Vietnamese trade associations have quickly eyed strategic shifts amid potential changes in U.S. tariff policies under President Donald Trump. 

Vietnam poses huge potential for expanding collaboration with U.S. suppliers, according to John Chan, regional director for Southeast Asia and Greater China at the American Hardwood Export Council. 

"Vietnam is seeing a big opportunity to purchase wood materials from the United States," he stressed.

The U.S. provides wood with clear origin, helping Vietnam’s furniture manufacturing industry enhance its standing in sustainable trade with the former, he said.

In 1995, the value of U.S. hardwood imports into Vietnam was virtually zero. 

As of 2024, the exports of the U.S. product to Vietnam had surpassed US$300 million.

“Regardless of any potential tariff impositions, Vietnam remains a highly promising player in the global wood industry," Chan said.

“The supply of hardwood from the U.S. to Vietnam will continue to increase."

Ngo Sy Hoai, vice-chairman and general secretary of the Vietnam Timber and Forest Product Association, emphasized that Vietnam is not only a major exporter of furniture to the U.S., but also one of the largest consumers of U.S. wood materials. 

He hoped that the Vietnamese trade associations and companies could increase imports of logs and sawn timber from the U.S. at reasonable prices. 

“The U.S. will not easily find alternative suppliers to replace Vietnam as the Vietnamese woodwork has established trust among American importers and consumers,” Hoai added.

Discovering chances amid challenges

Vu Duc Giang, chairman of the Vietnam Textile and Apparel Association, said that the U.S. is a major market for Vietnam’s textile and apparel exports. 

Tariffs hiked by the Trump administration on Chinese goods could open up opportunities for Vietnamese companies to ramp up exports. 

However, Giang noted that the shift in production from China to Vietnam is not substantial.

Besides, the textile industry is being affected by three key factors, including weak global demand, high inventory amounts impacting new orders, and prolonged delivery times which put pressure on the supply chain.

To mitigate trade risks, Giang hinted at diversifying export markets, and effectively tapping free trade agreements to expand their market presence and reduce reliance on some major partners.

“Local exporters should expand the partner network rather than focus solely on a few key customers to reduce the risk of market fluctuations,” Giang advised.

Meanwhile, Nguyen Van Khanh, chairman of the Ho Chi Minh City Leather and Footwear Association, said that the leather and footwear industry could also face challenges if the U.S. changes its tariff policies.

As such, Khanh urged enterprises to adopt flexible strategies, including diversifying export markets, expanding investment partnerships, and exploring opportunities in new markets like the Middle East.

Cooperation rather than confrontation

Vietnam and the U.S. are complementary economies, and their relationship is based on healthy competition rather than confrontation. 

According to Ambassador Hoang Anh Tuan, Vietnam’s Consul General in San Francisco, the spike in exports from Vietnam to the U.S. and the flow of U.S. investments into Vietnam will strengthen the bilateral economic relationship. 

Trade and investment form the foundation of the Vietnam-U.S. partnership, he said.

Statistics from the General Statistics Office of Vietnam indicated that Vietnam’s export turnover to the U.S. totaled $9.8 billion in January, bringing the total import-export value between the two countries to $11.1 billion. 

The bilateral trade is expected to continue growing, contributing to the two economies becoming mutually beneficial partners.

Do Ngoc Hung, head of the Vietnam Trade Office in the U.S., stated that trade associations and wholesale and retail entities in America are bracing for a challenging year in 2025.

Such sectors as textile, leather, footwear, and furniture may be affected by issues related to labor, trade circumvention, and origin falsification.

Relevant Vietnamese agencies and trade associations should proactively seek alternative solutions for raw materials, participate in international trade fairs, beef up exports, and raise market share. 

Once rivals face difficulties in the U.S. market, this could create opportunities for Vietnamese goods. 

However, firms must have a well-planned market entry strategy to avoid sudden spurts, which could increase the risk of trade investigations or trade remedies from the U.S..

Vietnam’s veggie, fruit trade deficit with the U.S.

Nguyen Van Muoi, deputy general secretary of the Vietnam Fruits and Vegetables Association, said that Vietnam currently runs a fruit and vegetable trade deficit with the U.S..

In 2024, the U.S. became the second-largest supplier of fruits and vegetables to Vietnam, after China, while Vietnam accounted for just one percent of the former’s total fruit and vegetable imports.

He assessed that trade tensions between the U.S. and China, Mexico, and Canada, could alter global supply chains, but they would have minimal impact on Vietnam’s fruit and vegetable sector. 

Vietnam could seize this opportunity to foster its fruit and vegetable shipments to the U.S., expand its market share, and import more U.S. products. 

Local firms should focus on boosting product quality, meeting food safety standards, and improving the logistics system to reduce transportation costs and raise competitiveness, he added.

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