FX.co ★ Vietnam Pushes Ahead with U.S. Talks, Seeks Mercosur and GCC Deals

Vietnam is set to continue trade negotiations with the United States while also looking to establish new free trade agreements with Mercosur and Gulf Cooperation Council countries in the fourth quarter, Prime Minister Pham Minh Chinh announced on Wednesday. In August, U.S. President Donald Trump imposed a 20% tariff on Vietnamese goods and a 40% duty on transshipments passing through Vietnam. Hanoi has cautioned that exports may experience difficulties and challenges due to strategic competition, conflicts, and the U.S.'s "reciprocal" tariff policies. Despite these growing pressures, Vietnam has set a target of 12% export growth for this year. Meanwhile, the United Nations Development Programme has projected that these tariffs could reduce Vietnam’s exports to the U.S. by up to 20%, positioning it as the most significantly affected nation in Southeast Asia.