First, I'd like to cordially point out that K/9, BB/9 ratios etc are not percentages, merely ratios. He's striking 10.97 batters per 9 innings pitched, and he's K'ing 5.81 batters for every 1 he walks.
To address your point, Vazquez is a guy that for whatever reason has typically underperformed relative to his peripherals. His K/BB, WHIP, etc are typically pretty strong.
What's interesting this year is that several of his key peripheral indicators suggest he's been unlucky so far yet he's still carrying a 3.54/1.11 line. His LD rate is up, his LOB% is normal for him, his HR/FB rate is right in line with career norms, and his BABIP is actually elevated a bit (.336). The question is can he maintain this career high K/9 rate of 10.97 and K/BB rate of 5.81. I would say that's unlikely, those numbers will likely regress a bit. When they do, he could fall into the trap he always does, and that's struggling when guys are on base.
Per a great article on Vazquez by Eric Seidman on Baseball Prosepctus (dated 5/15/09), he showed that Javy's EqA jumps almost 100 points historically with runners on base, with significant upticks in OBP and SLG against (~40 points a piece). The league average pitcher's EqA jumps about 40 points, with an increase in OBP of 7 points and SLG, 14 points. If he starts walking a few more or K'ing a few less, this is going to come into play once again and hurt him a bit.
I still think he ends pretty solidly though, a guy who will have a sub-4.00 ERA and 200+ Ks. But he may be a decent trade-high candidate.