US pushes Vietnam to decouple from Chinese tech, sources say

relax bro. I am a bit surprised of your harsh response. I didn’t say anything about products “made in Vietnam” or “made elsewhere”. I only said something of alignment. just a virtual thing.
What I said is completely relevant. If Vietnam could actually prove that those components were made here, like genuinely produced in Vietnam, then yes, Vietnam would be off the hook. But the truth is, Vietnam can't. Just because Chinese companies open factories here and hire Vietnamese workers doesn't mean the products automatically count toward Vietnam's localization rate. That's not how it works. Trump isn't crazy, or maybe he seems that way to other countries, but when it comes to Vietnam, he's not. A lot of the arguments you hear from Vietnamese people, like lumping the textile industry together with electronics when talking about localization rates, especially from pro-communist voices, are just propaganda.
 
What I said is completely relevant. If Vietnam could actually prove that those components were made here, like genuinely produced in Vietnam, then yes, Vietnam would be off the hook. But the truth is, Vietnam can't. Just because Chinese companies open factories here and hire Vietnamese workers doesn't mean the products automatically count toward Vietnam's localization rate. That's not how it works. Trump isn't crazy, or maybe he seems that way to other countries, but when it comes to Vietnam, he's not. A lot of the arguments you hear from Vietnamese people, like lumping the textile industry together with electronics when talking about localization rates, especially from pro-communist voices, are just propaganda.
I see your point. but don’t you think that’s silly? why should Vietnam prove? why should Chinese companies do anything to prove, for what? that will never happen.
 
The United States can provide China threat theory and American weapons to all countries. The policy of the United States is uncertain. This is the difference between the United States and China.

No more rare earth, no more weapon.
 
I see your point. but don’t you think that’s silly? why should Vietnam prove? why should Chinese companies do anything to prove, for what? that will never happen.
I'm not Chinese, so how China deals with the situation doesn't and won't concern me. What I care about is how Vietnam is going to handle the US tariffs. When your growth depends on another country, you also have to live with their policies. If you don't like it, then maybe it's time to stop trading with the US. But keep in mind, a lot of Vietnamese workers in those factories still rely on orders from the US market. That's how it has always been from the start.

https://tienphong.vn/ong-co-van-nguoi-bac-nhip-cau-quan-he-viet-my-post1433926.tpo

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After 1975 until the 1980s, under the state-owned economy, "blockade" policies, and rationing system, Vietnam's economy collapsed and fell into a deadlock. In early 1980, officials from the Vietnamese Embassy in France contacted me. By the end of 1980, I began directly assisting them. In early 1980, Pham Hung sent a delegation to meet me in Paris to explain that Vietnam's economy had hit a dead end.

After the border war with China in 1979, the country was left extremely vulnerable. The people were poor, and the state was weak. They asked for my advice. The leadership of the Vietnamese government and the Communist Party, especially Pham Hung, who was then Vice Chairman and later Chairman of the Council of Ministers, tasked the delegation to consult with me on economic issues.

The discussion was long, but ultimately, when I met with Pham Hung's delegation, I made it clear: the centrally planned, state-owned economy they were operating under could not develop. Their system of centralized distribution through state subsidies was fundamentally incapable of growth. On top of that, the policy of the dictatorship of the proletariat, the idea of the poor seizing leadership, was a theoretical fantasy. In reality, it had failed.

I told them bluntly: from ancient Athens, Rome, to the Qin Dynasty and beyond, no nation has ever become strong based on a poor population. A country can only be strong if its people are wealthy because the strength of a nation rests on its citizens. If you impoverish the people, the nation remains weak. Therefore, they needed to rethink their strategy. They had to create conditions for the people to participate actively in economic development in order to build the country.

It was a long conversation, but in the end, Pham Hung said to me, "I'm in a very difficult position. I understand what you're saying, but I can't report it to the Party. Because in our ideology, the word "wealth" is the enemy of communism. The bourgeoisie must be eradicated". That was the reality of 1980, 1981, and 1982.

Eventually, I told him, "I know you can't report it verbally. So I'll write it down for you, one page. When you return, just hand this document to the leadership. It will explain that your mission was to meet with Bui Kien Thanh and receive this advice: the people must become wealthy for the nation to be strong. The economy must belong to the people, not the state. Let the leadership read it. If they agree, good. If they don't, then that's that".

He said, "If I report to the Party leadership exactly what you said, I'll be expelled".

So I wrote down a brief statement for him to take back. Four months later, they returned and told me that my document had been submitted to the Party leadership, and the leadership agreed: the people must be wealthy for the nation to be strong.

From that point, I met with them more regularly, exchanged discussions, and they reported back to the Party. Gradually, we built the terminology that would become part of the 6th National Congress of the Communist Party, researching and understanding the steps necessary for the process of Doi Moi.

What did the 6th Party Congress approve? Vietnam would have a multi-sector economy, no longer solely a state-owned economy. The word "multi-sector" itself marked a revolutionary shift, restoring the people's right to engage in economic activities. Before, if you tried to engage in private economic activities, you could be arrested. Raising a chicken without reporting it could get you arrested. Raising a pig without permission could too. Now, Vietnam had a multi-sector economy. That single word, "multi-sector", represented an enormous revolution.

Next, the economy would operate according to market mechanisms, no longer under the subsidy system, no longer ration cards. A market meant operating under the capitalist method: there are buyers and sellers, not top-down distribution.

The first sentence of the Central Resolution of the 6th Congress was a historic revolution. Vietnam's economy would be a multi-sector economy, the people had the right to economic activity again, and the economy would operate under market mechanisms. Vietnam would engage economically with all capitalist countries around the world.

And for what purpose? Not for a poor, proletarian class to rise, but for the people to become wealthy, because without wealthy citizens, there can be no strong country. Poverty weakens a nation.

The concept of "wealth" itself was another profound revolution, effectively abolishing proletarian ideology and the notion of destroying the bourgeoisie.

The goal was wealthy people, strong nation, leading to a democratic, just, and civilized society. A democratic society meant no more dictatorship, because under Marxist-Leninist theory, you had to have the dictatorship of the proletariat to rule. Now, the focus was no longer theoretical, it was practical, starting with the 6th Central Committee Resolution of 1986, which became the foundation of Doi Moi reforms.

From 1980 to 1986, my work was to assist in reshaping their ideological framework, crafting language carefully enough to be accepted by the Party at the Congress, to achieve a revolutionary transformation peacefully.

From there, the strategy became clear. Build a market economy. To enter the market economy, Vietnam needed access to global markets. The largest market in the world, which countries like Japan, France, and Germany relied on after World War II, was the American market.

Aside from the US, there were other capitalist markets like Japan, France, Germany. Vietnam had to find a way to integrate into the global capitalist economy.

Thus, it became necessary to negotiate normalization with the US and lift the US embargo. No one else in Vietnam could handle that, so I had to take it upon myself to negotiate with the Americans step by step, to dismantle the embargo, and gradually establish diplomatic relations with the US.

Establishing diplomatic ties with the US was the gateway to rebuilding Vietnam's relationship with the entire world, and to integrating with democratic and civilized societies.

@Menthol @Viet
 
I'm not Chinese, so how China deals with the situation doesn't and won't concern me. What I care about is how Vietnam is going to handle the US tariffs. When your growth depends on another country, you also have to live with their policies. If you don't like it, then maybe it's time to stop trading with the US. But keep in mind, a lot of Vietnamese workers in those factories still rely on orders from the US market. That's how it has always been from the start.
Or stop importing all those components from China and don't let Chinese companies to set up factories in Vietnam, maybe that will make it easier to deal with Trump.
 
Or stop importing all those components from China and don't let Chinese companies to set up factories in Vietnam, maybe that will make it easier to deal with Trump.
Do you actually think Asean can absorb all of Chinese goods and components? China too also depends on the US market. And let's not forget, Thailand is on that list too, not far behind Vietnam in terms of exposure.
 
Do you actually think Asean can absorb all of Chinese goods and components? China too also depends on the US market.
Only 14.7% of exports maybe significantly lower now, will be even much lower in the coming years, China is prepared to decouple from trading with the US. At least it's not like 30% GDP.
 
You clearly don't understand what you're talking about. "Made in Vietnam" doesn't mean only products made by Vietnamese-owned companies. If Chinese companies, for example, produce goods or components inside Vietnam, that still contributes to Vietnam's localization rate. It's not a complicated concept.

The real problem is that the way Vietnam has been operating doesn't truly qualify as "Made in Vietnam". Many Vietnamese companies just take the easy way out, assembling imported parts to make quick money. On top of that, Vietnam is increasingly being used as a transshipment point.

Here's what's ironic. I honestly think the US should slap a 30 to 45 percent tariff on Vietnam. If Chinese companies still want to manufacture here, they will be forced to invest in real local supply chains. And if they don't want to, that's fine too. It's their choice. But either way, Vietnam needs to figure out how to move beyond basic assembly and actually build something sustainable.

Even General Secretary To Lam recently talked about Vietnam's "so-called marvelous socialist manufacturing" after decades of just assembling for companies like Samsung. You should read up on that. Don't stay misinformed or blindly repeat the kind of nonsense pushed by state propaganda or pro-communist voices.
There is no clear definition worldwide of what do mean to be labelled Made in A country. No country have such definition. Traditionally, it was up to the Chamber of commerce of each country to decide, for a specific product, and such definition can be changed over time. For example, what can be labelled as a Made in Switzeland watch. How many percentage of the watch must be made in Switzeland. For a while, the rate went to 12 percent only as companies preferred to import components from Hong Kong and Japan, before going up to 48 percent thank to lobby by companies who produce the components locally.
 
China has a record surplus, there is no loss.US consumers are still buying Chinese goods, just paying higher prices due to the extra steps haha. The American consumers can handle it. They will just become poorer but that's the price china is willing to sacrifice.Daddy powell will come to the rescue once eveything in America collapses. Win-win
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China is expanding trade with pretty much every country in Asean except the Philippines. If Vietnam decouples from china it just means more business for the other countries in the region. Cambodia is going to become the mini Vietnam in the coming years.
 
There is no clear definition worldwide of what do mean to be labelled Made in A country. No country have such definition. Traditionally, it was up to the Chamber of commerce of each country to decide, for a specific product, and such definition can be changed over time. For example, what can be labelled as a Made in Switzeland watch. How many percentage of the watch must be made in Switzeland. For a while, the rate went to 12 percent only as companies preferred to import components from Hong Kong and Japan, before going up to 48 percent thank to lobby by companies who produce the components locally.
Well, now there's one for you to follow. By the way, do you even know why Vietnam is vulnerable to US tariffs? It's not just because of Trump. If it wasn't him, it would have been someone else. So don't make this all about Trump. Maybe start by blaming yourselves for getting into this situation in the first place. Want me to post what To Lam said about Vietnam's supply chains? With supply chains like that, you are always going to be vulnerable.
 
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China is significantly expanding its influence in Latin America, investing over $120 billion in various sectors. Either you follow the trend or get left behind. Think wisely. Vietnam has a lot more to lose decoupling from china lol we can make Vietnam out of any country and don't ever think about betraying the mighty dragon. No chance in hell you will succeed.
 
Only 14.7% of exports maybe significantly lower now, will be even much lower in the coming years, China is prepared to decouple from trading with the US. At least it's not like 30% GDP.
Congrats, you're free from US imperialism. Just don't forget about Thailand or Cambodia. You might want to take a look at how Cambodia also relies heavily on exports, especially to the US. But I guess not many people care about Cambodia anyway. Still, how does any of this relate to what I originally said? If Vietnam gets slapped with, say, a 45% tariff, do you think China will shift its supply chains here? If it stops being convenient, China will just pull out. Do you think China need Vietnam's permission to do that? So what exactly is your point?
 
It's funny seeing Vietnamese crying about reaping the benefit from Chinese factories moving production to vietnam lol without china theres no Vietnam y'all would still be living in caves. Be grateful for the gift. "You give the dog a bone and it starts barking at you" make it make sense to me lol your economy wouldn't grow this fast without china so stfu learn to appreciate what u have or else you will be left with nothing.
 
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