Vietnam - U.S: Collaborating to Remove Agri-Forestry-Fisheries Trade Barriers

Vietnamese businesses inked 20 MoUs to import up to US$3 billion in U.S. agrifood

Mounting challenges for exporters

The agriculture, forestry, and fisheries industries are facing a wave of barriers that are making it increasingly difficult for businesses to retain their market share in the U.S. The U.S. National Oceanic and Atmospheric Administration (NOAA) has issued warnings of an import ban on shrimp, tuna, and crab starting in 2026 if Vietnam fails to meet marine wildlife protection standards. adding further pressure on the seafood industry.

Nguyen Thi Thu Sac, a representative of the Vietnam Association of Seafood Exporters and Producers (VASEP), said: “Quarantine procedures and food safety standards in the U.S. are becoming more complex, increasing both costs and delays for exporters.”

Tran Quoc Toan, CEO of An Giang Agricultural Products Import-Export JSC, added that domestic demand for meat and dairy in Vietnam was rising, creating great opportunities for U.S. products. However, he said that logistics costs and import tariffs remained major obstacles.

In fact, logistics costs surged by 55–73% in Q1/2025 due to disruptions in maritime transport, according to a report by the Ministry of Industry and Trade, further eroding the competitiveness of Vietnamese agricultural products.

Despite impressive export figures, the wood sector is also under pressure due to strict requirements for Forest Stewardship Council (FSC) certification. Nguyen Quoc Khanh, representing the Vietnam Timber and Forest Product Association, said that they could import U.S. wood for value-added processing and export finished furniture back to the U.S. However, he emphasized that favorable financing and improved logistics infrastructure were needed to compete effectively.

Minister of Agriculture and Environment Do Duc Duy warned that the U.S. demanded absolute transparency in origin and production processes. He cautioned that without significant improvements, the risk of losing this market would be very high. These challenges, compounded by competition from countries with lower costs, demanded bold and rapid innovation from Vietnamese businesses in order to survive and grow.

Vietnamese consumers will have a wider choice for fresh fruit imported from the U.S. 

trategic solutions for Vietnamese enterprises

To overcome existing barriers and unlock the potential of the U.S. market, Vietnamese enterprises must adopt a long-term strategy supported by coordinated government action. Minister Do Duc Duy emphasized: “We have launched the Export Promotion Project to the U.S., focusing on supply chain transparency, digital traceability technologies, sustainable branding, and green transformation.” This initiative prioritizes the transparency of material sourcing regions, digitized quality control, and the development of sustainable brands to meet stringent standards set by the U.S., EU, and Japan. The Ministry of Agriculture and Environment aims for 50% of export products to meet traceability standards by the end of 2025, utilizing platforms such as blockchain.

Vietnam is working to maintain its position in its largest export market while increasing imports from the U.S. to balance the bilateral trade. Recently, Minister of Agriculture and Environment Do Duc Duy attended a roundtable conference joined by leading enterprises and corporations under the U.S.-ASEAN Business Council. During the event, the two sides signed eight cooperation agreements with a total value of up to US$1.1 billion. The largest deal, worth US$380 million, was signed between Khai Anh Binh Thuan Joint Stock Company and Cargill. Under the deal, Khai Anh committed to importing 1.2 million tons of grain from the U.S. for animal feed production, including corn, wheat, and soybean meal. Together with previous Memoranda of Understanding (MOUs) signed in the states of Iowa, Ohio, and Maryland, the total value of agricultural import agreements between Vietnam and the United States has reached nearly US$3 billion.

Mr. Ted Osius, President of the U.S.-ASEAN Business Council, said that the signed MoUs reflected the favorable business environment and political relations between the two sides. He added that many of the products came from agricultural states in the U.S., such as Ohio and Iowa, where farmers' livelihoods depended heavily on agricultural exports. He believed this would draw the attention of the White House, the Department of the Treasury, the Department of Commerce, and the U.S. Trade Representative to Vietnam's goodwill efforts in addressing U.S. concerns regarding the trade balance.

Minister of Industry and Trade Nguyen Hong Dien stated: “Importing agricultural, forestry, and seafood products from the U.S. not only addresses short-term needs such as satisfying consumer preferences and helping to balance trade, but also serves as a foundation for long-term cooperation between Vietnam and the U.S. in high-tech, circular, and sustainable agriculture.”

With imports from the U.S. reaching US$3.8 billion in Q1/2025, mainly cereals, meat, and dairy, Vietnam has an opportunity to reduce trade deficit. The Minister of Industry and Trade encourages businesses to strengthen ties with U.S. partners to expand imports and collaborate on green agriculture projects.

To meet the demands of the U.S. market, economist Le Dang Doanh noted: “American consumers are increasingly prioritizing sustainable products. Vietnam must invest in circular technologies and reduce emissions in agricultural production.” He suggested leveraging green investment funds from the U.S. Department of Agriculture (USDA) to upgrade production infrastructure.

International trade expert Nguyen Thi Minh Huyen emphasized the need for Vietnamese businesses to be trained in the legal frameworks of the U.S. free trade agreements (FTAs), enabling them to maximize benefits and minimize legal risks. She highlighted that building an agricultural brand based on transparency and sustainability is crucial for gaining consumer trust and succeeding in the U.S. market.

In parallel, the Vietnamese government has pledged to support enterprises by streamlining quarantine procedures, organizing trade promotion missions to the U.S., and assisting with supply chain digitization. Industry associations such as VASEP and the Vietnam Timber and Forest Product Association are expected to help small and medium-sized enterprises access resources and international cooperation opportunities. Experts recommend investing in digital technologies, enhancing product quality, and applying circular production models to meet global standards.