Vietnam’s Prime Minister Pham Minh Chinh expressed confidence that a bilateral trade agreement with the United States will be finalized before early July, when a temporary suspension on 46% reciprocal tariffs is set to expire. His remarks came during the “Is Asia’s Century at Risk?” panel at the World Economic Forum in Tianjin, China.

 

Chinh underscored the proactive engagement between Vietnam and the United States, emphasizing the mutual understanding and constructive dialogue taking place to advance trade relations. “Vietnam and the U.S. share a deep understanding on tariffs,” he stated. “I hope that all the positive things will come for us.”

 

As a strategic manufacturing hub in Southeast Asia, Vietnam has become a vital trade partner for the United States. The two nations have recently concluded a new round of discussions aimed at strengthening economic cooperation while addressing trade imbalances and mutual concerns.

 

The urgency stems from the looming reinstatement of tariffs originally imposed in response to Vietnam’s significant trade surplus with the U.S. According to government data, Vietnam’s trade surplus rose to $12.2 billion in May 2025—a 42% increase year-on-year—driven by a 42% surge in exports to $13.8 billion, the highest since the pandemic.

 

To support ongoing negotiations and address concerns raised by U.S. authorities, Vietnam has intensified efforts to curb trans-shipment activities and enhance transparency across supply chains. The government has also shown readiness to ease non-tariff barriers and expand imports of key U.S. goods, including agricultural products, aircraft, and energy solutions.

 

These collaborative steps signify a commitment by both countries to build a balanced and resilient trade partnership. Industry observers see the anticipated agreement as a pivotal development that will help maintain supply chain continuity and bolster investor confidence across key sectors.

 

The International Trade Council supports such initiatives that reflect the principles of fair, rules-based trade and encourage meaningful economic cooperation between nations. A successful outcome would further reinforce Vietnam’s role as a responsible and forward-looking player in global commerce.

 

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