Jul. 2 at 3:24 PM
$NIK $TM $HMC Trump Announces U.S.-Vietnam Trade Deal; Tariffs Start at 20%
President Trump said he signed a trade agreement with Vietnam, imposing a 20% tariff on goods and 40% tariff on “transshipped” items (goods originally from China exported via Vietnam). Vietnam also agreed to open its markets to the U.S.
This contrasts with Trump’s tougher stance on Japan, threatening tariffs of 30-35% or more, above the initial 24% tariff announced April 2. Negotiations with Japan remain difficult, especially over the 25% car import duty—the country’s biggest U.S. export.
Japan, a major U.S. investor, is pushing back, highlighting the challenges in resetting trade rules. Sectoral tariffs on aluminum, steel, autos, semiconductors, and pharmaceuticals complicate talks.
Analysts expect Japan to face higher tariffs once the 90-day pause expires on July 9, replacing the EU as the prime candidate for increased tariffs.