They have picked up some of the biggest tariffs for continuing to screw the American people.
I assume you are not being sarcastic, so:
The Vietnamese are not "screwing" Americans.
Trade deficits are not a problem. They don't hurt the nation with a deficit. That's ignorant nonsense.
Vietnamese companies are making products Americans want to buy, at prices Americans are willing to pay. That's why Americans buy Vietnamese-made products. See how that works?
And yet they could have escaped this justice if they had just played fair. Bought some American goods as well.
Nike shoes are made in Vietnam.
Apple phones are made in China.
Anyway...
Might there be an underlying reason that these people snub America ?
Vietnam imports $15 billion of goods and services from the US every year. Given the cost of living there, that's pretty solid. I.e. They aren't "snubbing" anyone.
How do you explain the trade imbalance between the two nations ?
Someone's never heard of "comparative advantage."
It costs around 4 times as much to manufacture something (like sneakers) in Vietnam than the US.
Let's say that 20% of the cost of a pair of Nike's sneakers are manufacturing. The cost to make that pair of sneakers will therefore jump from $30 to $120.
Retail cost for pair made in Vietnam: $150
Retail cost for pair made in Vietnam, plus 35% tariff: $160
Retail cost for that same pair made in US: $240
You're not going to be able to hire any Americans to make sneakers for $7/hour, which is what it would take to get even remotely competitive to Vietnamese operations costs. That is not happening.
NOW do you see why there's a trade deficit?
NOW do you see why even a 35% tariff won't encourage Nike to open factories in the US?
