Vietnam’s exports to the U.S. skyrocketed in April as President Donald Trump’s tariffs began reshaping trans-Pacific trade patterns—all while more Chinese exports flow into the southeast Asian country.
Shipments to the U.S. jumped 34 percent year over year to $12 billion in the first month of the new duties, which initially were country-specific “reciprocal” tariffs before the Trump administration pushed them back 90 days.
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These exports mark a 1.5 percent increase from the $11.8 billion shipped over the Pacific Ocean in March, and represent the largest value recorded after the Covid-19 pandemic, according to Vietnam customs data.
The push out of Vietnam comes ahead of the all-important reciprocal tariff deadline as companies look to bring inventory into the U.S. If a new deal isn’t negotiated by mid-July, the 10-percent baseline duty currently slapped on all Vietnamese goods will expand to 46 percent. The country was among one of the hardest hit by the initial “Liberation Day” tariffs enacted on April 3.
Vietnam is a sourcing and manufacturing hub for many major footwear and apparel companies that sell in the U.S., including Nike, Adidas, Lululemon, Tapestry and On among others. Even Shein, known for its sprawling warehouses throughout China, has been reported to explore a possible supplier shift to Vietnam ahead of the tariffs.
The country generated $44 billion in apparel export revenue throughout 2024, according to the Vietnam Textile and Apparel Association. The association has claimed this positions Vietnam ahead of Bangladesh as the second-largest global garment exporter.
Aside from the tariff-driven inventory barrage, the increase also comes as Vietnam is importing more goods from China, which grew nearly 31 percent during the month to $15 billion.
A portion of Vietnam’s rising exports is alleged to be Chinese goods or materials that were rerouted to circumvent higher tariff rates. The U.S. slapped a 145-percent tariff on most Chinese imports in April, effectively stonewalling a large swath of goods at Chinese ports and leading to a collapse in import bookings out of the country.
Washington has openly accused Chinese companies of using Vietnam as a transshipment hub to skirt the duties. As a result, Vietnam’s trade ministry issued a directive to crack down on the illegal transshipment of goods to the U.S., although the order did not list China or any other countries by name.