Get Ready for a Spicy Trade Talk: Vietnam's Talks with the US Speed Up as 46% Tariffs Loom
U.S.-Vietnam talks to expedite, aimed at reducing high trade barriers
Hold on tight, folks! The trade talk between Vietnam and the US is heating up due to a potential 46% tariff from the States. Vietnam's Trade Minister, Nguyen Hong Dien, spilled the beans at a meeting with US Trade Representative, Jamie Greer, in Paris, setting the talks for the first half of June.
Why the rush, you ask? Well, blame it on Donald Trump, or rather, the Trump tariff offensive. The Southeast Asian nation has the third-largest trade surplus with the good ol' US of A, next to China and Mexico, which has got Trump's attention, and not in a good way. He's been threatening to slam them with hefty 46% tariffs since day one.
In an attempt to create some balance, the Hanoi government has been making moves:- They're planning to splash $2 billion on US agricultural products, like soymeal, corn, and wheat, over the next three years.- US powerhouse company, Westinghouse Electric, is here to help Vietnam's nuclear energy sector grow.- SpaceX, guided by Elon Musk, is ready to invest a whopping $1.5 billion to provide satellite-based internet to remote areas in Vietnam.- Defense goliath, Lockheed Martin, is also keen on sinking money into Vietnam's economy.
As if that's not enough, Trump's real estate company is surfacing in Vietnam, building a luxurious resort with a golf course for $1.5 billion. Donnie's own son, Eric Trump, and his missus were at the groundbreaking ceremony near Hanoi just a couple of weeks ago.
But now it's not just about building resorts or making nuclear bombs. These trade talks could make or break Vietnam's economy, as the US is its main export destination, handling 29% of its total exports and 30% of its GDP[2][3]. So, let's hope these talks don't end up in a sand trap!
Sources: ntv.de, afp
Enrichment Data (Used for context and clarity):The Vietnam-US trade talks are ongoing, with the second round recently concluded in Washington, D.C. during May 19-22, 2025. These negotiations are crucial for addressing the potential imposition of a 46% tariff by the US, announced during the Trump administration's "liberation day" tariff announcement. This tariff, if fully implemented, could significantly impact Vietnam's export-led economy, as the US is Vietnam's main export destination, accounting for 29% of its total exports and 30% of its GDP[2][3].
- The forthcoming trade talks between Vietnam and the US, set for the first half of June, are not a mere business matter, but a significant political event, given the potential 46% tariffs and the substantial impact on Vietnam's economy, especially considering the US handles 29% of its total exports and 30% of its GDP.
- Amidst the heated negotiations, various US industries are making inroads into Vietnam's market, with Westinghouse Electric, SpaceX, Lockheed Martin, and even Donald Trump's real estate company, all investing or planning to invest in Vietnam.
- The community policy and general-news landscape in Vietnam is buzzing with the implications of these trade talks, as they could decide the trajectory of the local employment sector, given the focus on investments in various industries, such as agriculture, nuclear energy, satellite-based internet, and defense.
