Vietnam US Trade and Investment: Update to November 2025

Nguyễn Thanh Thủy
Nov 26
8 min read

Updated: 2 days ago

Since diplomatic normalization in 1995, Vietnam US trade and investment ties have moved from a modest starting point to one of the most dynamic economic relationships in the Indo-Pacific. The upgrade of the relationship to a Comprehensive Strategic Partnership in 2023 signaled that both sides see each other as long-term, strategic partners in trade, technology, and supply-chain resilience.

By late 2025, the United States had firmly remained Vietnam’s largest export market, while Vietnam ranked among the US’ top trading partners. At the same time, negotiations on a new trade framework and discussions on market-access issues continue to reshape how the two economies engage.

This article provides an updated overview of Vietnam US trade and investment flows, using the latest available data on goods, services, and foreign direct investment, along with the main treaties that support this relationship.

1. Diplomatic foundation for Vietnam US trade and investment

Vietnam and the United States established diplomatic relations in 1995, opening a new chapter after decades of limited engagement. Embassies were set up in Hanoi and Washington, D.C., followed by the US Consulate General in Ho Chi Minh City. High-level visits—including President Bill Clinton’s trip to Vietnam in 2000 and General Secretary Nguyen Phu Trong’s visit to the US in 2015—helped normalize political ties and laid the groundwork for closer economic cooperation.

The 2013 Comprehensive Partnership formally broadened cooperation to include trade, education, science and technology, and security. In September 2023, the two countries elevated ties to a Comprehensive Strategic Partnership, emphasizing peace, cooperation, and sustainable development. This political architecture is a critical backdrop for the expansion of Vietnam US trade and investment over the last decade.

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2. Goods trade between Vietnam and the US (2019–2024)

Goods trade has grown rapidly in both directions, with the balance increasingly favoring Vietnam.

Table 1. Vietnam–US Trade in Goods, 2019–2024 (US$ billion)

Year	2019	2020	2021	2022	2023	2024
US exports to Vietnam	13.50	12.35	12.93	13.78	12.82	13.10
US imports from Vietnam	67.68	80.04	102.39	128.36	115.80	136.60

In 2024, total goods trade reached roughly US$149.6 billion, according to US data. Exports from the US to Vietnam edged up to US$13.1 billion, a strong rebound of about 32.9 percent compared to 2023 after a period of relative stagnation. Imports from Vietnam to the US climbed to US$136.6 billion, up 19.3 percent year-on-year, reflecting Vietnam’s role as a major manufacturing and sourcing hub for the US market.

The resulting US goods trade deficit with Vietnam widened to around US$123.5 billion in 2024, an increase of roughly 18.1 percent from the previous year.

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3. Vietnam’s exports to the US: key drivers in 2025

The United States is Vietnam’s largest export destination, accounting for more than 30 percent of the country’s total export turnover in the first ten months of 2025. Export growth has been broad-based, with high-tech products and traditional manufacturing both contributing.

Table 2. Top 5 Vietnam Exports to the US, First 10 Months of 2025

(Value in US$ billion)

Item	Value
Computers, electronics, and components	34.143
Machinery, equipment, and other parts	19.612
Textiles and garments	14.811
Wood and wooden products	7.804
Footwear	7.389

Computers, electronics, and components led the way with more than US$34 billion in exports and the strongest growth rate in a decade—close to 78 percent year-on-year. This surge reflects rising global demand for AI servers, high-performance computing, and semiconductor-related hardware, as well as a shift in tech supply chains towards Vietnam.

Machinery and equipment maintained solid growth, reaching nearly US$19.6 billion, while textiles and garments rebounded to about US$14.8 billion after earlier declines. Wood products and footwear also maintained stable export volumes, both above US$7 billion.

Beyond these key categories, several niches recorded exceptional performance. Toys and sporting goods exports, for example, expanded by more than 255 percent, supported by US buyers diversifying orders away from China and turning to Vietnamese suppliers. In addition, agricultural and aquaculture exports to the US—such as fruit, vegetables, coffee, rubber products, and seafood—showed double-digit growth as US demand for high-quality, traceable products increased.

4. Vietnam’s imports from the US: feeding production and consumption

Vietnam’s imports from the US also set new records in 2025, underlining the interdependence of supply chains between the two economies.

During the first ten months of the year, imports from the US reached about US$15.23 billion, an increase of 23.7 percent (roughly US$2.92 billion) compared to the same period in 2024.

Table 3. Top 5 Vietnam Imports from the US, First 10 Months of 2025

(Value in US$ million)

Item	Value
Computers, electronic products, and components	4,401.79
Cotton (all types)	1,214.41
Machinery, equipment, tools, and spare parts	1,040.21
Plastic raw materials	944.08
Animal feed and ingredients	676.76

Computers and electronic components accounted for the largest share, exceeding US$4.4 billion and supporting Vietnam’s rapidly expanding electronics manufacturing base. Cotton imports surpassed US$1.2 billion, highlighting the US’ role as a key supplier of raw materials for Vietnam’s textile and garment sector. Machinery, plastic resins, and animal feed ingredients further demonstrate how US inputs are embedded in Vietnam’s production across industries from manufacturing to agriculture.

Vietnam also imported around US$1.64 billion worth of raw materials specifically for textiles, garments, and footwear—including fabrics, cotton, and auxiliary materials—representing a 54.7 percent increase year-on-year.

US soybeans are another important component of this relationship. Shipments reached approximately 773,000 tons, valued at US$350 million, and accounted for about 35 percent of Vietnam’s total soybean imports. The country has become one of the fastest-growing markets for US soybeans and the third-largest buyer in Southeast Asia, thanks to the rapid expansion of food processing and animal feed production.

5. Services trade: a rising but under-reported pillar

Although goods trade dominates media headlines, services trade is increasingly important within Vietnam US trade and investment.

In 2024, total two-way services trade reached around US$5.6 billion:

US services exports to Vietnam were roughly US$3.6 billion, registering growth of 15.3 percent year-on-year.
Services imports from Vietnam reached about US$1.9 billion, up by 39.5 percent from 2023.

The US maintained a services trade surplus of approximately US$1.7 billion, though this narrowed by nearly 3.9 percent as Vietnam’s services exports expanded faster.

Service activities include travel and tourism, transportation, logistics, financial services, business consulting, and IT/digital services. As Vietnam develops its digital economy and high-skilled workforce, this dimension of Vietnam US trade and investment is expected to grow faster than traditional goods trade.

6. American direct investment in Vietnam

Foreign direct investment is a crucial component of Vietnam US trade and investment. While the US is not the largest investor on paper, its presence is strategic and increasingly focused on high-value industries.

By 2025, the US ranked 11th among foreign investors in Vietnam, with nearly US$12 billion in registered capital. Actual exposure is likely higher when indirect investments, third-country holding structures, and supply-chain arrangements are taken into account.

US investment is closely aligned with Washington’s “friendshoring” strategy, which aims to relocate supply chains to stable and trusted partners. Vietnam appears prominently in this approach, offering political stability, competitive labor costs, and an improving business environment.

American companies are active in a broad range of sectors:

Semiconductor manufacturing, chip design, and AI centers, through investors such as Intel, Amkor Technology, Synopsys, Marvell, and Nvidia.
ICT and hardware production, with Cisco, HP, and Dell using Vietnam as a base for R&D and software activities.
Liquefied natural gas, wind power, and gas-fired energy projects led by ExxonMobil, GE Vernova, AES, and Excelerate Energy.
Banking, fintech, and capital markets, where funds such as Warburg Pincus, JPMorgan, and BlackRock are increasingly present.
Consumer goods, automotive, logistics, and healthcare, with firms like Nike, Ford, Coca-Cola, Boeing, Pfizer, Amazon, and UPS expanding operations.

These investments bring not only capital but also technology transfer, management know-how, ESG standards, and access to global markets—deepening the quality of Vietnam US trade and investment ties.

7. Key agreements governing Vietnam US trade and investment

Several bilateral frameworks underpin and structure economic engagement.

Trade and Investment Framework Agreement (TIFA)

The Trade and Investment Framework Agreement, signed in 2007, created a formal platform for discussing trade and investment issues. Under TIFA, the two governments established the US-Vietnam Council on Trade and Investment, co-chaired by the US Trade Representative and Vietnam’s Ministry of Trade. The council meets periodically to monitor trade flows, address market-access problems, and establish working groups on specific topics such as digital trade, agriculture, and technical standards.

Bilateral Trade Agreement (BTA) and PNTR status

The Bilateral Trade Agreement, concluded in 2001 after almost five years of negotiations, was a turning point for Vietnam. The US granted Vietnam normal trade relations with lower tariffs, while Vietnam committed to reforming its commercial laws, opening service sectors, and improving protection of intellectual property.

In 2006, Vietnam received Permanent Normal Trade Relations (PNTR) status from the US, helping clear the way for its accession to the World Trade Organization in 2007. At the same time, the US designated Vietnam as a “non-market economy” for the purposes of anti-dumping and countervailing duty cases—an issue currently under review and of great interest to Vietnamese exporters.

Double taxation treaty

Vietnam and the US signed a double taxation agreement in 2015. The treaty is designed to prevent double taxation on income and to provide greater certainty to investors by clarifying how taxes on dividends, interest, royalties, and capital gains are treated. The agreement has been ratified by Vietnam but not yet by the US due to changes in US tax legislation in 2020, meaning further renegotiation is required before it can come into force. Once effective, the treaty is expected to further encourage cross-border investment and deepen Vietnam US trade and investment flows.

8. Outlook: where Vietnam US trade and investment is heading

Thirty years after normalization, the economic relationship between Vietnam and the United States has reached unprecedented scale and complexity. The US remains Vietnam’s largest export market, while Vietnam is an increasingly important link in US supply chains for electronics, footwear, furniture, and a growing range of manufactured and agricultural goods.

Looking ahead, several trends are likely to shape Vietnam US trade and investment:

Continued diversification of supply chains away from single-country dependence, with Vietnam positioned as a key alternative manufacturing base.
Stronger emphasis on high-tech and green sectors, including semiconductors, renewable energy, and digital services.
Ongoing negotiations on trade, tax, and regulatory issues, which will influence market access and the ease of doing business.
Expansion of services trade, particularly in tourism, digital services, financial services, and logistics.

If current momentum is sustained, both countries stand to benefit from deeper integration, more resilient supply chains, and shared economic gains. The Comprehensive Strategic Partnership offers a framework within which Vietnam and the United States can continue to upgrade their cooperation—not only in trade and investment, but also in technology, education, and sustainable development.

9. Key takeaways on Vietnam US trade and investment

Vietnam US trade and investment has moved from a modest base in the 1990s to a comprehensive, high-value partnership anchored in manufacturing, services, and technology. The US is now Vietnam’s largest export market, while Vietnam plays an increasingly important role in US supply chains, especially in electronics, textiles, footwear, and furniture.

At the same time, American investors are deepening their presence in Vietnam’s semiconductor, clean energy, logistics, and financial sectors, supported by a growing network of bilateral agreements. As both sides push for supply-chain diversification and green growth, opportunities for new projects, joint ventures, and cross-border service offerings are expected to expand further in the coming years.

10. How Vinex can support your Vietnam US trade and investment strategy

For businesses planning to enter Vietnam, restructure their operations, or strengthen Vietnam US trade and investment links, choosing the right local partner is essential. Vinex provides end-to-end support, from market entry and company incorporation to licensing, tax and accounting compliance, and ongoing legal advisory. Our team works closely with foreign investors to design structures that are compliant, tax-efficient, and aligned with long-term growth plans in both markets.

If your company is exploring opportunities in Vietnam or looking to optimize existing operations connected to the US market, Vinex can help you assess regulatory requirements, evaluate investment options, and implement a practical roadmap.

Contact Vinex for tailored support: