The United States will place a lower-than-promised 20% tariff on many Vietnamese exports, Donald Trump said on Wednesday, cooling tensions with its tenth-biggest trading partner days before the U.S. president could raise levies on most imports.

Additionally, goods from other countries that pass through Vietnam on their way to the U.S. will be charged a higher 40% tariff, Trump announced. The U.S. had made combating so-called transshipment of goods—particularly those originating from China—a priority in its negotiations with Vietnam.

President Donald Trump announced Wednesday that he had struck a trade deal with Vietnam under which the country would face a minimum 20 percent tariff and open its market to US products.He said that under the "Great Deal of Cooperation,