US, Vietnam finalize trade deal framework
The United States and Vietnam finalized a framework for a trade agreement that will allow Hanoi to avoid some tariffs while accepting a 20 percent baseline rate. The deal follows months of negotiations after Washington initially threatened Vietnam with a 46 percent tariff in April 2025 before suspending the measure for 90 days.
Vietnam eliminated all tariffs on American products and pledged to remove regulatory obstacles affecting vehicle emissions standards, medical devices, pharmaceuticals and agricultural goods. The country also committed to adopting specific intellectual property treaties.
The framework builds on an executive order issued in September that permits tariff exemptions for nations that agree to balanced trade terms. Specific products receiving exemptions remain undisclosed.
The United States was Vietnam’s largest export market and second-biggest trading partner in 2024. On Thursday, the American ambassador and the Vietnamese deputy prime minister reported significant progress ahead of completing the final agreement.
