Trump cuts Vietnam tariffs to 20%

Experts say pact may strain ASEAN unity, while pointing to WTO rule breaches

US President Donald Trump has announced a 20 percent tariff on all imports from Vietnam — a move that, coupled with a 40 percent levy on transshipments — may put renewed pressure on Asian economies, analysts say.

In a social media post on Wednesday, Trump unveiled the new tariff rate, a notable drop from the 46 percent he had threatened in April, and claimed that Vietnam had agreed to eliminate all tariffs on US goods entering the country.

The trade agreement follows three rounds of negotiations between the United States and Vietnam regarding Washington's "reciprocal tariffs", the daily Viet Nam News reported.