In 2025, the United States government has rolled out a series of new global tariff policies, targeting key industries such as electronics, steel, renewable energy, textiles, and even handcrafted products. These trade adjustments aim to protect domestic manufacturing, encourage onshoring, and increase competitiveness against emerging economies.

But what exactly are the pros and cons of this policy?
And will Vietnam — one of the U.S.’s key export partners — be affected?

Let’s explore this topic in depth.

Overview of the New U.S. Tariff Policy

According to the U.S. Trade Representative (USTR), the new tariff policy includes:

• Raising import duties on strategic goods (ranging from 10% to 50%)
• Tightening rules of origin to determine tariff eligibility
• Encouraging reshoring of production to the U.S.
• Stricter enforcement against tariff circumvention via third-party countries

This policy primarily affects countries with high export volumes to the U.S., such as China, Vietnam, Mexico, Thailand, and India.

Global tariffs are putting increasing pressure on international trade

Pros of the New U.S. Tariff Policy

Protects U.S. domestic industries

The policy helps American manufacturers compete more fairly with low-cost imports.

Reduces dependency on global supply chains

Supports the “Made in America” initiative by enhancing supply chain resilience.

Encourages innovation and local investment

Stimulates growth in key sectors like clean energy, battery production, and AI.

Cons of the New Tariff Policy

Increases domestic prices

Higher tariffs mean higher import costs, which can drive up prices for U.S. consumers and retailers.

Risks trade tensions with key partners

May lead to WTO disputes or retaliation, causing instability in global trade.

Raises pressure on exporters in developing countries

Exporters in Vietnam and similar economies will face higher costs and stricter requirements when shipping to the U.S.

Will Vietnam Be Affected?

Direct Impact:

Vietnamese goods such as:

• Textiles, furniture, wood products, handicrafts, electronics
  → May face increased U.S. import duties

Indirect Impact:

• Stricter rules of origin → Vietnam must prove traceability and transparency
• Potential buyer shift to countries with lower or no tariff barriers
• Increased competition from Mexico, India, and the Philippines

What Vietnamese Exporters Should Do

Vietnam is among the countries facing significant U.S. tariff increases

Reevaluate product portfolios

• Identify SKUs that may fall under tariff categories
• Focus on value-added, eco-friendly products

Eco-friendly products are gaining global popularity across consumer markets

Strengthen compliance and traceability

• Ensure material origin and supply chains are transparent and documented
• Obtain and maintain international certifications: FSC®, ISO, BSCI, REACH, etc.

Diversify export markets

• Reduce overreliance on the U.S.
• Expand to Europe, Australia, Japan, and South Korea, which highly value sustainable goods

Europe, Australia, Japan, and South Korea have become promising markets for handcrafted products

Invest in product innovation and R&D

• Develop designs with unique cultural stories and high aesthetics
• Emphasize handmade, sustainable, and ethical production to stay competitive

Far Eastern Handicraft – Your Trusted Vietnamese Partner in Wholesale Home Décor

Looking for a reliable wholesale manufacturer offering a wide range of handcrafted home décor at competitive prices? Far Eastern Handicraft JSC (FEH) is your go-to partner from Vietnam, trusted by over 500 importers and distributors worldwide.

Over 21 Years of Craftsmanship and Export Excellence

Since 2003, FEH has specialized in producing high-quality handicrafts from natural materials such as water hyacinth, seagrass, bamboo, and capiz. With over 2,000 containers exported annually to markets like the U.S., Europe, Australia, and the Middle East, we’re proud to be a preferred supplier for both mass-market and premium brands.

Large-Scale Production, Strict Quality Control

Our network of workshops and warehouses ensures high production capacity and fast lead times. Each order is carefully monitored by our in-house QC team and verified by third-party inspections to ensure international testing standards and customer-specific requirements are met.

Our network of workshops and warehouses ensures high production capacity and fast lead times

Globally Certified Facilities

We’re certified with ISO, BSCI, FSC®-COC, C-TPAT, and ICS, giving you complete confidence in our ethical production and product compliance.

Custom Designs with Market-Driven R&D

Our experienced R&D team closely follows global design trends to deliver unique, trend-right products. We also offer OEM and ODM services, working with you to bring your custom designs to life — from sample to shipment.

Competitive Pricing for Distributors and Retailers

Thanks to our vertically integrated production and sourcing network, FEH offers wholesale pricing with excellent profit margins — whether you’re sourcing seasonal décor, storage baskets, trays, or tabletop accessories.

Why FEH Is the Ideal Handicraft Manufacturer for International Buyers

With two decades of export expertise, Far Eastern Handicraft JSC is not just a factory — we are your strategic B2B partner. Our deep insights into customer behavior across markets help us:

• Tailor collections by region (e.g., rustic neutrals for EU, holiday décor for the U.S., beachy tones for AU)
• Optimize MOQ, packaging, and logistics according to buyer type
• Support OEM, ODM, and Private Label programs
• Offer globally certified ethical, sustainable production from Vietnam

Our clients don’t just buy products — they build profitable, scalable collections with a partner who understands their language, expectations, and customers.

📌 Conclusion

The new U.S. tariff policy is a double-edged sword: it opens new opportunities for proactive exporters while posing significant challenges for those unprepared. For Vietnamese businesses, this is the perfect time to:

• Upgrade product quality and value
• Ensure strict international compliance
• Expand to diverse markets
• Build long-term resilience through innovation

Let’s Partner for Success

If you’re a wholesaler, buyer, designer, or importer looking to build or expand your home décor collection, Far Eastern Handicraft JSC is your go-to source from Vietnam. Whether you’re in the U.S., Europe, or Australia — we already know your needs.

📩 Email: info@fehandicraft.com
🌐 Website: https://fehandicraft.com