President Donald Trump announced that Vietnam is interested in eliminating tariffs on U.S. goods if an agreement can be reached. This news came after a phone call between Trump and To Lam, the General Secretary of Vietnam’s Communist Party. Trump shared this update on his Truth Social account, expressing gratitude for the conversation and looking forward to a future meeting.
The timing of this call is significant. It follows Trump’s announcement of new tariffs on various countries, including a substantial 46% reciprocal tariff on Vietnamese imports to the U.S. These tariffs are set to take effect shortly, with some starting after midnight on April 9 and others beginning on Saturday.
In response to the tariff news, Nike’s stock experienced a notable drop. The company operates 130 factories in Vietnam and employs around 460,000 workers there. Following Trump’s announcement, Nike’s stock opened at $53.22 per share but saw a spike to $58.73 shortly after Trump’s post. Prior to the announcement, the stock was trading between $63.49 and $65.35, indicating a significant market reaction to the tariff news.
On Thursday, Trump likened his new tariff strategy to a successful surgery, claiming that the U.S. economy would emerge stronger and more resilient as a result. He expressed confidence in the long-term benefits of his approach, stating, “THE OPERATION IS OVER! THE PATIENT LIVED, AND IS HEALING."
As discussions continue between the U.S. and Vietnam, the outcome could have major implications for trade relations and the economies of both nations.