An initial trade deal with Vietnam offers a glimpse of how President Trump is pushing countries to cut back on trade with China.

The president said he had agreed to initial trade terms with Vietnam, the second country to strike a limited deal after Mr. Trump threatened steep tariffs.

As President Trump’s tariffs close off the U.S. market, Chinese goods are flooding countries from Southeast Asia to Europe to Latin America.

Shares of the company, CATL, surged in their first day of trading. Onshore U.S. investors were blocked from buying its stock as a “decoupling” of finance continued.

The outcome of the trade negotiations, which will continue on Sunday, could determine the trajectory of the global economy.

A movement of manufacturing to Vietnam that began in President Trump’s first term is accelerating as sky-high U.S. tariffs block Chinese exports.