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US Vietnam Tariff: What It Means for Global Supply Chains

Table of Contents

Introduction

In early April 2025, global headlines focused on the US Vietnam tariff announcement. The United States, under President Donald Trump, proposed a 46% retaliatory tariff on Vietnamese imports. The move sparked concern among American importers and Vietnamese exporters.

However, within days the situation shifted. On April 10, Trump delayed the Vietnam trade tariff for 90 days for countries, including Vietnam, that choose diplomacy over retaliation. This delay creates an important window—one Vietnam is using to propose constructive solutions and safeguard trade relations with the United States.

US Vietnam Tariff: The Initial Shock

On April 2, 2025, President Trump issued an executive order applying a sweeping 46% tariff on Vietnamese goods. The order covered categories from electronics and aluminum parts to textiles and custom metal components.

Reactions in the U.S.

  • Government stance: Commerce Secretary Howard Lutnick emphasized that no blanket exceptions would be granted, even though over 50 countries requested relief.

  • Industry pushback: U.S. businesses dependent on Vietnamese manufacturing warned of higher costs, disrupted supply chains, and reduced competitiveness.

  • Market volatility: Major retailers sourcing from Vietnam—such as Nike and Home Depot—faced brief stock declines, reflecting investor concern over the US Vietnam tariff.

Vietnam’s Strategic Response

Vietnam acted quickly with a diplomatic and solution-oriented approach.

  • Call for cooperation: The Ministry of Foreign Affairs welcomed the tariff delay as a positive step and stressed negotiation over confrontation.

  • High-level dialogue: General Secretary To Lam spoke directly with Trump, proposing a bilateral trade agreement and offering to cut tariffs on U.S. goods.

  • Expanded U.S. imports: Prime Minister Pham Minh Chinh pledged to boost imports of U.S. agricultural, energy, and defense products.

  • Business collaboration: The Vietnam Chamber of Commerce and AmCham in Hanoi issued a joint call for flexibility, helping reinforce stability during uncertainty.

What This Means for VNO Clients

Vietnam Outsourcing Pte Ltd (VNO) specializes in connecting Western buyers with reliable Vietnamese suppliers. The US Vietnam tariff announcement highlights why clients rely on us to manage risk and maintain business continuity.

Our Immediate Actions

  • Policy monitoring: Direct communication with U.S. and Vietnamese trade officials ensures clients receive accurate updates.

  • Supplier diversification: Backup production options across Southeast Asia are under review to protect against potential tariff impacts.

  • Compliance support: VNO advises on HS codes, certificates of origin, and invoice strategies for better flexibility.

  • Fulfillment options: Exploring U.S.-based warehousing for qualifying clients to reduce tariff exposure.

What Clients Should Do Now

  • Review your exposure: Assess which products could be impacted if tariffs resume in July 2025.

  • Use the 90-day window wisely: Adjust production schedules, renegotiate terms, and optimize shipping strategies.

  • Stay in touch with VNO: Account managers are assisting with risk assessments and contingency planning.

  • Avoid hasty moves: Vietnam remains a strategic partner thanks to skilled labor, growing infrastructure, and transparent trade policies.

Conclusion: Stability Through Partnership

The US Vietnam tariff created uncertainty, but the 90-day delay shows that diplomacy can prevail. Vietnam’s constructive approach, combined with U.S. industry pressure, points toward a potential resolution.

At VNO, we are not just a supplier—we are your engineering partner and supply chain advisor. We remain committed to helping clients navigate policy shifts with transparency, proactive solutions, and long-term trust. More insight can be found at Compliance & Supply Chain in Vietnam.

📌 Looking for tariff mitigation strategies? Contact VNO today for a complimentary consultation tailored to your business needs.

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