Vietnam has granted approval for Starlink, the satellite internet venture owned by Elon Musk’s SpaceX, to operate within its borders while signaling plans to reduce tariffs on American products ranging from liquefied natural gas to automobiles. The moves aim to shield the Southeast Asian nation from potential U.S. tariff measures triggered by its over $123 billion trade surplus with Washington last year.
In an announcement Wednesday (March 26), Vietnamese authorities authorized Starlink to conduct trial satellite internet services through a wholly owned local subsidiary, with the pilot program extending through 2030. The government statement outlined that Starlink may provide both fixed and mobile service plans nationwide, including in-flight connectivity, while capping its user base at 600,000 during the trial period.
Analysts view this development as part of Vietnam’s strategic response to U.S. trade pressures. Petri Deryng, portfolio manager at Finland-based PYN Elite Fund, noted in a Monday report: “While U.S. tariffs primarily target China across Asia, Vietnam is taking the Trump administration’s tariff threats with utmost seriousness.”
With the United States constituting Vietnam’s largest export market, potential tariff measures could significantly disrupt its economy. The approval follows Vietnamese Prime Minister Pham Minh Chinh’s January directive urging expedited licensing for Starlink’s pilot operations.
The developments come as President Donald Trump, who is expected to implement reciprocal tariffs on trading partners as early as April 2, suggested Monday that some nations might receive exemptions.
In recent weeks, Vietnam has unveiled multiple measures to address trade imbalances, including increased imports. The country recorded a **$123 billion** trade surplus with the U.S. last year.