For many years, the United States has consistently been Vietnam’s largest export market, accounting for nearly one-third of the country’s total export value (General Statistics Office, 2025). Therefore, the continuous implementation of various tariff policies on imported goods into the U.S. during President Trump’s second term has posed considerable pressure on Vietnam’s exports to this market.
One of the most severe blows was the Executive Order imposing an additional 25% tariff on aluminum and steel products starting March 12, which was later raised to 50% from June 4. This measure immediately had a negative impact on the steel group – one of Vietnam’s key export items to the U.S. Specifically, in the first half of 2025, Vietnam’s export value of steel and steel products to the U.S. dropped sharply by 24.2% compared to the same period last year, reaching only USD 1.06 billion. Not only aluminum and steel, but passenger cars, light trucks, and spare parts were also subjected to the additional 25% tariff from April 3 and May 3, respectively.
These policies have slowed the export growth of vehicles and auto parts to the U.S., which rose by only 10.1% in the first half of 2025 – significantly lower than the 17.6% increase in the same period of 2024. Particularly alarming is the Executive Order on Countervailing Duties announced by the U.S. on April 2, 2025, with a proposed tariff rate of up to 46% on Vietnamese goods. This is expected to further darken the outlook for exports to the U.S. market.
Right after the order was issued, anxiety spread among many Vietnamese enterprises, especially in key export sectors such as textiles, footwear, furniture, and electronics. Facing the risk of high tariffs, many businesses were forced to temporarily suspend signing new contracts, reassess their market strategies, and develop response plans to tariff risks.
However, the decision to delay the implementation of the 46% countervailing tariff for 90 days (until July 9, 2025, and now extended to August 1) has somewhat stabilized market sentiment. This provided a critical “buffer period” that allowed enterprises to stabilize their operations and seize the opportunity to complete pending orders and accelerate exports as quickly as possible. These efforts significantly contributed to Vietnam’s impressive export results to the U.S. in the first half of the year, reaching USD 70.9 billion – an increase of 28.2% compared to the same period last year. Many of Vietnam’s key export items to the U.S. recorded notable growth, including: toys and sporting goods up 216.7%, computers up 65%, plastic products up 30%, machinery and equipment up 22.6%, textiles up 17.1%, footwear up 12.8%, and wood products up 11.6%.
In addition, amid the unpredictable fluctuations of the U.S. market, Vietnam has proactively intensified its strategy of market diversification, focusing on effectively leveraging existing free trade agreements (FTAs). In the first half of 2025, Vietnam’s export value to several FTA markets posted positive growth. Notably, exports to the EU increased by 10% to USD 27.3 billion, South Korea by 11.9% to USD 13.7 billion, Japan by 11.8% to USD 12.8 billion, and India by 15.1% to USD 5.04 billion.
This market-shifting strategy is expected to enable Vietnam to better cope with external trade shocks, especially in the context of rising protectionism and increasingly complex geopolitical risks. At the same time, Vietnam is also prioritizing investment in manufacturing technology, enhancing transparency in traceability, and strictly complying with rules of origin regulations.
These efforts not only help Vietnamese goods maintain access to demanding markets amid tightening technical barriers but also gradually improve Vietnam’s competitive position in the global value chain.
Source: trungtamwto.vn