According to the earlier US tariff announcement, Cambodia encounters the highest rates of 49%, followed by Laos (48%), Vietnam (46%), Myanmar (44%), Thailand (36%), and Indonesia (32%). Meanwhile, Malaysia, Brunei, the Philippines, and Singapore face lower rates ranging from 10% to 24%.
Malaysia has expressed its readiness to negotiate in four key areas: addressing the US’s reported 24.8 billion USD trade deficit with Malaysia, removing non-tariff barriers, strengthening protections for technology and national security, and exploring the possibility of a bilateral trade agreement.
According to S&P Global, Vietnam’s Manufacturing Purchasing Managers’ Index (PMI) rose to 49.8 in May from 45.6 in April, remaining just below the 50-point threshold. The reading signals a near-return to stable operating conditions.
On the tariff issue, Secretary of the Party Central Committee and head of its Commission for Policies and Strategies Tran Luu Quang called for continued negotiations based on a cooperative spirit and understanding of each other's demands, aiming for a harmonious agreement that protects the interests of both sides and reflects the current state of bilateral ties.
Vietnam is ramping up efforts to expand market access for its agricultural, forestry, and fishery products through negotiations with potential partners, paving the way for a breakthrough in the country's agricultural products.
Thai Prime Minister Paetongtarn Shinawatra on May 20 clarified the cabinet’s decision to shift the budget originally allocated for the digital wallet cash handout programme in phase 3 to fund a new 157 billion THB (4.75 billion USD) economic stimulus plan.
The two sides exchanged views in an open, straightforward, and constructive manner on the issues of mutual interest, working to clarify the draft agreement's wording and providing information on current policies of each side to lay the groundwork for further steps.
The Thai economy grew by 3.1% in Quarter 1, slightly down from 3.3% in Quarter 4 last year. Against the backdrop, the National Economic and Social Development Council reduced its annual growth projection to between 1.3-2.3%, down from the previous forecast of 2.3-3.3%.
While the policy reflects Vietnam’s intent to strengthen trade relations with the US, the real impact on car prices will be modest partly because import tariffs are just one part of the vehicle's cost.
She affirmed that Vietnam has been actively and proactively promoting balanced and sustainable trade and investment cooperation with the US on the basis of effectiveness, frankness, equality, mutual respect, and mutual benefit.
Thai Prime Minister Paetongtarn Shinawatra’s official visit to Vietnam is of significance as it takes place at a time when the international order is being affected by increasing geopolitical tensions and trade conflicts.
With decisive policy actions, proactive diplomacy and strategic reform priorities, the country is now aiming for an ambitious GDP growth target of 8% or more this year - a goal lawmakers and experts believe is within reach, provided key breakthroughs are implemented effectively.
He said the negotiations will be held virtually, led by Deputy Secretary-General (trade) MITI, Mastura Ahmad Mustafa as Malaysia’s chief negotiator, alongside the Assistant US Trade Representative for Southeast Asia and the Pacific, Sarah Ellerman.
If the US eventually chooses to impose only a 10% tariff on Thai imports rather than the announced 36%, Thailand’s gross domestic product (GDP) growth could reach 2.5%.
With the US imposing reciprocal tariffs on exports, many Vietnamese firms are pivoting to the burgeoning global Halal market to diversify their revenue streams and boost export growth.
Trade negotiations with the US must be calm, consistent, and flexible, aiming to protect national sovereignty, security, and interests, while upholding international commitments and pursuing “balanced interests, shared risks," said Prime Minister Pham Minh Chinh.
