For Vietnam, with a rush in economic expansion but a moderate focus on sustainability, guaranteeing a low-carbon future a challenge. As sustainability now becomes a must, we have joined leading industry experts and business representatives to discuss how this shift will affect our renewable sector, export potential and further, and how to adapt in the long term. The seminar convened stakeholders across sectors to examine emerging regulatory, technological, and market dynamics shaping Vietnam’s shift towards sustainable renewable solutions.
With speakers addressing themes from green financing to renewable energy infrastructure, one message stood clear: Vietnam’s next chapter of growth will be powered by renewable solutions – clean energy, digital transformation, and policy foresight.
Export-Led Growth Continues to Deliver – But with Strategic Trade Shifts Ahead
In his economic outlook presentation, Wesley, a featured speaker at the forum, highlighted the strength of Vietnam’s export-led growth model. In 2024, Vietnam’s export turnover reached a record-breaking USD 780 billion, marking a sustained trade surplus for the ninth consecutive year. Exports to the U.S. alone exceeded USD 100 billion, reinforcing the country’s vital role in global supply chains.
Yet, concerns about trade imbalances have resurfaced. As Wesley noted, “Vietnam’s persistent trade surplus, especially with the U.S., is drawing increasing scrutiny from Washington. Bilateral talks have begun — and the outcome will have major implications for Vietnamese exporters.”
From a macroeconomic standpoint, a trade surplus boosts job creation and strengthens foreign currency reserves — critical tools in navigating global financial volatility. However, balancing these gains with international expectations will require policy agility.
Carbon Taxation on the Horizon: Vietnam’s Response to Global Climate Commitments
In response to its net-zero pledges under the Paris Agreement, Vietnam is now seriously considering carbon pricing mechanisms, including carbon taxes and emission trading systems (ETS).
As Wesley explained, “Carbon pricing is no longer optional. It’s one of the most effective tools to meet climate goals — and generate revenue for green investments.”
Vietnam’s draft decree on carbon credits, published in March 2025, proposes the launch of a pilot carbon trading platform by the end of the year, alongside regulatory frameworks for credit issuance and verification. This places Vietnam in line with regional leaders like Singapore, where carbon taxes are currently USD 25 per ton and expected to rise to USD 45 by 2026.
For Vietnamese businesses, especially exporters, understanding Scope 1–3 emissions and preparing for CBAM (Carbon Border Adjustment Mechanism) in the EU will become increasingly urgent.
Energy Transition: Growth Requires Power — And Clarity of Policy
Vietnam’s impressive FDI growth in manufacturing and processing (accounting for over 64% of total FDI) has also triggered soaring energy demand, especially for stable, green electricity.
Yet, as Mr. Richard Liu of Huawei Digital Power pointed out, “Vietnam’s total electricity capacity has only increased from 80 GW in 2020 to 88 GW in 2024, failing to match the country’s economic acceleration.”
The electricity price — long kept low — has now seen four rounds of increases totaling 18.2%, with further hikes expected. Combined with rising CBAM pressures and growing reliance on renewables, businesses are facing a new energy reality.
Mr. Liu introduced Huawei’s rooftop solar and battery energy storage solutions (BESS) as key tools for Vietnam’s industrial zones to secure power supply while reducing emissions. “Huawei doesn’t just sell solar. We provide trust, long-term support, and ecosystem solutions — something quick-profit players can’t match,” he emphasized.
Infrastructure & Investment Gaps: Vietnam’s Solar Boom Faces Growing Pains
According to another speaker at the forum, while Vietnam has seen a solar development boom since the FIT1 and FIT2 programs (2019–2021), several bottlenecks remain:
- Grid congestion in the South limits further utility-scale solar integration.
- Many early-phase projects suffer from poor build quality and design, making them unappealing to international investors.
- High battery storage costs and lack of standardized regulations deter further renewable deployment.
Still, optimism remains. “With expected grid upgrades and policy liberalization, Vietnam’s renewables sector is poised for a second wave,” the speaker concluded.
Speakers unanimously agreed that regulatory clarity, strong infrastructure, and long-term vendor partnerships are crucial to Vietnam’s sustainable transition.
For investors, this means evaluating not just project returns but also vendor credibility, maintenance support, and ESG alignment. For local companies, it means preparing carbon inventories, exploring credit-eligible projects, and engaging with regulators early.
PLF Law Firm recognizes the legal complexities and commercial opportunities presented by Vietnam’s shift toward sustainable renewable solutions. From carbon credit contracts and international trade compliance to ESG disclosures and inter-company credit transfer strategies, PLF stands ready to help businesses adapt — legally, confidently, and sustainably.
