'Vietnam's tax is much lower than the 90% calculated by the US'

The US says that Vietnam's import tax rate is up to 90%, but representatives of the Ministry of Finance confirm that "the actual average tax rate is only about 9.4%."

The countervailing import tax imposed by the US on more than 180 trade partners ranges from 10-50%. Vietnam is among the countries subject to the highest tax rates, with a rate of 46%. This tax level is set to "counter" the import tax that Vietnam applies to goods from the US, which is about 90%, according to the calculations of that country.

However, at the regular press conference on April 3, Mr. Truong Ba Tuan, Deputy Director of the Tax Policy Department (Ministry of Finance), confirmed that the tax rate applied by Vietnam to goods imported from the US is "much lower than the 90% figure calculated by the US."

The US's countervailing tax schedule was announced by President Donald Trump on April 2. In which, Vietnam is assessed by the US to have applied a 90% tax rate on US goods. Photo: AFP

Mr. Tuan cited information from a report by the US trade agency stating that the average tax rate applied by Vietnam to goods from that country is only about 9.4%. Among them, most US goods exported to Vietnam are subject to a maximum tax of 15% or lower.

Representatives of the Ministry of Finance believe that the basis for the US's tax calculation includes many factors, not just purely based on tax rates. Therefore, the management agency will specifically study this tax calculation basis to have appropriate solutions.

With the newly announced tax rate of 46%, Mr. Tuan stated that this level is "much higher than what is actually being applied." According to him, this will negatively affect many manufacturing sectors, especially those with a large export proportion such as electronics, agriculture, textiles, and leather shoes...

Also at the press conference, Deputy Minister of Finance Nguyen Duc Chi affirmed that Vietnam aims for trade balance, but this must be in the direction of "better for all parties."

"The orientation is to persistently seek solutions, communicate with trading partners to balance in a way that increases turnover without needing to raise taxes," he said, believing that this also helps consumers in both countries benefit.

Deputy Minister Nguyen Duc Chi said that this weekend, government leaders will go to the US to discuss many issues related directly to the US's countervailing tariffs. "We believe that the level announced by the US government is maximum; the specific level will still be considered," Mr. Chi said, hoping that the upcoming exchange of information will be listened to by partners and lead to appropriate steps.

According to data from the Customs Department, in 2024, Vietnam exported goods worth 119.5 billion USD to the US and imported from this market 15.1 billion USD. There are 15 billion-dollar export items, of which 3 dominating groups include computers - components with 23.2 billion USD; machinery and equipment, and textiles at 22 billion and 16.2 billion USD respectively.

Phones, wood, and footwear are also groups of goods that bring significant value, ranging from 8.3-9.8 billion USD. Agricultural products also make important contributions, such as cashews and seafood at 1.15 billion and 1.83 billion USD respectively, or coffee at nearly 323 million USD.

In fact, the Ministry of Finance has recently reviewed the overall import tax rates, advising the government on appropriate solutions to adapt to fluctuations. Most recently, the government issued Decree 73 amending the MFN tax rates on a number of items, effective from the date of signing. Accordingly, Vietnam has reduced taxes on 16 groups of items, such as cars, wood, LNG, agricultural products (chicken thighs, cherries, apples)...

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