The recent tariff agreement has calmed bilateral tensions between Hanoi and Washington, but new trade tensions could be in store.

Vietnam rushed to meet the July 9 trade deadline set by U.S. President Donald Trump, hoping to escape a round of harsh reciprocal tariffs. But that early move has now left officials in Hanoi and major manufacturers facing more confusion than clarity.

Vietnam’s leadership was caught off guard by US President Donald Trump’s announcement last week that it agreed to a 20% tariff, and the Southeast Asian nation is still seeking to lower the rate, according to people familiar with the matter.

The president has earned a reputation for bluffing on tariffs. But he has steadily and dramatically raised U.S. tariffs, transforming global trade.

President Donald Trump has pledged a 50% tariff against Brazil, a major producer of green coffee beans. That could lead to higher coffee prices.

While countries such as India and Vietnam have attempted to negotiate US tariffs of well below 20%, Trump has said he’s eyeing blanket tariffs of 15% to 20% on most trading partners. This suggests the 20% level is no longer perceived as a penalty but rather as a standard in the negotiations.

President Trump on Wednesday said he would be sending letters to over 150 countries as he plans a barrage of duties to take effect Aug. 1, including levies on pharmaceutical imports and semiconductors.

Batteries Plus CEO Scott Williams said the chain has reduced its reliance on Chinese suppliers for car batteries in order to minimize tariff costs.