The United States and Vietnam agreed to start talks for a trade agreement, the Vietnamese government said on Thursday, hours after the U.S. paused the implementation of global "reciprocal" tariffs, including a 46% levy on Vietnam.
The two countries will consider removing as many non-tariff barriers as possible, Hanoi said in a statement released after a meeting between Vietnam's Deputy Prime Minister Ho Duc Phoc and U.S. Trade Representative Jamieson Greer in Washington.
The U.S. trade representative acknowledged the meeting, noting in a post on social media platform X that the discussions with Phoc covered "reciprocal trade and the vast economic opportunities in our bilateral relationship".
Although the additional tariffs have been put on hold, a 10% blanket duty on almost all U.S. imports will remain in effect, the White House said.
"The Trump administration will continue to engage with our trading partners to address trade barriers and further @POTUS' America First Trade Policy," he added, using the acronym for the president of the United States.
Vietnam, a major regional manufacturing base for many Western companies, last year had a trade surplus of more than $123 billion with the U.S., its largest export market.
The Southeast Asian country will facilitate investment by U.S. investors, the statement said, adding that it will also step up its fight against trade fraud.
Separately, on Thursday two Vietnamese airlines announced deals with U.S. financial companies to fund their expansion.
Budget carrier Vietjet(VJC.HM) said it had signed a $300 million deal with AV AirFinance, a partner of investment fund KKR (KKR.N).
It said the agreement would facilitate the delivery of planes it needs over the next two years. The company also said it would receive this year the first Boeing (BA.N) 737 Max jets from an earlier order of 200 aircraft after delivery was postponed multiple times.
Vietnamese and U.S. officials have said repeatedly that purchases of planes would be crucial to reduce Vietnam's large surplus with the United States, which the Trump administration has said was a key reason for the size of "reciprocal" tariffs initially imposed on Vietnam.
Earlier on Thursday, flag carrier Vietnam Airlines (HVN.HM) announced a separate non-binding deal with Citibank (C.N) worth more than $560 million aimed at "strengthening the airline's operational capacity and expanding its international route network in the years ahead," it said in a press statement.
