$3 Billion to Buy U.S. Agricultural Commodities: Vietnam Seeks a Good Deal of Reciprocal Trade Agreement with the U.S.
$3 Billion to Buy U.S. Agricultural Commodities: Vietnam Seeks a Good Deal of Reciprocal Trade Agreement with the U.S.
Senin, 09 Juni 2025 | 10:06
MoU signing to purchase US agricultural commodities.
WASHINGTON D.C, US -
Media OutReach Newswire
- 7 June 2025 - Vietnam's Minister of Agriculture and Environment Do
Duc Duy led a delegation of nearly 50 agencies, agribusinesses, and
associations to the United States from June 2–6, 2025, to promote trade
and increase imports of agricultural and timber products. The delegation
held business dialogues in Iowa, Ohio, Maryland and Washington, D.C.
The visit aimed to boost two-way trade and open new opportunities for
Vietnam to import more U.S. agrifood and timber, contributing to a more
balanced trade relationship. Beyond trade, the delegation also sought
access to new technologies to enhance the competitiveness of Vietnam's
agricultural value chains.
Minister Duy noted that while both countries have strong agricultural
sectors, their strengths are complementary rather than competitive.
"With strong support from both governments, agriculture in Vietnam and
the U.S. is becoming more interconnected. We now share parts of the same
supply chains, which helps increase our competitiveness and benefits
producers and consumers in both countries," the Minister stated.
"Vietnamese agribusinesses are working closely with the government to
increase purchases of US agrifood and timber products. This effort
supports trade balance and strengthens the supply chain between our two
countries, hence contributing to global food security". He emphasized
that this initiative also reflects Vietnam's commitment to deepening
trust and advancing the Comprehensive Strategic Partnership as the two
countries celebrate 30 years of diplomatic relations.
During the trip, Vietnamese businesses signed 20 MoUs, worth a total of
$3 billion to buy U.S. agricultural commodities. These agreements
highlight the strong commitment and goodwill of Vietnam's business
community and government to promote balanced trade with the U.S., and to
encourage the Trump Administration to reconsider high reciprocal
tariffs on Vietnamese goods.
The visit was warmly welcomed and highly valued by U.S. partners. Iowa
Governor Kim Reynolds immediately shared her appreciation on X following
her meeting with Minister Do Duc Duy:
"Excited to welcome Vietnam's Minister of Agriculture and
Environment, Do Duc Duy, and the whole Vietnamese delegation to Iowa and
celebrate the signing of MOUs and purchase agreements for Iowa
commodities. The agreements today will help our farmers and strengthen
the agricultural supply chain between Vietnam and Iowa". Following the Governor, Mike Naig, Secretary of Iowa Department of Agriculture, put on X:
"Yesterday, I met with Vietnam's ag minister and a major trade
delegation working to strengthen ties with U.S. ag producers. Of the $2B
in new MOUs signed, $800M is tied to Iowa".
Brian Baldridge, Ohio Secretary of Agriculture, emphasized during his
meeting with Minister Duy that Vietnam and the US, especially Vietnam
and Ohio, have complementary strengths, particularly in agricultural
trade. Ohio sees strong potentials in Vietnam and recognizes the
opportunities to expand bilateral trade. He noted that stakeholders from
both sides should explore new ways for farmers, agribusinesses, and
associations to collaborate and build strong, integrated supply chains.
To support this, both governments should work to remove barriers to
agricultural trade.
Following the signing of MoUs with Vietnamese partners to purchase more
than $600 million worth of animal feed from Ohio, Patty Mann, Chair of
the Ohio Corn Checkoff, stated:
"These agreements represent a major win for Ohio corn farmers.
Vietnam continues to be a growing and reliable export market, and
partnerships like this help ensure we can keep delivering high-quality,
Ohio-grown products to the world". This was elaborated further by Wendy Osborn, Director of Market Development, Ohio Corn and Wheat:
"The MOUs signed today represent potential commitments of significant
volumes of agricultural commodities and strategic partnerships that
will support Vietnam's growing agricultural sector while providing
sustainable markets for Ohio's farm families. These agreements build
upon the strong foundation established through years of
relationship-building. May these agreements serve as a foundation for
many years of continued collaboration and mutual prosperity".
During a roundtable with the US-ASEAN Business Council (USABC) in
Washington D.C, Ted Osius, President and CEO of USABC, expressed strong
support for Vietnam's agricultural development:
"Rapid changes in U.S. tariff policies have created a challenging
trade environment. We're encouraged that Vietnam is considering
increasing imports of agricultural goods to help reduce its trade
deficit with the U.S. USABC and its member companies remain committed to
supporting the growth of Vietnam's food and agriculture sector".
In response to the USABC President, Minister Duy reaffirmed the Vietnam
government's strong commitment to continuing institutional reforms,
improving administrative efficiency, upgrading infrastructure, and
creating the most favorable environment for international businesses,
including U.S. enterprises, to expand trade and investment with Vietnam
in a long-term and effective manner.
Roundtable discussion between Vietnam's Ministry of Agriculture and Environment with USABC in Washington DC.
During the meeting with Minister Duy, the Chairs of the Agriculture
Committees of both the U.S. Senate and House of Representatives
expressed enthusiasm and optimism about the remarkable outcomes of the
Vietnamese delegation's visit to Iowa, Ohio, and Washington, D.C.
Senator John Boozman was particularly impressed by Vietnam's robust
economic growth and the strong potential for long-term cooperation
between the two countries. He highlighted Vietnam's role as a dynamic
and reliable economic partner in the Asia-Pacific region. The Senator
expressed support for efforts to achieve a fair tariff agreement and
pledged to fully convey Vietnam's recommendations to relevant US
authorities.
Representative Glenn Thompson showed special interest in the high-value
deals for US agricultural commodities secured during the Minister's
visit. He expressed confidence in the prospects for deeper cooperation
between the two agricultural sectors and emphasized the need for the US
government to promptly address concerns over the high reciprocal tariffs
that may be applied to Vietnam exports. He welcomed Vietnam's decision
to commercialize biotechnology-based agricultural products imported from
the US, calling it a clear signal of Vietnam's determination to
modernize its agriculture and integrate more closely with the US supply
chains.
Businesses and associations from both countries expressed hope that the
Vietnamese and US governments would continue to support bilateral trade
and strengthen links across their complementary agricultural supply
chains. Their shared goal is to bring tangible benefits to millions of
farmers, consumers, and businesses in both countries. As such,
businesses on both sides are urging the removal of the reciprocal
tariffs imposed by the Trump Administration on Vietnam. The 46% tariff
has been reported to harm not only Vietnamese exporters but also U.S.
businesses and consumers. Since agrifood is a staple commodity, higher
price would place a considerable burden on average-income American
households. Moreover, such measures could disrupt the supply chains that
both governments and the private sector have worked hard to establish
in recent years.
Businesses wish for a trade agreement between the U.S. and Vietnam
soonly concluded, thereby lowering tariffs on agricultural commodities,
reinforcing shared supply chains and contributing to the prosperity of
both countries under the Comprehensive Strategic Partnership.