Vietnam has been one of the biggest beneficiaries of the U.S.-China trade war, attracting investment and expanding its role in global supply chains. However, this success comes with risks, especially as its trade surplus with the U.S. continues to grow.
Booming Trade and Rising Imbalances
In 2024, the U.S. remained Vietnam’s largest export market, with revenues reaching $119.6 billion, driven by electronics, textiles, footwear, and agricultural goods.
At the same time, China was Vietnam’s top import source, with turnover totaling $144.3 billion.
Vietnam’s trade surplus with the U.S. surged 25.6% to $104.6 billion, while its trade deficit with China jumped 69.5% to $83.7 billion. (Source by GSO)
Vietnam’s Growing Role in Global Supply Chains
China’s exports to Vietnam hit a record $163 billion (+18%), mainly in electronic components. This highlights Vietnam’s increasing importance as a key hub for assembly and re-export.
With ongoing U.S.-China tensions, multinational corporations are expanding their presence in Vietnam to diversify supply chains and reduce geopolitical risks.
The Risk of Becoming a Target
Former U.S. President Donald Trump once called Vietnam “the single worst abuser of trade” due to its rising surplus with the U.S. If similar views resurface, Vietnam could face new tariff pressures, just as it benefits from shifting global trade dynamics
Can Vietnam continue its trade momentum while avoiding potential U.S. trade actions?
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