The U.S. and Vietnam normalized ties in 1995, two decades after the Vietnam War’s end. Under President Barack Obama, diplomatic and security ties blossomed, as Vietnam sought ways to counter China’s island-building and vast claims to the disputed South China Sea.
But the relationship is now on uncertain ground.
Vietnam would have been a prime beneficiary of the 12-nation Trans-Pacific Partnership agreement negotiated under Obama. Within days of taking office, Trump withdrew the U.S. from the trade deal, saying it would hurt American workers.
At a dinner for Phuc late Tuesday hosted by American business leaders, U.S. Trade Representative Robert Lighthizer said the annual trade deficit with Vietnam — America’s sixth-largest — increased over the last decade to nearly $32 billion from $7 billion, presenting “new challenges” for the relationship.
Speaking at the Heritage Foundation think tank Wednesday, Phuc pushed back, saying that in trade, the U.S. and Vietnamese economies are “more complementary than competitive.” He said contracts for U.S. goods and services worth $15 billion were signed during his visit.
