The American Soybean Association and 70 other business groups have raised concerns with US Trade Representative Katherine Tai about the proposed tariffs on Vietnam.
The tariffs imposed would respond to a pair of Section 301 investigations launched under the Trump administration, alleging “currency manipulation” and “illegal timber practices.”
In a letter sent to the Ambassador last week, the organizations strongly urged the USTR not to use tariffs in response to either of these surveys. The letter quoted the Congress-commissioned “Report on the Macroeconomic and Exchange Rate Policies of the United States’ Major Trading Partners,” which said there is “not enough evidence” that Vietnam manipulates its exchange rate. When it comes to Vietnam’s contested logging practices, the groups believe that an investigation by the Plant and Animal Health Inspection Service under the Lacey Law would be the most appropriate tool to use, not a investigation under section 301.
Vietnam is one of the top ten markets for US soybean exports and is said to be a potential target for retaliation from Vietnam.