President Donald Trump announced on Truth Social that he spoke with Vietnam’s Communist Party General Secretary To Lam, who offered to cut Vietnam’s tariffs on U.S. goods down to “zero” if an agreement is reached.
Trump’s post stated, “Just had a very productive call with To Lam, General Secretary of the Communist Party of Vietnam, who told me that Vietnam wants to cut their Tariffs down to ZERO if they are able to make an agreement with the U.S.”
Trump and his wife were invited by General Secretary Lam to visit Vietnam again on the same call.
Trump added, “I thanked him on behalf of our Country and said I look forward to a meeting in the near future.”
The conversation came amid a dramatic shift in U.S. trade policy, as Trump imposed a 46 percent tariff on all goods imported from Vietnam, a rate that will take effect next week. For Vietnam, one of Trump’s top targets, the new 46 percent tariff is among the highest imposed, affecting a market that absorbed US$142 billion of Vietnamese exports in 2024.
The share price of Nike stock rose following Trump’s post. This increase is linked to the fact that about 25 percent of Nike’s footwear is made in Vietnam.
Vietnam was optimistic about dodging the US tariff shock.
U.S. direct exports to Vietnam were recorded at US$13.1 billion in 2024, a figure that limits Hanoi’s ability to retaliate with its own tariffs. Therefore, Vietnam is leaning towards diplomacy.
Moreover, Hanoi has also tried to avoid trade tariffs before.
During a recent visit to Washington by Industry and Trade Minister Nguyen Hong Dien, Vietnam secured US$4.15 billion in deals with U.S. firms, including LNG sourcing agreements with Excelerate Energy and ConocoPhillips, as part of a broader US$90.3 billion trade package for 2025–2030.
In a swift post-election move, General Secretary To Lam congratulated Trump, further demonstrating Vietnam’s commitment to diplomatic engagement. Moreover Vietnam also made tariff cuts on various U.S. products announced on March 31, seen as pre-emptive moves to meet Trump’s demands for a more balanced trade relationship.
The 46% tariff rate has sparked confusion among Vietnamese leaders, especially given the Trump administration’s claim that it reflects a supposed 90% tariff that Vietnam imposes on U.S. products.
However, according to World Trade Organization data, Vietnam’s average applied tariff rate stands at 9.4 percent, with trade-weighted averages even lower at 5.1% as shown in a Reuters report.
Even when including a 10% value-added tax, criticized by Trump as a hidden barrier, the computation of a 90% rate lacks clear evidence.
Treasury Secretary Scott Bessent noted vaguely that each country’s rate “represents their tariffs,” a comment that has only deepened Hanoi’s frustration and uncertainty over the methodology behind the calculation.
White House is divided on Trump’s tariffs objective
Donald Trump appears to be shifting away from the uncompromising line taken by top officials such as Commerce Secretary Howard Lutnick and trade adviser Peter Navaro, who spent much of Thursday insisting that the newly imposed tariffs mark the start of a permanent drive to revive domestic manufacturing.
They argued these measures are meant to move away from a global trade system that has been in place for decades.
Yet one person close to the White House told Politico about the private talks with the president and others that they regard these officials’ comments as more reflective of strong protectionist views than of Trump’s true motivations.
“If you talk to Donald Trump, it’s about the fairness of us not getting screwed, but also using tariffs both as foreign policy and economic policy,” this person said. “If you look at Peter Navarro, it’s, he wants to develop everything in-house. He doesn’t want to rely on China for anything. Probably pretty smart. But we’re 15 years away from having a chip industry that can supply any of our needs.”
The same person said they do not see the ultimate objective of these tariffs as total free trade. “It’s a hybrid. I don’t think it’s a full free trade thing in any way. I think if this administration could snap their fingers, I’m not saying it would be isolationist, but it would want to be self-supportive,” the individual noted.
They also expect the administration to allow certain exemptions, either on a sector-by-sector basis or possibly for specific countries.
Inside the White House, officials have tried to balance talk of a clear national emergency in trade with Trump’s willingness to hear offers from various nations. “There’s a national emergency,” the person said, explaining why the administration is using national security arguments to justify tariffs without waiting for congressional approval. Emphasizing that these tariffs are open to discussion, however, might risk undermining the case that the situation is an urgent threat.
A second White House official said Trump is always open to taking phone calls from foreign leaders to hear out proposals. But they cautioned that these conversations should not be called “negotiations” just yet. While the possibility of talks in the near future seems real, the official stated that the administration is not prepared to engage in formal bargaining at this moment.
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