U.S. and Vietnam agree to framework trade deal with phased tariff removal

The United States Trade Representative and Vietnam announced a framework deal aimed at “reciprocal, fair and balanced” trade, where the U.S. will maintain 20% tariffs on many Vietnamese goods but will identify some categories for zero-tariff status in future. Bilateral trade between the two nations rose 27% to $126.4 billion in Jan-Sep 2025. They also agreed to tackle non-tariff barriers, with Vietnam committing to accept U.S. safety/emission standards and streamline approvals for medical devices and pharma. Implementation is expected in coming weeks, enhancing supply-chain clarity for exporters.