The announcement came after President Trump in April proposed a steep 46% tariff on Vietnamese imports; he later paused those tariffs while talks continued.

Since his first term in 2017, President Donald Trump’s trade policy has had two dimensions: one familiar, one unfamiliar. The unfamiliar—indeed, radically unfamiliar—approach has been the huge increase in tariffs on imported goods for the first time in nearly a century.

Vietnam finds itself caught between its two biggest trading partners as the Trump administration tries to stop Chinese exporters using Vietnam as a way station.