Vietnam has prepared to crack down on China’s trade to avoid Trump’s tariffs
Gordon Chang, a senior fellow at the Gatestone Institute, discusses a potential tariff talk with China in “The Evening Edit.”
Vietnam is reportedly ready to crack down on Chinese products It will be shipped to the United States through its own territory to avoid compromising US customs duties.
The offer, initially reported by Reuters, came as a senior US official. White House Trade Advisor Peter Navarro – raised concerns about Chinese goods sent to the US on a label “made in Vietnam” that causes lower obligations.
For weeks, Vietnam has been offering sweeteners it hoped to convince the Trump administration to take a conscientious view of its huge trade surplus with the United States. Instead, it was hit by a 46% tariff as part of Trump’s “liberation day.”
Tariffs have been suspended for 90 days, but the two countries agreed to begin consultations after a meeting between Vietnam’s deputy prime minister and US trade representative on Wednesday.
China will increase US import tariffs from 84% to 125% amid on ongoing trade war
On February 20, 2020, container trucks can be seen while waiting to cross the border at the gates of the Phuong Gi border, which connects China, in Lang Song Province, Vietnam. (Reuters/Reuters)
Export-dependent Vietnam hopes to reduce its duties to the 22% to 28% range, according to three people with knowledge of the issue.
When it announced the launch of trade talks with the US on Thursday, the Vietnamese government said it would crack down on “trade fraud” although it was not detailed.
For many years, many global companies have implemented a “one with China” policy to establish factories in Vietnam to reduce exposure to Beijing.
Southeast Asia The nation is caught up in delicate, balanced acts as it seeks to maintain trade between its biggest export markets and its security partners, but is not hostile to China.
File Photo: Employees are working with sewing machines on the production line of a midnight charm garment lingerie factory in Guanyong County, Jiangsu Province, China on November 25, 2024. (Reuters/Reuters)
The Vietnamese Government Bureau coordinates between its ministries, which held an emergency meeting with government trade experts on April 3rd after Trump announced the tariffs. According to those explained at the conference, the aim was to address Washington’s concerns over alleged theft and abuse of transport of intellectual property.
At the meeting, the Ministry of Trade and Customs officials were told to increase control and were given two weeks to devise a plan to crack down on illegal transshipment.
Many of the goods exported to the west by Vietnam have Chinese-made inputs, and Chinese companies have established factories in the country to serve US customers. In many cases, Vietnamese workers process the goods and then are legally shipped to the US under the “Made in Vietnam” label.
US officials have argued that China will use Vietnam as Vietnam to lower tariffs on goods that do not have much involvement in Vietnam.
Employees will prepare LEGO packages on their production line during their inauguration at the LEGO factory in Binh Duong Province on April 9, 2025. (Getty Images/Getty Images)
Vietnam is also implementing stricter measures on sensitive goods flowing through territory from the US to China. The country will step up its control over the export of double-use items, such as semiconductors, which can be used for both civilian and military purposes, according to a draft order reviewed by Reuters.
Click here to get your FOX business on the go
The main trading partners said that Hanoi had requested “minimise the chance that these source technologies will be transferred to third countries without the consent of the exporter.”
Reuters contributed to this report.