VASEP Warns of Sudden Tariff Hike Risk on Seafood Exports to the U.S.
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The Vietnam Association of Seafood Exporters and Producers (VASEP) has advised seafood companies to carefully plan export timing to the United States to avoid being subject to new and unexpected import tariffs.
According to VASEP’s preliminary estimates, at the time U.S. President Donald Trump announced specific tariff measures, approximately 37,500 tons of Vietnamese seafood were already in transit to the U.S. market. Another 31,500 tons were scheduled for shipment in April–May 2025, and 38,500 tons had been contracted for later in the year — all potentially facing a sudden tariff increase.
If tariffs are applied based on port arrival dates after April 9, the affected shipments could face an import duty of 46%, compared to the current 0–7% rate.
Seafood Industry Faces Mounting Cost Pressure
VASEP noted that most Vietnamese seafood exports to the U.S. are conducted under Delivered Duty Paid (DDP) terms, meaning exporters cover all shipping, insurance, and tax costs before delivery.
“A single shrimp shipment worth USD 500,000 previously paid about USD 25,000 in duties (5%). Under a 46% tariff, that cost would jump to USD 230,000 — nearly nine times higher,” VASEP reported.
Such a drastic increase would not only erode profit margins but also weaken Vietnamese exporters’ competitiveness, especially compared with rival countries that enjoy lower tariff rates:
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India: 26%
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Ecuador: 10%
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Indonesia: 32%
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Thailand: 36%
Vietnam, therefore, risks losing its largest export market for key seafood products such as shrimp, pangasius, and tuna.
The U.S. Market: Vital to Vietnam’s Seafood Industry
Vietnam’s seafood exports to the U.S. total nearly USD 2 billion annually, accounting for about 20% of the country’s total seafood exports.
The U.S. is the largest market for shrimp and tuna, and the second-largest for pangasius (catfish).
About 70% of exported seafood originates from aquaculture — supporting hundreds of thousands of farming households — while the remaining 30% comes from marine capture.
“This is not just an economic issue but a matter of livelihoods,” said a VASEP representative.
“Millions of dollars in investments and production plans for the U.S. market are now at risk.”
Industry Concerns: Rising Costs and Competitive Disadvantages
Mr. Dương Nghĩa Quốc, Chairman of the Vietnam Pangasius Association, confirmed that many companies are “deeply concerned” about the potential 46% tariff.
“The current export price of pangasius to the U.S. is around USD 3.4 per kilogram. If tariffs are imposed, prices could rise by 150%, making our fish uncompetitive in the market,” he said.
VASEP Calls for Urgent Government Action and Negotiations
In response, VASEP has proposed that the Vietnamese Government:
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Engage in immediate negotiations with the U.S. Government to clarify the effective date for the new tariffs and ensure it applies based on “load onto vessel” (Bill of Lading date) rather than arrival date;
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Seek reductions or differentiated tariff levels for specific product categories (shrimp, tuna, pangasius, etc.);
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Consider reciprocal tariff adjustments, such as reducing Vietnam’s import tax on U.S. seafood to 0%, to strengthen bargaining positions during talks.
VASEP also urged the Ministry of Industry and Trade and Ministry of Agriculture and Environment to coordinate swiftly in presenting Vietnam’s case to U.S. authorities.
Recommendations for Vietnamese Seafood Exporters
VASEP strongly advised member enterprises to:
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Avoid exporting from April 5, 2025, to prevent a 10% supplementary tariff;
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Suspend shipments from April 9, 2025, to avoid the 46% retaliatory tariff;
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Wait for official government guidance before proceeding with further exports.
Companies are encouraged to closely monitor U.S. Customs regulations and to align their logistics schedules accordingly to minimize financial risks.
Vietnam’s Export Landscape in Early 2025
According to Deputy Minister of Agriculture and Environment Phùng Đức Tiến, seafood exports to the U.S. reached over USD 300 million in the first quarter of 2025, while Europe, China, and Japan remain major secondary markets.
For key commodities such as shrimp and pangasius, Vietnam must carefully assess export timing and tariff impactsto sustain its trade position amid heightened protectionist measures in the U.S.