Vietnam's GDP is projected to increase by 7.67% year-over-year in the second quarter of 2025, according to Tran Van Son, Minister-Chairman of the Government Office, as reported by Vietnam Plus on Thursday. For the first half of the year, GDP is estimated to reach 7.31%, surpassing expectations by 0.2 to 0.3 percentage points. In parallel, the Ministry of Finance highlighted that the manufacturing and processing sector expanded by 10% during this period, with exports experiencing a robust growth of 14%.
However, recent forecasts from the International Monetary Fund (IMF) suggest a slowdown, predicting Vietnam's GDP growth will decrease to 5.4% this year, down from 7.09% the previous year, particularly in scenarios involving high tariffs. This prognosis remains subject to the results of ongoing trade negotiations and is impacted by persistent global uncertainties. Notably, a new trade agreement was announced on Wednesday between the United States and Vietnam. As part of this deal, the US has agreed to lower the proposed import tariff on Vietnamese goods to 20%, a reduction from the initially planned 46% levy. As Vietnam’s largest trading partner, the United States plays a crucial role, with exports to the US constituting approximately 30% of Vietnam's GDP. Official figures are expected to be released on Sunday.
