FX.co ★ U.S., Vietnam to Strike Trade Deal, Address Non-Tariff Barriers

The United States and Vietnam are set to conclude a trade agreement in the upcoming weeks that maintains a 20% tariff on most Vietnamese goods while eliminating duties on a select group of products, which will be specified later, according to the White House announcement on Sunday. In exchange, Vietnam has committed to providing "preferential access" to the majority of American goods. The agreement establishes a framework aimed at achieving "reciprocal, fair and balanced" trade relations, with both nations collaborating to address non-tariff barriers. As part of the deal, Vietnam will acknowledge U.S. standards for motor vehicle safety and emissions, simplify the import licensing process for American medical devices, and expedite regulatory approvals for U.S. pharmaceuticals. Additionally, Vietnam will fully fulfill its commitments under key international intellectual property treaties.