Vietnam's Exports Hit by U.S. Tariffs, Mobile Phone Sector Takes Biggest Blow

Vietnam's exports decreased in October amid U.S. tariffs, affecting trade relations and overall shipments. Despite negotiations, a 20% tariff on imports aims to reduce the U.S. trade deficit with Vietnam. Mobile phones are most impacted, while foreign investments show signs of recovery, indicating economic resilience.

In the face of American tariffs, Vietnam's export-driven economy suffered a setback in October, as official data reported a significant decrease, particularly in shipments to the U.S. Despite ongoing negotiations for a trade deal, a 20% tariff, imposed by President Trump in August, continues to hinder economic progress.

Vietnam's largest export sector, mobile phones, witnessed a 15.2% drop in shipments to the U.S. throughout October, reflecting a persistent negative trend. Interestingly, sectors like footwear displayed resilience, with a 15% increase, even as overall trade statistics remained grim.

Caught in the belt-tightening fiscal climate, foreign investments in Vietnam fell sharply by over 25% in October. Notably, newly agreed investments surged by 24.2%, signifying renewed interest and confidence from multinational corporations, essential for the nation's growth trajectory.

(With inputs from agencies.)