WASHINGTON - U.S. President Joe Biden's bid to draw Vietnam closer as a strategic ally will clash head-on with his desire for union workers' votes on Wednesday as the Commerce Department hears testimony on whether to designate Vietnam as a"market economy".The move, opposed by U.S.
Vietnam has argued to be freed of the non-market label because of recent economic reforms, saying retaining the moniker is bad for increasingly close two-way ties that Washington sees as a counterbalance to China. The current designation lumps Vietnam in with China, Russia, Belarus, Azerbaijan an nine other countries as non-market economies subject to higher anti-dumping duties.
This year, the U.S. International Trade Commission renewed anti-dumping duties of 25.76% on frozen farmed shrimp from Vietnam, but duties on shrimp from Thailand, a market economy, are only 5.34%. They have urged her to also consider that the move would aid Chinese state firms that have invested heavily in Vietnam, by letting them more easily circumvent U.S. tariffs on their goods.
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