Some 81% of U.S. companies doing businesses in Vietnam are concerned about the possibility of the Donald Trump government imposing tariffs on imports from Vietnam, a survey has found.

In the manufacturing sector, 92% are worried the tariffs might "disrupt supply chains" and affect competitiveness, the survey, done by the American Chamber of Commerce in Vietnam (AmCham), said.

It polled more than 100 member businesses in February.

Less than a month after starting his second term President Trump has unveiled a series of new tariffs, such as an additional 10% rate on imports from China.

He also slapped a 25% duty on goods from Canada and Mexico before deferring it by 30 days.

He has announced an increase in tariffs on imported steel and aluminum, plans to impose tariffs on cars from April, and intends to make tariffs reciprocal.

"If these tariffs go through, it will be a major setback for our industry," an executive in the manufacturing sector told the Amcham survey.

"We rely heavily on exports to the U.S., and additional costs will mean reduced competitiveness."

More than 75% of companies believe that the imposition of the tariffs will have a negative impact on their operations, limiting market access for them and creating financial pressure.

Nearly half plan to cut their payroll if the tariffs come into effect, including two-thirds of manufacturing businesses.

Travis Mitchell, AmCham executive director, said the survey results clearly reflect "the significant level of concern" among U.S. businesses about the tariffs.

More than 85% fear they will reduce trade volume, disrupt business relationships and affect the Vietnamese economy.

But their confidence in Vietnam remains strong.

AmCham said 94% of businesses in general, including 98% of manufacturers, believe in Vietnam's potential, thanks to its developed infrastructure, skilled workforce and strategic location.

The strong trade ties between the U.S. and Vietnam benefit both countries, but open communication and cooperation are key to nurturing this relationship, Mitchell said.

Marc E. Knapper, the U.S. ambassador to Vietnam, told Minister of Industry and Trade Nguyen Hong Dien recently that the new U.S. policies are designed to promote fair trade and protect his country’s economic security, workers and businesses.

The tariffs imposed in the past were not aimed at Vietnam and the U.S. wants to maintain a strong economic and trade relationship with it, he added.

Vietnam’s exports to the U.S. last year topped US$112.5 billion, up 16% from 2023. Its imports fell by 24% to $10 billion.

In a report released on Feb. 11, lender HSBC noted that the risk of tariffs "casts a shadow" over export prospects.

"Vietnam is a country facing the risk of tariffs due to its large trade surplus with the U.S.," its analysts commented.

Source: VnExpress