US Tariff on Footwear from Vietnam

Vietnam has become the world's second-largest footwear exporter and the primary alternative to China for US shoe imports. At 22.5% total, Vietnamese footwear is dramatically cheaper to import than Chinese footwear (47.5%).

Rate structure: 12.5% MFN base rate (HTS chapter 64) + 10% Section 122 = 22.5%. Vietnam is not subject to Section 301 tariffs, which is the key differentiator from China. Before the SCOTUS ruling, Vietnam faced a devastating 46% IEEPA tariff, making the total approximately 58.5% — actually higher than China. The SCOTUS ruling reversed this entirely.

The SCOTUS ruling was transformative for Vietnamese footwear exporters. The IEEPA rate dropped from 46% to 10%, a 36-percentage-point reduction. This made Vietnam once again the most cost-effective Asian source for footwear after Mexico (0% USMCA).

Vietnam's footwear industry is dominated by major international brands: Nike (approximately 50% of Nike footwear is made in Vietnam), Adidas (significant Vietnam production), Puma, New Balance, and Skechers. The country has invested heavily in modern footwear factories with automation and quality control systems meeting international standards.

Key product categories: athletic and sports shoes (the largest category), casual footwear, sandals and open-toe shoes, and work/safety footwear. Vietnam excels particularly in mid-range to premium athletic shoes, where quality requirements are high and the tariff saving over China is substantial.

At 22.5%, Vietnam's rate is identical to Indonesia and India (both also 12.5% MFN + 10% Section 122). Mexico at 0% (USMCA) and Israel at 22.5% are other options. Italy exports premium footwear at the same 22.5% rate.

Risk: new Section 301 investigations launched March 11, 2026 could potentially target Vietnamese footwear, which would significantly increase rates.