Vietnam is among the 6 countries prioritized by the US for reciprocal tax negotiations.

The growth target of 8% or more is more challenging due to the impact of the US’s reciprocal tax policy, but according to the Prime Minister, many international organizations continue to highly appreciate Vietnam’s economic prospects.

At the regular Government meeting in April on the morning of May 6, Minister of Finance Nguyen Van Thang said that in April, the US’s reciprocal tax policy surprised most countries and immediately affected the psychology of global businesses and investors.

The US economy in the first quarter decreased by 0.3% compared to the same period last year; international organizations simultaneously lowered their global growth forecasts for 2025.

Prime Minister Pham Minh Chinh chairs the April Government meeting

PHOTO: NHAT BAC

However, according to the leader of the Ministry of Finance, Vietnam has been proactive from the beginning, increasing exchanges and contacts in a diverse, flexible and effective manner at all levels and through all channels. In particular, the phone call between General Secretary To Lam and the US President, the Prime Minister chaired 11 meetings on negotiation plans and directly directed, helping Vietnam to be among the 6 countries that the US prioritizes for negotiations among more than 100 economies.

According to the report of the Ministry of Finance, the economy continues to grow, the macro economy is basically stable, inflation is under control, and major balances are guaranteed. Total registered FDI capital in the first 4 months was about 13.8 billion USD, up 40% over the same period; realized capital was over 6.7 billion USD, up 7.3%.

Many large US and EU enterprises continue to make new investments, expand investments, and build supply chains, demonstrating Vietnam’s important position in global supply chains.

Concluding the meeting, Prime Minister Pham Minh Chinh said that in the first four months of the year, the macro economy was stable, with economic growth higher than last year.

The results achieved are fundamental and important, but the head of the Government also noted that achieving growth of 8% or more in 2025 requires great efforts and endeavors. Especially when this goal is facing many challenges, including the impact of US tariff policies.

Besides, there are still shortcomings and limitations, such as the pressure to direct and manage the macro economy is still great, especially in terms of interest rates, exchange rates, and inflation control in the face of external fluctuations.

Production and business activities in many areas are still facing difficulties, access to credit is limited; private investment is still difficult, and the number of businesses ceasing operations is still large. The Vietnam Manufacturing PMI in April only reached 45.6 points due to the short-term impact of the US’s reciprocal tariff policy.

Regarding the future direction, the Prime Minister emphasized that this is a great opportunity to restructure the economy, restructure and diversify markets, products, supply chains, and open new markets.

The Head of Government also requested localities to focus on effectively implementing the arrangement of administrative boundaries and building a two-level local government. Effectively organize the implementation of the “strategic quartet” according to the four resolutions of the Politburo. Urgently submit to the National Assembly a resolution and submit to the Government an action program to implement resolutions 66 and 68 of the Politburo.

In addition, ministries and sectors need to focus on implementing solutions to respond to the US’s reciprocal tax policy. Carefully prepare plans and negotiate effectively with the US in the spirit of protecting Vietnam’s legitimate and legal rights and interests.

Negotiations should aim for balanced and sustainable trade, without affecting international agreements that Vietnam has participated in. Urgently sign and implement contracts and purchase and sale of goods with the US.

The Prime Minister also requested implementing solutions to diversify markets, products, and supply chains; improve the quality and competitiveness of goods and services, and be ready to adapt to developments in the world economic situation.

Ensure good exploitation of the domestic market; strengthen inspection and supervision of the origin of goods. Provide appropriate support for businesses and workers affected by the new US tariff policy…

Previously, at the opening session of the National Assembly yesterday morning, May 5, the Prime Minister said that tomorrow, May 7, the first negotiation session with the US on reciprocal taxes will take place.

Source: https://www.vietnam.vn/en/viet-nam-trong-nhom-6-nuoc-duoc-my-uu-tien-dam-phan-thue-doi-ung