Vietnam seeks 45-day delay on US reciprocal tariff

PM Chinh was speaking at a meeting with relevant ministries and agencies to discuss necessary measures in response to Washington's imposition of the 46-percent reciprocal tariff on Vietnam, effective April 9, as part of its global tariff policy unveiled on April 3.

This marks PM Chinh's third meeting with ministries and sectors in the past five days to address the tariff, which places the Southeast Asian nation among those facing the steepest duties – higher than those imposed on competitors like Thailand (36 percent), Pakistan (29 percent), and the Philippines (17 percent).

At the meeting, PM Chinh instructed agencies concerned to deploy diplomatic measures to request that the U.S. administration delay the implementation of the reciprocal tariff for at least one and a half months, allowing Vietnam time to promote negotiations and work toward a bilateral agreement that ensures a mutually beneficial trade balance.

Chinh also directed relevant agencies to complete comprehensive documentation to support Vietnam's negotiation delegation in the U.S., led by Deputy PM Ho Duc Phoc, special envoy of Party General Secretary To Lam, regarding the tariff issue.

Previously, several American billionaires urged a postponement of the execution of the reciprocal tariff policy by 90 days, which is being imposed on more than 180 global trading partners, citing concerns that it could trigger a global recession and undermine the U.S.’s position.

PM Chinh affirmed that Vietnam is ready to collaborate with the U.S. to reduce import tariffs on American goods to zero percent, as announced by General Secretary To Lam in his phone conversation with President Trump on April 4.

Vietnam also plans to increase imports of American goods in which the U.S. has strengths and Vietnam has demand, while further facilitating U.S. investments in Vietnam.

“We are going to negotiate a list of items to apply equal and mutually beneficial tariffs,” Chinh said.

He added that while the U.S. is Vietnam’s most important export market, it is not the only one, for Vietnam also has many other significant markets.

For non-tariff issues, PM Chinh assigned the Government Office to review U.S. concerns and directed relevant ministries and sectors to study and respond appropriately, in line with Vietnam’s actual situation.

Regarding monetary relations with the U.S., the PM called for proper handling of monetary policy issues in line with Vietnamese law and international practices.

He asked the Ministry of Industry and Trade to tighten control over the origin of goods, while the Ministry of Science and Technology was required to inspect compliance with Vietnam’s copyright and intellectual property regulations to ensure the legitimate rights of relevant parties and combat illegal imitations and counterfeits.

In the current context, the key solutions for Vietnam include leveraging the existing free trade agreements to diversify markets, products, and supply chains; improving product quality; and promoting traditional markets while penetrating potential ones, the Vietnamese government leader stated.

As for support measures for businesses, PM Chinh proposed developing a credit package for sectors such as seafood, textiles, footwear, electronics, and furniture.

He emphasized the need to continue reducing interest rates for industries potentially affected by U.S. tax policies, along with deferring and extending payments of land taxes and land rental fees for struggling businesses.

The PM also requested that agencies study and propose a support package for science, technology, and innovation.

Furthermore, he directed all agencies to streamline administrative procedures and asked competent authorities to make proposals for further tax reductions, starting with value-added tax.

Like us on Facebook or follow us on Twitter to get the latest news about Vietnam!