'Significant progress' made in second round of Việt Nam-US trade agreement talks

'Significant progress' made in second round of Việt Nam-US trade agreement talks

The negotiations were characterised by goodwill, a frank and respectful dialogue, and a shared commitment to institutional integrity, mutual benefit and alignment with each country's development level and international commitments.

The second round of the Việt Nam – United States reciprocal trade agreement talks were held as scheduled, May 19-22, in Washington DC, according to the Ministry of Industry and Trade.

The Vietnamese delegation was led by Minister of Industry and Trade and the Vietnamese Government's chief negotiator Nguyễn Hồng Diên, and included representatives from various ministries and sectors such as Public Security, Foreign Affairs, Finance, Construction, Home Affairs, Agriculture and Environment, Science and Technology, Justice and the State Bank of Việt Nam.

Over the course of three days, both sides engaged in substantive discussions on all agenda items outlined ahead of the session. The negotiations were characterised by goodwill, a frank and respectful dialogue and a shared commitment to institutional integrity, mutual benefit and alignment with each country's development level and international commitments.

Both delegations exchanged detailed information on their respective current policies, clarified language in the draft agreement and discussed a comprehensive approach to resolving fundamental issues of mutual concern in order to accelerate the negotiation process. Constructive and open exchanges also took place regarding core economic and trade interests of the two countries.

Minister of Industry and Trade and the Vietnamese Government's chief negotiator Nguyễn Hồng Diên (left) and Ambassador and US Trade Representative Jamieson Greer had a meeting in Washington DC. — VNA/VNS Photo

By the conclusion of this round, Việt Nam and the US had made significant progress, identifying areas of convergence and shared positions, as well as matters that still require further discussion. Both sides agreed on timelines for providing feedback on the draft agreement, proposing revised language, and holding online meetings in preparation for the next round of negotiations.

At the end of the third day, Minister Diên met with Ambassador and US Trade Representative Jamieson Greer to review the outcomes of the second round and identify key issues for continued focus in early June 2025.

Ambassador Greer praised Việt Nam's goodwill and efforts to address US concerns and expressed a desire to continue technical-level and ministerial-level exchanges to reach an agreement as soon as possible.

Minister Diên welcomed the Ambassador’s remarks and reaffirmed Việt Nam's commitment to fostering a balanced and sustainable economic and trade relationship with the US, for the benefit of both countries’ peoples and businesses. He also concurred with Ambassador Greer's proposal for both sides to intensify technical-level exchanges to reach an agreement that meets the expectations and conditions of each party.

US goods trade with Việt Nam totalled an estimated US$149.6 billion in 2024. US exports to Việt Nam in 2024 were $13.1 billion, up 32.9 per cent from 2023, while US goods imports from Việt Nam totalled $136.6 billion, up 19.3 per cent from 2023.

The current trade deficit of the US with Việt Nam was $123.5 billion in 2024, an 18.1 per cent increase over 2023, according to data from the Office of the US Trade Representative.

In the announcement of reciprocal tariffs that the Trump administration announced in April, Việt Nam was among the countries hit with the highest level, at 46 per cent – on top of the baseline 10 per cent for all countries. 

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