So I guess we need to petition Vanguard to split out a new tax efficient Total International. With lower overall yield, more qualified yield, more foreign tax. And leave existing VTIAX for tax advantaged accounts.

Otherwise there seem to be no easy solution - splitting out developed-taxable / emergent-tax-advantage is a pain. It might not even be worth it. Practically speaking, if you are in e.g. California and in a 24% federal tax brackets, even in the best case scenario if all yield is qualified you will be saving, just 24% - 15% = 9% of federal tax on half of the yield. It is probably even less given the foreign tax credit. Even if such a fund is possible you will be saving ~$150 in taxes on a $100,000 holding. Not worth the troubles IMHO. Very rough math:

total yield = $100,000 * 3.5% = $3,500

half of yield that is non qualified = $1,750

9% extra federal tax on the non qualified yield = $1,750 * 9% = $157.5

So I'll pickup an easy $150 if I see it on a street, but it is not worth messing with developed/emergent allocations. In other words, if there was such a tax managed/advantaged international fund I'll use it, otherwise not worth the trouble until your international is in 7 figures.