(EN) GTHTSVN_Macro Note_Update on Section 301 Additional Tariffs_29.07.2026

Update on US’s Section 301 Additional Tariffs

On July 24, 2026 (Vietnam Time), the Trump Administration announced a new tariff framework to replace the temporary 10% global tariff imposed earlier under Section 122. The revised tariff rates range from 10% to 12.5%, covering the 60 largest U.S. trading partners and accounting for approximately 99.4% of total U.S. imports. These tariffs are imposed pursuant to Section 301 of the Trade Act of 1974.

Accordingly, Vietnamese exports to the United States will be subject to an additional 12.5% tariff effective July 24, 2026, except for products exempted under Annex I and Annex II, Part A of the official notice.

Among Vietnamese industries, the textile & apparel and seafood sectors are expected to be the most affected by the new tariff measures.

Overall, the replacement tariff rates were broadly in line with market expectations and therefore did not trigger a significant market reaction. Instead, investor attention has shifted to the second and third Section 301 investigations, which focus on industrial overcapacity and intellectual property protection and enforcement, respectively. These investigations are expected to shape the next phase of U.S. trade policy. Should the Office of the United States Trade Representative (USTR) determine that trading partners have engaged in unfair trade practices, Washington would have the legal basis to impose additional Section 301 tariffs, with the investigation results expected to be released by the end of 2026.

To date, the Vietnamese government has implemented a broad range of coordinated measures to address the relevant requirements. These efforts reflect the government’s commitment to strengthening the legal framework, fully implementing ILO conventions and other international commitments, and enhancing transparency and sustainability across supply chains. We believe these initiatives could help mitigate potential trade risks and improve Vietnam’s position in the ongoing investigations. We will continue to monitor developments closely and provide timely updates as new information becomes available.