22-28%. While announcing the start of trade talks with the US on Thursday, the Vietnamese government said on its official portal that ‘trade fraud’ would be curbed.
US Important Market For Vietnam
Trump had recently said that the Vietnamese government wants to strike a deal on tariffs and wants to bring tariffs on American goods to zero. On Friday, Trump, while sharing information about his conversation with the General Secretary of Vietnam’s Communist Party, Lam, said that Vietnam wants to bring tariffs to zero.
It should be noted that the US market is quite important for Vietnam. Last year, Vietnam imported goods worth $137 billion from the US, which is equivalent to 30% of its GDP.
