Vietnam: Biggest ASEAN winner from US tariffs – ING

According to ING’s Deepali Bhargava, Vietnam emerges as ASEAN’s largest beneficiary from the US shift to a flat Section 122 tariff, given its export‑led growth model and strong role in global supply chains. The removal of higher IEEPA rates particularly supports Vietnam’s focus on low‑value‑added consumer goods, widening its competitive edge for US‑bound production.

Flat Section 122 boosts Vietnam exports

"The move to a flat 15% Section 122 surcharge sharply reduces Southeast Asia’s tariff burden and boosts its price competitiveness. It’s an especially important outcome for Vietnam, which relies heavily on export-led growth; this is all the more important given that Vietnam is now the third-largest Asian exporter to the US."

"Vietnam’s strong export showing in 2025 already highlighted how firmly it has embedded itself in global supply chains. The latest tariff changes reinforce that momentum, positioning Vietnam even more favourably as a key production base for US-bound goods."

"Vietnam’s shipments are heavily weighted toward apparel, footwear, toys, and other low-value-added consumer goods – precisely the categories that were disproportionately penalised under the old IEEPA framework. With those higher tariffs now gone, Vietnam’s competitive edge widens further, both regionally and globally."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)