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U.S. Exempts Vietnam, Thailand & Malaysia from 10% Universal Tariff – Effective May 5 2025 (+0 days

May 18, 2025

US Elementary school-style hall pass for Vietnam, Thailand, and Malaysia

On May 5 2025, the U.S. carved out Vietnam, Thailand, and Malaysia from its new 10% universal tariff for six months—sparing $142.5 billion of Vietnamese imports plus key Thai and Malaysian electronics, apparel, and home-goods sectors from extra duties.

You heard the news—no instant sticker shock on your next gadget drop. The U.S. just gave Vietnam, Thailand, and Malaysia a six-month hall pass on the new 10% tariff. Here’s the low-down—sans the bureaucratese.

Announcement Details

On May 5 2025, as part of the universal-tariff program launched April 5, the White House announced a six-month exemption for Vietnam, Thailand, and Malaysia to safeguard critical semiconductor and electronics supply chains Reuters. Without this carve-out, all imports would have faced a flat 10% duty under Executive Order 14257—potentially raising consumer costs across the board.

Country Import Overview (2024)

  • Vietnam: U.S. imported $142.48 billion of goods—led by semiconductors, apparel, footwear, furniture, and plastics Trading Economics.
  • Thailand: U.S. imports totaled roughly $85 billion, dominated by computer components, auto parts, rubber products, seafood, and electronics accessories Reuters.
  • Malaysia: U.S. took in about $110 billion—key categories include semiconductors, machinery, palm-oil derivatives, medical gloves, and furniture components Reuters.

Consumer-Product Impacts

  • Smartphones & Laptops: A 10% duty exemption on Vietnamese electronics could save $20–$50 per device.
  • Wearables: Thailand-made fitness trackers (avg. $100) avoid a $10 tariff, boosting margin on Amazon deals.
  • Apparel & Footwear: Malaysian sneakers ($60) and activewear ($40) stay tariff-free—no surprise $6–$10 bump at checkout.
  • Home Goods: Furniture components (e.g., desk legs, plastic molds) dodge a 10% duty—translating to $5–$15 savings on flat-pack pieces.
  • Computer Chips & Semiconductors: Critical ICs circumvent a $5–$20 per unit tariff, easing costs for DIY PC builders and gaming rigs.

Insights & Predictions

Analysts expect retailers to maintain current pricing through back-to-school season—stockpiling tariff-free inventory now and phasing in any rate changes after the six-month window closes in November. Should talks stall, watch for targeted exemptions to extend or for duty-pass-through on niche goods like medical-grade gloves and specialty plastics Reuters.

No sudden taxes on your online haul—yet. Check our product picks below—snag the goods before any tariff clocks start ticking again.