U.S. and Vietnam Commence Trade Talks Amid Halted Tariffs

The United States and Vietnam have begun discussions for a new trade agreement following a U.S. decision to pause 'reciprocal' tariffs, including a 46% levy on Vietnam. Although tariffs are on hold, a 10% duty persists. Both nations seek to reduce trade barriers and increase economic collaboration.

The United States and Vietnam have embarked on negotiations to establish a trade agreement after the U.S. decided to halt plans for global 'reciprocal' tariffs, including a 46% duty on Vietnamese goods. The Vietnamese government announced this development on Thursday, following discussions between Vietnam's Deputy Prime Minister Ho Duc Phoc and U.S. Trade Representative Jamieson Greer in Washington.

The meeting, acknowledged by the U.S. Trade Representative on social media platform X, involved talks on 'reciprocal trade' and the significant economic potential in the bilateral relationship. A statement from Hanoi highlighted the mutual intention to eliminate numerous non-tariff barriers. While additional tariffs have been suspended, a 10% duty on nearly all U.S. imports remains, according to comments from the White House.

Vietnam, a key manufacturing hub in the region, had a U.S. trade surplus exceeding $123 billion last year. The country has committed to facilitating U.S. investments and increasing measures against trade fraud. Concurrently, Vietnamese airlines announced financial deals with U.S. firms to support their expansion plans, highlighting aviation's role in balancing trade relations with the U.S.

(With inputs from agencies.)