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Vietnam Exports soared more than 34% to US

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The United States is the main export market to Vietnam. Vietnam’s exports to the US soared 34.8 per cent year on year in the first nine months of 2019. Overall, trade between Vietnam and the US is expected to keep on rising. Nevertheless, Vietnam will need to be more careful particularly for increasing exports of industries such as steel, footwear and agricultural products to the US. If not, the United States will certainly levy countervailing duties on goods it finds detrimental to its domestic industries.Vietnam however, will have to be even more careful to deal with origin fraud and transshipment as this has been the source of US tariffs on Vietnam in the past. The tariffs were imposed to prevent steel products that originated from China attempting to bypass anti-dumping rules. Vietnam subsequently issued new regulations related to the origin of exported and imported goods. Most recently, Vietnam addressed transshipment and origin fraud. The move was in line to satisfy US rules of origin requirements and address the trade surplus.

The US has recently reduced its list of developing and least developed countries, thereby excluding Vietnam from earning preferential trade benefits. Nevertheless, the move was not directed directly at Vietnam, but included a variety of other countries.