Vietnam's top leader plans US trip as tariff deadline looms
HANOI: Vietnam's Communist Party chief To Lam (pic) is preparing to travel to the US in coming weeks as the two sides look to clinch a trade deal before President Donald Trump's higher tariffs kick in, according to people familiar with the matter.
Lam aims to meet Trump to help finalise an agreement, the people said, asking not to be identified as the trip isn't finalised yet. It's unclear what date the party chief will travel, although preparations are being made for him to be there in the next few weeks, they said.
He is expected to lead a delegation of Vietnamese officials and business executives, they said, as the nation looks to seal more deals to buy additional American goods to reduce its trade surplus with the US.
Pham Thu Hang, a spokesperson for Vietnam's Ministry of Foreign Affairs, said she hadn't received any information about the visit when asked about it at a regular press briefing Thursday (June 19). The White House declined to comment.
Negotiators are close to a framework agreement under which Vietnam is pushing for tariffs in the range of 20% to 25%, Bloomberg News previously reported.
The US is demanding stricter enforcement against the transshipment of Chinese products and the removal of non-tariff barriers.
The two sides held more talks in a virtual meeting on Thursday, attended by US Commerce Secretary Howard Lutnick and US Trade Representative Jamieson Greer, Vietnam's trade ministry said in a statement.
Trade Minister Nguyen Hong Dien told the officials Vietnam seeks "to develop practical and harmonious' rules with the US to deter fraudulent exports. He also welcomed the proposals from Lutnick and Greer "to advance the negotiation process,' according to the statement.
Vietnam has engaged in weeks of intense trade diplomacy since Trump imposed a so-called reciprocal tariff rate of 46% on imports from the country. He then postponed the duties until July 9, temporarily setting a 10% import tax on trading partners to allow time for talks.
In recent weeks, top officials from Vietnam have gone to the US to rally support. The agriculture minister secured US$3 billion worth of provisional deals during a tour of US states.
The trade minister met with executives from Nike Inc, Gap Inc, and Walmart Inc to encourage key industry players to get behind negotiation efforts.
Vietnam is a critical industrial base for these companies, which count on the nation's factories to manufacture goods ranging from T-shirts and jeans to basketball shoes.
Brands raced to move manufacturing to Vietnam over the past decade as US-China tensions escalated, helping turn the country into one of the world's biggest production hubs.
The nation's trade connections with China, its largest bilateral trade partner, have been a major sticking point in negotiations. During Trump's economic battle with Beijing in his first term, the manufacturing shift to Vietnam helped build the kind of massive trade surplus that has drawn the ire of the US president. - Bloomberg
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