Vietnam agrees to 20% U.S. tariff and 40% levy on some China-linked goods while targeting 10% annual growth
Vietnam reached a trade agreement with the United States in October that set tariffs at 20%. The government targets 10% yearly growth through 2030 and high-income status by 2045.
japantimes.co.jpU.S. tariffs on its goods at 20%, down from the 46% rate threatened in April 2025. S. customers each year.
The deal also imposes a 40% tariff on goods deemed transshipped from China. The Vietnamese government wants the economy to expand 10% annually by 2030 and reach high-income status by 2045. That goal would require per capita gross national income to rise from roughly $4,500 to $14,000.
Vietnam’s GDP stood at $527 billion last year after 8% growth, outpacing Malaysia’s 5% rate. FTSE Russell will upgrade Vietnam to secondary emerging-market status in September, a move expected to draw billions in passive fund flows. The VN-Index has already risen more than 35% over the past 12 months.
8% growth for 2026, while the Asian Development Bank, IMF, and ASEAN+3 Macroeconomic Research Office each forecast 7%. ” It sets a target of doubling the number of private enterprises to 2 million by 2030 and calls for creation of 20 large, globally competitive private firms.
Vietnam has approved a $67 billion high-speed railway between Hanoi and Ho Chi Minh City that will cut travel time from 30 hours to five.
The country plans to spend $25 billion on airports by 2030. Viettel broke ground on Vietnam’s first semiconductor fabrication plant in January and aims to begin producing 32-nanometer chips by 2027. Vingroup’s VinFast produces cyan-colored electric taxis now operating in Ho Chi Minh City.
Foreign direct investment accounts for 80% of Vietnam’s exports. Samsung, Apple, and Nintendo have built factories in the country. Chinese investors lead in project volume, with roughly 70% of tenants at Indochina Capital’s industrial parks coming from mainland China and another 20% from Taiwan.
