VnEconomy - Vietnam Economic Times

Shaping shopping

Wed, 12 Aug 2026 10:30:00 GMT

Digital technologies, especially AI, are being increasingly used in the retail sector to boost sales by personalizing the customer experience.

Mordor Intelligence has projected that the global AI in retail market will grow from $18.64 billion in 2026 to $82.72 billion by 2031, representing a compound annual growth rate (CAGR) of 34.7 per cent during the period. Meanwhile, Fortune Business Insights has estimated that the market will increase from $9.36 billion in 2024 to $85.07 billion by 2032, for a CAGR of 31.8 per cent.

The retail industry is undergoing a profound transformation as businesses worldwide, including in Vietnam, accelerate the adoption of digital technologies to optimize operations, better understand customers, and respond more effectively to market changes.

Part of the shopping journey

A range of factors are driving this remarkable expansion, with the growing use of AI to achieve business objectives emerging as one of the most significant. Retailers have moved beyond pilot projects to full-scale implementation, synchronizing pricing, promotions, and inventory across all sales channels in real time.

Omnichannel retailers are increasingly integrating large language models (LLMs) into existing data systems, boosting average basket values by more than 20 per cent through personalized shopping experiences. Meanwhile, innovations such as computer vision-based checkout systems and AI-powered supply chain management are reducing labor costs and food waste. Together, these advances are sustaining double-digit growth in retail AI, even as stricter privacy regulations, rising energy costs, and talent shortages increase implementation risks.

According to McKinsey Company, up to 52 per cent of retail activities can now be automated, with cashiers, entry-level customer advisors, and order processing roles among the most vulnerable to replacement. The World Economic Forum estimates that 44 per cent of retail skills will change over the next five years, largely driven by AI. Meanwhile, multinational consulting firm EY found that 82 per cent of people worldwide have actively used AI over the past six months, with 67 per cent using it as part of their customer experience.

In the US, retailers such as Kroger, Carrefour, and Tesco have introduced shelf-scanning robots developed by Simbe Robotics to monitor inventory levels and pricing accuracy in real time. In Europe, new research from Bayes Business School in the UK found that shoppers using smart shopping carts spend an average of 32 per cent more than those using conventional carts.

Across Asia, retailers in China, Japan, South Korea, and Singapore have made AI a central pillar of their digital transformation strategies. China continues to lead retail AI adoption, with companies such as Alibaba and JD.com integrating the technology into nearly every stage of the customer journey. Singapore continues to encourage AI adoption through training subsidies, tax incentives, and digital transformation programs. Meanwhile, Japan and South Korea are leveraging AI to ease labor shortages driven by aging populations.

In Vietnam, Saigon Co.op officially opened its Coopmart Thong Nhat supermarket in Thu Duc city, Ho Chi Minh City, in late 2025, introducing AI-powered robots to assist shoppers. “Customers can issue voice commands or interact directly with the robot, which guides them to the desired product category while recommending related promotions,” said Mr. Nguyen Ngoc Thang, Deputy General Director of Saigon Co.op.

Similarly, WinMart has deployed self-checkout kiosks at selected supermarkets in Hanoi and Ho Chi Minh City, while GS25 has been piloting facial recognition payment technology.

According to the Vietnam E-Commerce Association, more than 80 per cent of e-commerce businesses in Vietnam now use chatbots or automated customer service systems. A large proportion of these companies report that chatbots handle most routine customer interactions, from product recommendations to order completion.

- The latest Visa Consumer 360 study, which surveyed 1,000 consumers in Vietnam, revealed that Vietnamese consumers are entering the next phase of digital commerce with a level of confidence and readiness that sets them apart in the Asia-Pacific.

- As confidence grows, consumers are increasingly embracing digital-first shopping and payment methods, positioning Vietnam at the forefront of the region’s evolving commerce landscape. The country also stands out for its strong interest in AI-assisted shopping and cross-border payments.

- Visa Consumer 360 found that 57 per cent of Vietnamese consumers are open to using AI agents to shop online, compared with the Asia-Pacific average of 50 per cent. These tools can streamline product searches, comparisons, and purchases, although concerns over data privacy, accuracy, and unauthorized payments remain, highlighting the importance of trust as AI becomes more deeply integrated into everyday commerce.

At the same time, NielsenIQ found that more than 70 per cent of Vietnamese consumers are willing to embrace automated shopping experiences when available. These figures underscore AI’s growing role as a competitive advantage for retailers.

People still at the center

As retail systems become capable of remembering, tracking, and analyzing virtually every purchasing decision, new concerns inevitably arise. Are consumers being monitored too closely? Shoppers often have little way of knowing whether AI-generated recommendations genuinely reflect the best product for their needs or simply prioritize items backed by larger advertising budgets. As a result, many governments are tightening regulations governing consumer data and AI applications in retail.

Culture presents another challenge, as shopping remains a deeply social activity. In Japan, the philosophy of “omotenashi” has long defined the country’s service culture. In China, concepts of personal relationships and social status continue to shape purchasing decisions, particularly in premium market segments.

Across Thailand, Vietnam, and Indonesia, friendly face-to-face interactions between sales staff and customers remain an essential part of the retail experience.

Ms. Nguyen Phi Van, Chairwoman of Retail Franchise Asia in Vietnam, believes technology can enhance customer experiences but cannot fully replace the human element. Consumers may interact with machines, but they still seek reassurance that a real person ultimately stands behind each transaction. A chatbot may provide rapid responses, but it cannot assume responsibility.

According to Mr. Lam Quang Nam, Vice Chairman of the Vietnam Software and IT Services Association (VINASA), in this new stage of development, AI and people will work together within a collaborative ecosystem. He argued that while companies may adopt the same technologies, only some succeed in creating a lasting competitive advantage, whereas others fail to realize the anticipated benefits. “This is not a journey from people to machines,” he said. “It is a transition from using AI as a tool to redesigning how businesses operate in the digital era.”

The Vietnam - Asia DX Summit 2026 in May heard that Vietnam’s enterprise AI market is expected to expand at a CAGR of 31 per cent between 2026 and 2034, while 78 per cent of the country’s online population already uses AI.

Vietnam’s retail sector also benefits from an increasingly supportive policy environment. Politburo Resolution No. 68 provides new momentum for private sector development, while Politburo Resolution No. 57 promotes innovation and digital transformation. Together, these initiatives are expected to improve businesses’ access to capital, technology, markets, and other strategic resources, enabling retailers to accelerate their digital transformation in the years ahead.

-Tue My

HCM City adds four housing projects eligible for foreign ownership

Wed, 12 Aug 2026 10:10:00 GMT

As of August 2026, the southern city has designated 148 commercial housing projects in which foreign individuals and organizations are eligible to own residential properties.

Ho Chi Minh City authorities have announced four additional housing projects where foreign individuals and organizations are permitted to own homes.

The newly approved projects include a high-rise apartment complex in Thao Dien Ward, Lot 3-11 in Functional Area No. 3 of the Thu Thiem New Urban Area, the Phuong Viet apartment project, and the Thu Thiem Observation Tower Complex.

As of August 2026, the city has designated 148 commercial housing projects in which foreign individuals and organizations are eligible to own residential properties.

Under the 2023 Housing Law, foreigners may own homes in housing development projects as stipulated by law, except for projects located in areas requiring national defense and security protection.

Foreign individuals and organizations may purchase, lease-purchase, receive as gifts or inherit residential properties in eligible projects. However, foreign ownership is capped at 30% of the total number of apartments in a condominium building.

-Hồng Vinh

Vietnam rises to fourth among Asian destinations sought by European tourists

Wed, 12 Aug 2026 08:30:00 GMT

Vietnam also ranking among the three Asian destinations recording the fastest growth in interest among European travellers, according to a ranking recently released by digital travel platform Agoda.

Vietnam has risen one place to become the fourth most-searched Asian destination among European travellers for summer 2026, according to a ranking recently released by digital travel platform Agoda.

The ranking is based on accommodation search data collected from April to June for trips taking place in July and August. Thailand retained the top spot, followed by Indonesia and Japan, while Malaysia rounded out the top five.

Vietnam also ranked among the three Asian destinations recording the fastest growth in interest among European travellers, with searches increasing 12% year on year. It was surpassed only by India, up 14%, and South Korea, up 13%.

The strong growth indicates that European travellers are increasingly seeking new and diverse experiences beyond Asia’s more established destinations.

By source market, Germany currently leads in searches for accommodation in Vietnam, overtaking France, which ranked first during the same period last year. The UK ranked third, followed by the Netherlands and Russia.

Vietnam also recorded notable growth in interest from several emerging European markets, suggesting that its appeal is expanding beyond traditional source markets.

-Minh Anh

A major skills gap in Vietnam's northern industrial parks

Wed, 12 Aug 2026 08:00:00 GMT

Industrial parks in Vietnam’s northern region are facing critical workforce shortfalls that require specific and comprehensive solutions and strategies.

Despite posting impressive production recovery and attracting billions of dollars in FDI each year, industrial parks (IPs) in northern Vietnam are facing a daunting challenge: a serious shortage of skilled technical and managerial personnel. The biggest challenge now is no longer attracting investment but rather improving the local workforce’s capabilities to meet global requirements.

According to analysis from Deloitte, the ongoing global supply chain shift continues to make northern Vietnam a strategic destination for major technology corporations. A series of large-scale FDI projects have chosen the country’s northern region as their headquarters, notably Foxconn with its $383 million project in Bac Ninh province, Samsung’s additional $1.5 billion investment in Thai Nguyen, and projects in Phu Tho belonging to BYD ($890 million) and Posco Future M ($282 million). This remarkable growth has driven and is driving significant demand in the labor market.

For example, according to the Singapore Chamber of Commerce Vietnam (SingCham Vietnam), Singaporean investors today are looking for talent that can support automation, advanced manufacturing, digital technologies, and increasingly complex supply chains. This requires stronger technical and vocational training, greater industry exposure during education, and closer alignment between what employers need and what graduates are learning.

At the same time, soft skills are becoming increasingly important. Problem-solving, communication, adaptability, and leadership capabilities will be critical as Vietnam attracts more sophisticated industries. Ultimately, investors are not just looking for workers; they are looking for talent that can drive productivity, innovation, and sustainable growth.

Worker shortages

According to Mr. Wesley Chua, Board Member of SingCham Vietnam, investors traditionally assessed locations based on land costs, labor costs, and tax incentives, but the conversation is now changing. More companies are asking whether they can build and sustain a workforce over the long term. Investors want confidence that they can recruit, retain, and scale their operations over the next five to ten years. In some cases, the availability of talent and manual workers influences site selection as much as traditional cost considerations. “As a result, workforce considerations are becoming a strategic factor in investment decisions,” he continued. “The focus needs to shift from simply increasing the size of the workforce to enhancing its capabilities.”

There are indeed significant obstacles in the labor market. Deloitte’s analysis shows that as of the beginning of 2026, businesses in the northern region needed more than 86,000 workers. Of this, the demand for unskilled workers accounts for 65 per cent, or some 56,000 people, while those with a technical secondary education account for 15 per cent, or around 13,000 people, and college / university graduates 20 per cent, or some 17,000 people. However, a serious mismatch is currently emerging between supply and demand.

The shortage is particularly acute in the high-skilled workforce segment. The semiconductor industry currently has only about 5,600 IC (integrated circuit) engineers, or just one-ninth of the target of 50,000 by 2030 and meeting only 20 per cent of actual annual demand.

At the “Workforce Insight Snapshot 2026” event held recently by SingCham Vietnam and industrial real estate company KTG Industrial managed by BKIM, Ms. Thoa Vo, Human Capital Lead at Deloitte Consulting SEA, said recruitment competition between factories within the same IP can be intense. “Unskilled workers are easy to recruit but difficult to retain, while engineers and middle managers are extremely scarce,” she explained. “Rising personnel costs are forcing businesses to shift their focus to optimizing productivity rather than relying on the advantage of cheap labor, as previously.”

Mr. Koh Eng Meng, Head of Investment Asset Management at Boustead KTG Industrial, said that some of their customers have struggled with recruitment. This is especially evident among small and medium-sized enterprises (SMEs) or even smaller companies with lower visibility. “Workforce readiness in northern Vietnam is not merely an HR problem; it is a structural challenge,” he continued. “The challenge is complex and multi-stratum. At the enterprise level, HR teams cannot single-handedly resolve regional transport bottlenecks, poor ventilation, or market obscurity.”

By working together, stakeholders can create a stronger talent pipeline, improve workforce readiness, and ensure that Vietnam remains competitive as it moves toward higher-value industries.

Mr. Wesley Chua, Board Member of SingCham Vietnam

Many Singaporean manufacturers also said that finding workers is only part of the challenge. Retention, workforce stability, and access to skilled talent are becoming increasingly important, particularly in established industrial clusters in Vietnam’s northern region. Companies are competing not only for technicians and engineers but also for experienced supervisors and middle management talent.

Strategic plans

Deloitte noted that the labor market in IPs will witness three core shifts this year. In terms of quality, businesses are strongly shifting toward recruiting skilled workers, given that 61 per cent of unemployment benefit applicants are unskilled. Regarding incomes and job-hopping, cost pressures are causing 60 per cent of workers to consider changing jobs within six months, and 58.7 per cent consider competitive salaries and benefits a top priority. In regard to environmental, social, and governance (ESG) practices and the work environment, young workers (Gen Z) prioritize a transparent work environment, comprehensive benefits (60.4 per cent), and competitive compensation (59.2 per cent).

Mr. Bao Do, Manager for the Engineering Manufacturing Sector, said that businesses need to quickly shift their competitive advantage from “cheap labor costs” to “workforce capabilities.”

To address the skills gap, he proposed a comprehensive workforce development strategy based on the 3B model: Build - Proactively plan and train internal succession for management positions based on professional competence and operational discipline; Buy - Optimize recruitment for technical, quality, and supply chain positions through realistic market-based compensation benchmarks; and Bind - Build career advancement paths, flexible compensation policies, and a humane work environment to retain key personnel. “Proactive cooperation between businesses and local vocational schools, combined with an automation orientation over the next three to five years, will be key to helping factories in IPs achieve sustainable breakthroughs,” he affirmed.

KTG Industrial adapts to workforce shifts through location intelligence and holistic access. When selecting and developing sites such as its key assets in Bac Ninh and Dong Nai province in the southern region, the company analyzes residential clusters and workforce demographics just as rigorously as logistics routes. Placing facilities closer to population centers drastically cuts commute times. If a worker faces a grueling two-hour commute to work, for example, they will eventually leave. By reducing transport friction, KTG Industrial helps its tenants expand or co-locate closer to their effective hiring radius and therefore improve retention.

An IP must also attract managers, engineers, and expatriates. Therefore, KTG Industrial positions its assets near vibrant residential and commercial hubs, ensuring that key decision-makers and technical leaders have access to high-quality living, leisure, and community infrastructure.

FDI companies are increasingly under pressure to react quickly to changing global trends, and they cannot afford long ramp-up periods while waiting for staff. By offering plug-and-play, high-specification ready-built factories embedded within a live workforce pool, it helps tenants de-risk their initial setup and allows them to go live smoothly.

“Developers sit at the exact intersection of local workforce pools, physical infrastructure, and multinational corporate networks,” Mr. Meng added. “It is our responsibility to leverage that position, combining location intelligence, shared recruitment infrastructure, and sustainable building baselines to build true operational resilience. For FDI companies unfamiliar with Vietnam’s investment environment, developers must actively demonstrate that, to support production lines effectively, infrastructure, location, and ecosystem must work in lockstep.”

Given the practical challenges, no single stakeholder can solve this challenge alone. Mr. Chua pointed out that business associations can help articulate the evolving needs of investors. Educational institutions can adapt curricula and training programs. Industrial park developers can help improve workforce accessibility and living conditions. And local authorities can play an important coordinating role in aligning workforce development with economic development priorities. “What investors are looking for today is not simply workforce availability but workforce sustainability,” he added. “By working together, stakeholders can create a stronger talent pipeline, improve workforce readiness, and ensure that Vietnam remains competitive as it moves toward higher-value industries.”

From SingCham’s perspective, the opportunity is clear: if Vietnam can continue to strengthen its talent ecosystem, it will remain one of the most compelling investment destinations in the region for many years to come.

-An Chi

Tax payments via e-Tax Mobile app rise 2.4-fold in 7M

Wed, 12 Aug 2026 07:30:00 GMT

Total value through the app during the period reaching VND45.018 trillion ($1.7 billion).

Tax payments made through the eTax Mobile application reached VND45.018 trillion ($1.7 billion) in the first seven months of 2026, up 2.4 times year-on-year, according to the Tax Department.

The agency said digital transformation in tax administration continued to deliver positive results, with 99.4% of businesses using electronic tax filing services and 98.9% completing registration for electronic tax payment services with banks.

As of July 20, eTax Mobile had recorded more than 16 million user sessions and nearly 25 million transactions processed through commercial banks, with value totalling VND45.018 trillion.

Alongside the digitalisation of tax services, the use of e-invoices has also been expanded.

The tax authority said its system processed about 7 billion e-invoices in the first seven months, bringing the cumulative number processed e-invoices since the system was launched to around 28 billion.

The number of businesses using e-invoices generated from cash registers reached 527,604, up 40% from the end of 2025. The figure included 205,769 enterprises and 321,835 household businesses.

-Mai Nhi

Nghe An to invest $1.1 bln in urban renovation

Wed, 12 Aug 2026 07:10:00 GMT

The renovation plan identifies 11 focus areas, with transportation infrastructure at the forefront.

The People's Committee of central Nghe An province has issued an implementation plan for an urban renovation scheme covering several wards, including Truong Vinh, Thanh Vinh, Vinh Loc, Vinh Hung, Vinh Phu, and Cua Lo.

For the 2026–2030 period, the plan outlines 138 projects with a total estimated investment of over VND29.1 trillion ($1.15 billion).

According to the plan, projects will be phased based on implementation progress, resource availability, and investment procedures. The province has directed that priority be given to key and urgent works that offer high connectivity and a significant impact on the urban landscape.

Specifically, five key flood prevention tasks for former Vinh City are slated for completion by the third quarter of 2026. Several major road projects—including Hai Thuong Lan Ong Street, Nguyen Gia Thieu Street, and the comprehensive upgrade of the route from Vinh Airport to the Ho Chi Minh Square area—must be finished by December 31, 2026.

By 2027, the province expects to complete Phase 2 of the Le Mao Street extension, the renovation of 17 inner-city roads in Cua Lo Ward, and the extension of Tran Hung Dao Street.

Notably, the upgrade of the major arterial route consisting of Quang Trung, Le Loi, Mai Hac De, and Nguyen Trai streets, along with the 72m-long section from Nguyen Trai street to the former Vinh City bypass, are included in the medium-term public investment plan. These projects are required to be completed no later than 2028.

Meanwhile, the "(former) Vinh City Priority Infrastructure and Climate Change Adaptation Project," funded by the World Bank (WB), will proceed according to the loan agreement timeline, with a final completion deadline of 2030.

The renovation plan identifies 11 focus areas, with transportation infrastructure at the forefront. This includes upgrading roads, bridges, intersections, sidewalks, and traffic safety systems. Resources will be concentrated on main axes, urban gateways, routes connecting central Vinh with Cua Lo, and areas prone to frequent traffic congestion.

Furthermore, the Provincial People's Committee has requested a development plan for public, underground, and smart parking systems to be submitted by December 31, 2026. The province also aims to mobilize private investment to support these urban development goals.

VnEconomy-Nguyễn Thuấn

Dong Nai accelerates construction of $460 mln road network for Long Thanh airport

Wed, 12 Aug 2026 03:30:00 GMT

These three projects, with a total investment of nearly $460 million, will facilitate a transportation network linking the airport to industrial zones and seaports, while significantly boosting logistics development in the southern city.

Southern Dong Nai City is accelerating the construction and site clearance of the 770B, 769, and 773 road projects designed to finalize the connectivity network for Long Thanh International Airport.

These three projects, with a total investment of nearly VND12 trillion (approximately $460 million), will facilitate a transportation network linking the airport to industrial zones and seaports, while significantly boosting logistics development in the southern city.

Among them, Provincial Road 770B is a new route stretching over 42 km through nine communes and wards. In Phase 1, the road is being developed with six motor lanes and a width of 45.5 m.

Once completed, the route will link the city’s eastern and northeastern regions to the airport, industrial parks, the Bien Hoa–Vung Tau Expressway, National Highway 51, and the Cai Mep–Thi Vai seaport complex.

The project to upgrade and expand Road 773 spans approximately 39 km and will feature 6 to 8 lanes upon completion. Passing through six communes and wards, it serves as a key link between the southeastern areas of Dong Nai and the airport.

Meanwhile, the 30-km upgrade of Road 769 acts as an arterial route for transporting goods from northern provinces and the Central Highlands to the Long Thanh and Nhon Trach areas. It also connects directly to the northeastern gateway of Long Thanh Airport.

According to the Provincial Investment and Construction Project Management Board, as of late July 2026, more than 131 ha of land have been handed over for the Provincial Road 770B, reaching approximately 49% of the required area. Road 773 has received nearly 70 ha (over 31%), while Road 769 has seen over 56 ha handed over (over 41%).

In addition to these three routes, Dong Nai is implementing several other key traffic projects to support the airport, including: Component Project 1 of the Bien Hoa–Vung Tau Expressway; Component Project 3 of the Ho Chi Minh City Ring Road 3; and the upgrade and construction of roads 25B and 25C.

With Long Thanh International Airport scheduled to begin Phase 1 commercial operations by late 2026, Dong Nai authorities are demanding that investors and contractors accelerate construction progress. The city is also focusing on resolving land clearance bottlenecks to ensure that all connecting traffic infrastructure is completed in synchronization with the airport’s opening.

VnEconomy-Thanh Thủy

Vietnam - US agricultural trade growing over time

Wed, 12 Aug 2026 02:00:00 GMT

Agricultural trade between Vietnam and the US is rising every year and hitting record levels, with initiatives in place and on the way to broaden product offerings and expand access further.

From July 9 to July 22, MM Mega Market Vietnam, in partnership with the US Embassy in Vietnam and the US Department of Agriculture (USDA), held the Great American Agriculture campaign, to support broader efforts to deepen Vietnam-US economic ties by increasing consumer access to high-quality American products and fostering stronger partnerships between businesses in both countries.

The campaign featured more than 250 US products supplied by 14 leading US agricultural trade organizations, including the US Meat Export Federation, the USA Poultry Egg Export Council, Potatoes USA, US Pork, and US Beef.

At the campaign launch, Mr. Ralph Bean, Agricultural Counselor at the US Embassy in Vietnam, praised the results of agricultural trade relations between the two countries. “The campaign demonstrates USDA’s commitment to connecting Vietnamese consumers with safe, high-quality American agricultural products while supporting stronger commercial ties between the two countries,” he said.

Unlimited potential

Market results show that the appeal of American agricultural products in Vietnam is growing, as clearly reflected in the record-breaking figure of $1.2 billion in exports of US consumer agricultural products to Vietnam last year.

Mr. Bean affirmed that the potential for development between the two countries is “almost limitless.” The cooperative relationship extends beyond mere trade, encompassing all aspects of the agricultural sector, with a deeply complementary and mutually-beneficial nature. “The US provides many essential raw materials for Vietnam’s livestock and other industries,” he added. “Conversely, Vietnam supplies the US market with important products such as coffee and fresh fruit. Besides trade, we are also working with Vietnam to enhance production capacity, risk management, and supply chain development.”

Besides well-known fresh fruit such as cherries, blueberries, and apples, the diversity and flexibility of the US agricultural product portfolio are also evident across many other key product categories. Mr. Bean pointed out that annual export figures fluctuate according to market demand: some years see strong growth in raw materials such as cotton, while others see exceptional sales of nutritious nuts such as walnuts and pistachios. This rich diversity, combined with regularly organized promotional and trade facilitation programs, has created a sustainable competitive advantage for US agricultural products.

In particular, this potential continues to expand through policy negotiations and ongoing trade promotion activities between the two governments. “We are continuing negotiations with the Vietnamese Government to bring more agricultural products and fresh fruit into the market,” said Mr. Bean. “Recently, the US has been granted permission to export citrus fruit such as tangerines, and more recently peaches, to Vietnam. In return, the US has officially opened its market to Vietnamese pomelo exports and hopes to welcome passionfruit exports in the near future.”

As a major distributor, Mr. Nguyen Duc Toan, Managing Director of MM Mega Market Vietnam, said the potential for US agricultural products in the Vietnamese market is enormous and continues to grow year after year. “Vietnamese consumers are increasingly discerning in their food choices, prioritizing products that meet strict safety standards, have transparent origin, and offer consistent quality,” he added.

MM Mega Market Vietnam’s distribution system has successfully delivered more than 250 US-origin products, generating revenue of nearly VND181 billion ($7 million) in 2025. “Currently, the most popular and frequently chosen product categories in our system include fresh and frozen food such as beef, pork, poultry, potatoes, and fresh produce,” Mr. Toan said. “In addition, packaged goods, processed foods, nuts, grains, confectionery, spices, and premium wines are also experiencing strong sales among both retail customers and restaurant and hotel partners.”

Resolving bottlenecks

Despite the vast opportunities, bringing premium agricultural products from the US to Vietnam still faces significant operational challenges, particularly in cross-border logistics infrastructure and cold chain supply management.

Mr. Bean pointed out that, to attract more US businesses and suppliers, certain operational challenges need to be addressed. Logistics remains a key bottleneck, particularly cold chain infrastructure and the handling of perishable goods. When dealing with temperature-sensitive imports such as cherries or meat, market predictability is critical. “Overall, transparency and predictability are the two most vital factors,” he added. “A consistent regulatory framework, applied predictably and transparently, will be key to expanding both US exports to Vietnam and broader long-term investment.”

Mr. Toan also emphasized that the biggest challenge for imported agricultural products lies in cross-border logistics and managing a closed-loop cold supply chain. The vast geographical distance between the two countries requires extremely strict and uninterrupted temperature control, from international transportation and specialized warehousing to in-store delivery, to maintain absolute product freshness.

Furthermore, optimizing import costs to maintain competitive prices in the domestic market, while adapting quickly to changing consumer preferences for food safety and premium quality, also remains a key challenge. “Therefore, we implement a rigorous quality assurance process, proactively select a unique product portfolio, and organize interactive culinary experiences and cooking demonstrations in our stores, making premium imported products more accessible and familiar in the daily meals of Vietnamese families,” he said.

These complex operational challenges also highlight the need for close collaboration with modern retail chains, which serve as a crucial link in the supply chain. Reputable retail systems not only provide standardized logistics infrastructure but also act as a bridge to deliver products to consumers in the best possible condition.

“Transporting large, perfectly ripe cherries from orchards in the US to Vietnam requires highly-specialized techniques,” Mr. Bean said. “We need retailers like MM Mega Market because they ensure product quality is maintained throughout the shipping process, allowing consumers in Vietnam to enjoy products that meet the same standards as in their country of origin. In general, retail systems, along with supermarkets and convenience stores in Vietnam, play a crucial role in bringing high-quality US products to consumers.”

Meanwhile, Mr. Toan affirmed that MM Mega Market consistently receives strong strategic support and cooperation from global trade organizations such as the USDA to ensure a reliable, high-quality supply chain is in place. In addition, the company proactively promotes direct partnerships and diversifies its premium import sources from countries with stringent quality control standards, aiming to optimize the supply chain and meet the increasingly demanding requirements of both retail customers and professional HoReCa (hotel, restaurant, and catering) clients.

Looking ahead, Mr. Bean emphasized capacity-building programs for Vietnam’s agricultural sector, including the transfer of cold chain management and risk management techniques. He also recommended that Vietnamese businesses leverage Vietnam’s emergence as a regional agricultural processing hub by importing grain from the US for further processing and re-export, while applying these capabilities to domestic agricultural products to increase value and improve farmers’ incomes.

In addition, the top priority is for Vietnam to maintain and further develop its existing strengths, especially by improving supply chain management, processing technology, and post-harvest preservation to ensure agricultural products meet global quality standards. At the same time, expanding the deep-processing industry will be key to creating higher-value products instead of simply exporting raw materials.

Vietnam also possesses agricultural products that stand out globally, particularly coffee. “If Vietnam implements effective and systematic brand-building and positioning programs, I believe these strong products will create even greater opportunities in international markets,” Mr. Bean said.

-Linh Ngoc

Vietnam’s cashless payment transactions rise 34.3% in first half

Wed, 12 Aug 2026 01:00:00 GMT

The total number of cashless payment transactions exceeding 15 billion, with a combined value of more than VND190 quadrillion ($7.27 trillion)

Cashless payment activity in Vietnam maintained strong growth in the first half of 2026, with transaction volume and value rising significantly from the same period last year, according to the State Bank of Vietnam (SBV).

The total number of cashless payment transactions exceeded 15 billion, with a combined value of more than VND190 quadrillion ($7.27 trillion), representing year-on-year increases of 34.28% in volume and 12.24% in value.

The figures were released by the SBV at a press conference on the 2026 Banking Industry Digital Transformation event held in Hanoi on August 11.

The average daily transaction value reached approximately VND1.05 quadrillion, equivalent to around $40 billion.

According to the central bank, many basic banking operations have now been fully digitised. At numerous Vietnamese credit institutions, more than 95% of transactions are conducted through digital channels.

The adoption of digital banking services has also expanded among the population. More than 89% of Vietnamese people aged 15 and above now have payment accounts, providing a strong foundation for the continued development of cashless payments and digital financial services.

-Kỳ Phong

VinSpace partners with SpaceX to boost Vietnam’s space industry

Tue, 11 Aug 2026 23:30:00 GMT

According to VinSpace, testing self-developed satellite modules in orbit is a prerequisite for converting domestic RD capabilities into practical missions, creating a solid foundation for sustainable growth.

VinSpace Joint Stock Company on August 11 officially signed a satellite launch contract with SpaceX—the aerospace empire of billionaire Elon Musk.

Under the agreement, satellites researched, developed, and manufactured by VinSpace will be launched into orbit via SpaceX’s Transporter Rideshare program in the second quarter of 2027. This collaborative model is a strategic choice, allowing multiple customers to share a single launch to optimize both costs and timelines.

Notably, VinSpace’s involvement extends far beyond simply hiring a launch service. The company is responsible for the entire lifecycle of the project—from research, development, and manufacturing to satellite operations once in orbit. This reflects the enterprise’s firm commitment to mastering core technologies rather than acting as a mere service user.

Furthermore, the decision to partner with SpaceX is part of VinSpace’s long-term strategy to build comprehensive aerospace capabilities. VinSpace aims to become a "Full-Stack Aerospace Company," participating in the entire value chain: from design and RD to Assembly, Integration, and Testing (AIT), launch mission management, satellite operations, and the development of remote sensing products and ground-based space data services.

According to VinSpace, testing self-developed satellite modules in orbit is a prerequisite for converting domestic RD capabilities into practical missions, creating a solid foundation for sustainable growth.

Beyond technical achievements, this agreement holds profound significance for both VinSpace and Vietnam. In terms of technology, it enables VinSpace to verify its systems in real-world orbital conditions, cultivate a team of highly specialized engineers, and expand international cooperation.

Ultimately, this partnership with SpaceX is more than just a commercial transaction as it affirms the position of a dynamic and innovative developing nation in the new era of global technology.

VnEconomy-Phạm Vinh

Vietnam Railways officially becomes Vietnam National Railway Group

Tue, 11 Aug 2026 23:10:00 GMT

By 2035, the vision is for VNR to become a major domestic economic group with the capacity to operate and maintain new, modern national railway networks. It aims to hold a central position in the multimodal logistics chain and international rail transport.

Under a decision that took effect on August 11, the Vietnam Railways Corporation has officially transitioned into the Vietnam National Railway Group (VNR).

According to the new registration of the group, railway construction is designated as the core business line. This includes the management, operation, maintenance, and repair of the national railway infrastructure system, as well as the commercial exploitation of these assets.

The VNR inherits all legal rights, obligations, and responsibilities of the former Vietnam Railways Corporation, including all signed agreements, documents, and contracts with relevant parties.

Under the new strategic direction, the group will play a pivotal role in the management, operation, and maintenance of railway lines. It is tasked with leading and integrating other enterprises within the railway value chain to gradually master core and strategic technologies, thereby creating a driving force for the development of the railway industry.

Furthermore, the group is directed to participate in national railway projects and enhance its brand prestige to access large-scale capital, attract strategic partners, and recruit high-quality human resources.

Notably, the new model expands the enterprise's authority in managing and exploiting national railway infrastructure. According to the draft Charter for the organization and operation of Vietnam National Railway Group – One Member Limited Liability Company, the Group is authorized to directly exploit national railway infrastructure assets. It also has the power to develop schemes for the fixed-term lease or transfer of asset exploitation rights for submission to competent authorities for approval.

Additionally, the Group may be designated as the primary investor for new construction, renovation, and upgrade projects of the national railway system using state budget funds.

Earlier, on August 6, 2026, the Prime Minister issued Decision No. 1504/QD-TTg, assigning tasks and key targets for the development strategy of the railway sector for the 2026–2030 period.

Following this orientation, the VNR is being developed as a multi-sector economic group, with railway transport, construction, maintenance, industry, and services serving as its core business pillars.

By 2030, the group aims to fully implement OECD corporate governance principles on a digital platform, while accelerating the application of science, technology, innovation, and digital transformation in management and operations.

By 2035, the vision is for VNR to become a major domestic economic group with the capacity to operate and maintain new, modern national railway networks. It aims to hold a central position in the multimodal logistics chain and international rail transport.

VnEconomy-

National Committee on Aviation Security and Facilitation established

Tue, 11 Aug 2026 23:00:00 GMT

The committee is tasked with studying and proposing policies, mechanisms and solutions to improve aviation security and facilitation, while monitoring the implementation of international civil aviation treaties to which Vietnam is a party.

Prime Minister Le Minh Hung has signed a decision establishing the National Committee on Aviation Security and Facilitation.

The inter-agency body will assist the Prime Minister in directing, coordinating and addressing important cross-sectoral issues related to aviation security and facilitation.

The committee is tasked with studying and proposing policies, mechanisms and solutions to improve aviation security and facilitation, while monitoring the implementation of international civil aviation treaties to which Vietnam is a party, as well as standards and recommended practices of the International Civil Aviation Organization (ICAO).

It will also direct and coordinate the implementation of the National Program on Air Transport Facilitation, promote administrative reform and digital transformation, and facilitate data connectivity and sharing to improve the efficiency of aviation procedures.

In terms of security, the committee will coordinate measures to protect civil aviation, prevent, detect and stop acts of unlawful interference with civil aviation activities, and perform the functions of the national-level emergency aviation security command body in accordance with regulations.

The committee will also monitor and evaluate aviation security and facilitation measures, address difficulties and policy shortcomings, and coordinate international cooperation in the field.

-Đan Tiên

Vietnamese, Australian leaders witness exchange of cooperation documents

Tue, 11 Aug 2026 09:10:00 GMT

The joint statements comprise one on deepening the Vietnam-Australia comprehensive strategic partnership, one on economic resilience cooperation, and another on the enhancement of science, technology and innovation connectivity.

General Secretary of the Communist Party of Vietnam Central Committee and President To Lam and Australian Prime Minister Anthony Albanese exchanged three joint statements and witnessed the signing of seven cooperation documents between the two countries in Canberra on August 11, according to a report by the Vietnam News Agency.

The joint statements comprise one on deepening the Vietnam-Australia comprehensive strategic partnership, one on economic resilience cooperation, and another on the enhancement of science, technology and innovation connectivity.

General Secretary of the Communist Party of Vietnam Central Committee and President To Lam (left) and Australian Prime Minister Anthony Albanese exchange a joint statement (Photo: VNA)

The cooperation documents include memorandums of understanding between Vietnam’s Ministry of Agriculture and Environment and Australia’s Department of Agriculture, Fisheries and Forestry on agriculture and sustainable rural development; between the Vietnam Coast Guard and Australian Border Force on maritime law enforcement; between the Border Guard High Command under the Vietnamese Ministry of National Defence and Australian Border Force on border protection cooperation and mutual support; between Vietnam’s Ministry of Education and Training and Australia’s Department of Employment and Workplace Relations on vocational education; between the two governments of on digital economy cooperation; and between Vietnam’s Ministry of Health and Australia’s Department of Health, Disability and Ageing on health cooperation.

The two sides also signed the Protocol to Amend and Supplement the Air Services Agreement.

The Vietnamese leader’s state visit to Australia from August 9-12 is aimed at further strengthening and elevating high-level political trust, providing fresh momentum for the effective implementation of the Comprehensive Strategic Partnership and setting cooperation priorities for the coming period. It also offers an opportunity for the two countries’ leaders to hold in-depth discussions on regional and international issues of common interest, enhance coordination through multilateral mechanisms, and reaffirm their shared commitment to peace, stability, cooperation and sustainable development in the region and beyond.

Top Vietnamese leader holds talks with Australian PM

Tue, 11 Aug 2026 09:00:00 GMT

At their talks in Canberra on August 11, the two leaders set a target of $20 billion in two-way trade and called for stronger supply chain links, quality investment, and closer cooperation in the green and digital economies, new energy, and future industries.

General Secretary of the Communist Party of Vietnam (CPV) Central Committee and President To Lam held talks with Australian Prime Minister Anthony Albanese in Canberra on August 11 morning (local time), affirming that Vietnam always attaches importance to Australia’s role and position, and the close and trusted Comprehensive Strategic Partnership between the two countries as well, the Vietnam News Agency reported.

PM Albanese welcomed General Secretary and President Lam and the high-ranking Vietnamese delegation on their state visit to Australia, stressing its significance amid the rapidly growing ties, particularly since the two countries elevated their ties to a Comprehensive Strategic Partnership in March 2024.

In a world growing more uncertain, it is vitally important that the two countries cooperate closely across all fields, he said.

On the occasion, he voiced admiration for Vietnam and its people, praising the country’s striking gains, particularly in socio-economic progress. He also lauded the keynote speech by General Secretary and President Lam at the 23rd Shangri-La Dialogue in Singapore in May, saying that it reflects Vietnam’s regional vision and makes clear that peace and stability are shared values for nations, including Australia and Vietnam.

The Vietnamese Party and State leader, for his part, conveyed PM Le Minh Hung’s greetings to PM Albanese and lauded Australia as a friend and trusted partner of Vietnam. He also expressed wish to keep lifting bilateral relations to a new level.

Both leaders said they are pleased with the vigorous momentum of Vietnam-Australia ties after more than half a century, defined by solid political trust and ever-deepening mutual understanding and sharing. They welcomed the swift, effective rollout of the 2024–2027 Action Plan that puts the Comprehensive Strategic Partnership into practice, with breakthroughs registered across all six pillars. Defence-security ties have expanded, and two-way trade has doubled over the past five years, surpassing $14 billion in 2025. Joint efforts in education - training, development assistance, science, technology, innovation, and people-to-people exchanges have continued to grow.

At the talks between General Secretary of the CPV Central Committee and President To Lam and Australian Prime Minister Anthony Albanese (Photo: VNA)

They reached broad consensus on major directions to widen Vietnam-Australia ties in the coming time, aiming to meet each country’s development needs while adapting to global and regional changes. The two sides agreed to reinforce the political foundation of the relationship by facilitating all-level exchanges, and further deepen defence-security ties, including in cybersecurity, combating transnational crime, and responding to non-traditional security challenges.

On economic, trade, and investment fronts, they stressed the need to harness the two economies’ complementary strengths, make full use of the free trade agreements both countries are part of, clear barriers, and smooth the way for trade. They set a target of $20 billion in two-way trade and called for stronger supply chain links, quality investment, and closer cooperation in the green and digital economies, new energy, and future industries.

General Secretary and President Lam and PM Albanese agreed to make science and technology, innovation and digital transformation a new driver of bilateral relations; expand cooperation in strategic areas such as artificial intelligence (AI), semiconductors, quantum technology, biotechnology, biomedicine, marine research, critical minerals and green hydrogen; and promote joint research projects and links between universities, research institutes and businesses, with a view to establishing a Vietnam-Australia technology connectivity ecosystem and developing a highly skilled workforce.

The two leaders also consented to promote green and sustainable transition and climate change adaptation, working towards the goal of achieving net-zero emissions.

They spoke highly of the solid results achieved in education, training and human resource development cooperation, and agreed to continue promoting links between universities, research institutes, educational establishments and vocational training institutions, with a view to developing programmes for knowledge and experience sharing and joint training of high-quality human resources between the two countries.

The top leader of Vietnam welcomed the effective operation of the Vietnam Australia Centre at the Ho Chi Minh National Academy of Politics and its contributions to the training of Vietnam’s mid- and senior-level officials.

PM Albanese expressed his sincere thanks to the Vietnamese Government for creating favourable conditions for Australian universities, including RMIT University, to operate sustainably and smoothly in the country.

The leaders also welcomed projects and programmes promoting people-to-people links and broad knowledge sharing between the two countries, including the Australia Vietnam Policy Institute (AVPI), the Hub for Vietnam Policy Studies at the Australian National University, and the Australia-Vietnam Strategic Technology Centre (AVSTC), among others.

They encouraged stronger cooperation and exchanges in culture, tourism and people-to-people relations. General Secretary and President Lam suggested that Australia continue to facilitate Vietnamese students’ study, work and acquisition of experience in Australia, and encourage the Vietnamese community in Australia to grow in strength and unity, promote the positive cultural values of both countries, and serve as an effective bridge of friendship between the two nations.

On regional and international issues, the two leaders agreed to strengthen coordination at multilateral forums, particularly the United Nations (UN), the Association of Southeast Asian Nations (ASEAN) and ASEAN-led mechanisms.

They called for promoting dialogue and trust-building, respecting international law and the UN Charter, ensuring maritime and aviation security, safety and freedom of navigation and overflight, and settling disputes by peaceful means on the basis of international law, including the 1982 UN Convention on the Law of the Sea (UNCLOS).

Vietnam affirmed its readiness to work with Australia to strengthen connectivity with Southeast Asia, uphold ASEAN centrality and contribute to a region of peace, stability, and sustainable and inclusive development.

Following their talks, the two leaders witnessed the signing and exchange of a number of cooperation documents in science and technology, innovation, the digital economy, education and training, and other fields. The two sides instructed ministries and sectors to urgently put the agreements into effect, translating high-level directions into concrete programmes, projects and results.

They also expressed their confidence that a foundation of political trust, increasingly aligned interests and new drivers of cooperation would usher Vietnam-Australia relations into a deeper phase of development, bringing practical benefits to the people and businesses of both countries, while making a positive contribution to peace, stability, cooperation and development in the Indo-Pacific and around the world.

Vietnam, Australia target $20 bln in two-way trade turnover

Tue, 11 Aug 2026 09:00:00 GMT

During his meeting with Governor-General of Australia Sam Mostyn in Canberra on August 11, General Secretary of the Communist Party of Vietnam and State President To Lam set a target to reach a bilateral trade turnover of $20 billion and to significantly increase two-way investment.

General Secretary of the Communist Party of Vietnam and State President To Lam met with Governor-General of Australia Sam Mostyn in Canberra on August 11 morning (local time), following a formal state welcome ceremony.

Governor-General Sam Mostyn affirmed that bilateral relations are flourishing on a solid foundation of political trust. She expressed confidence that this visit will generate new momentum to deepen the Vietnam-Australia Comprehensive Strategic Partnership.

General Secretary and State President To Lam affirmed that Australia is a trusted friend and partner with many convergent strategic interests with Vietnam. He expressed his desire to make bilateral relations increasingly profound, substantive, and effective.

Sharing the achievements after more than 40 years of Doi Moi (Renewal), the Vietnamese top leader stated that Vietnam is establishing a new development model based on productivity, knowledge, science and technology, innovation, digital transformation, high-quality human resources, and modern governance. This model is coupled with green growth, sustainable development, and deep international integration, aiming for the goal of becoming a developed, high-income country by 2045.

In the context of profound global changes, he said, both countries need to further strengthen cooperation and better leverage their complementary strengths.

The Australian Governor-General expressed her deep impression of Vietnam’s development achievements, particularly in economic transformation, science and technology, and international integration. She noted that both countries share many similarities in their development visions, both identifying science-technology, innovation, education, and high-quality human resources as key drivers for growth. She affirmed that Australia wishes to remain a trusted partner, accompanying Vietnam in achieving its development goals.

Regarding the direction of future cooperation, the Vietnamese leader proposed that both sides continue to consolidate political trust, expand defense and security cooperation, and promote trade and investment. He set a target to reach a bilateral trade turnover of $20 billion and to significantly increase two-way investment.

Vietnam aims to attract more high-quality capital flows from Australian enterprises and investment funds through Australia’s Southeast Asia Economic Strategy to 2040. Simultaneously, the Vietnamese leader requested that Australia create favorable conditions for Vietnamese businesses to expand their operations in the Australian market.

In terms of development cooperation, education, and knowledge sharing, the Vietnamese leader suggested that Australia support Vietnam in enhancing public governance capacity, administrative reform, and public sector digital transformation. He also called for the expansion of scholarships, university and research institute partnerships, and vocational training cooperation for emerging industries.

Ms. Mostyn highly valued the contributions of the Vietnamese community in Australia, as well as the roles of Vietnamese students, intellectuals, experts, and entrepreneurs in fostering bilateral connections. She affirmed that Australia wishes to continue creating a favorable environment for the Vietnamese community to leverage their strengths and preserve their cultural identity.

Regarding regional and international issues of mutual concern, the two leaders emphasized the importance of dialogue, cooperation, and respect for international law, aiming together toward a peaceful, stable, inclusive, and sustainable Indo-Pacific region.

VnEconomy-Hà Lê

Ha Tinh approves detailed plan for Vung Ang LNG storage facility

Tue, 11 Aug 2026 08:10:00 GMT

The central province's North Central LNG Storage Facility is designed to become a major LNG transshipment hub in central Vietnam, featuring integrated storage facilities and technical infrastructure for receiving, storing and supplying LNG to gas-fired power plants in the region.

Authorities of central Ha Tinh province has approved the detailed planning for the North Central LNG Storage Facility, also known as the Vung Ang LNG Storage Facility, paving the way for further investment preparation and development of the major energy infrastructure project.

The planned area covers 52.81 hectares in Hoang Son Ward, including about 47.26 hectares for the project itself and 5.55 hectares for shared external transport infrastructure serving the Vung Ang III Thermal Power Centre.

The approval of the detailed plan provides a basis for the investor to proceed with investment preparation, formulate the feasibility study and carry out subsequent procedures.

The North Central LNG Storage Facility is designed to become a major LNG transshipment hub in central Vietnam, featuring integrated storage facilities and technical infrastructure for receiving, storing and supplying LNG to gas-fired power plants in the region.

The facility is also expected to supply gas to industrial production facilities and other gas consumers, strengthening the regional energy infrastructure network linking LNG ports, storage facilities, power centers, industries and logistics services.

-Nguyen Thuan

28 transit-oriented urban areas proposed along HCMC-Can Tho Railway

Tue, 11 Aug 2026 08:00:00 GMT

The proposed railway spans over 175 km, traversing Ho Chi Minh City and Tay Ninh, Dong Thap and Vinh Long provinces and Can Tho City.

To optimize land utilization and enhance investment efficiency, some 28 compact urban areas have been proposed for development under the Transit-Oriented Development (TOD) around stations along the projected Ho Chi Minh City – Can Tho railway.

This information was released by the My Thuan Project Management Board (PMB) in its preliminary research report on potential areas for TOD development—a model that integrates urban housing and commercial spaces with public transport hubs—along the planned rail corridor.

The proposed railway spans over 175 km, traversing Ho Chi Minh City and Tay Ninh, Dong Thap and Vinh Long provinces and Can Tho City in the Mekong Delta. The line is set to begin at An Binh Station (Di An, Binh Duong/HCMC border) and terminate at Can Tho Station (Can Tho City).

According to the My Thuan PMB, local authorities in the affected provinces have reached a consensus on researching TOD integration. However, several aspects require further clarification, including the specific scope of research, implementation mechanisms, infrastructure connectivity, and land exploitation strategies.

The pre-feasibility study for the HCMC – Can Tho railway is currently being finalized for submission to competent authorities for investment policy approval. In Phase 1, the project requires a total investment of over VND171 trillion (over $6.5 billion).

The plan involves constructing a 1,435 mm standard gauge line to serve both passenger and freight transport. The maximum design speed is set at 160 km/h for passenger trains and 120 km/h for freight trains.

Regarding the timeline, the National Assembly is expected to review the project's investment policy in August 2026. General technical designs and project approval are slated for completion by the first quarter of 2028, with construction beginning in the third quarter of 2028 and primary completion targeted for 2035.

To implement the project, approximately 801.5 ha of land will be reclaimed.

The My Thuan PMB has recommended utilizing public investment for the project. According to the project consultants, international experience indicates that the Public-Private Partnership (PPP) model for this type of infrastructure may not yield higher efficiency compared to direct public funding.

VnEconomy-Thiên Di

Vietnam raises $709mln through Government bond auctions in July

Tue, 11 Aug 2026 07:25:00 GMT

The figure bringing the total amount of fundraising through Government bond issuance in the first seven months of 2026 to VND201.2 trillion ($7.65 billion), fulfilling 40% of the 2026 plan.

The Hanoi Stock Exchange (HNX) held 25 Government bond auctions on behalf of the State Treasury in July 2026, raising VND18.6 trillion ($709 million), with a successful bidding rate of 27%.

In the first seven months of the year, the State Treasury raised VND201.2 trillion ($7.65 billion), fulfilling 40% of its 2026 issuance plan.

Ten-year and five-year bonds accounted for the bulk of the amount raised in July, representing 51% and 46% of total issuance, respectively, equivalent to VND9.41 trillion and VND8.55 trillion.

The State Treasury offered bonds with maturities of three, five, 10, 15 and 30 years in July, with all five maturities successfully auctioned. Winning yields edged up by 3, 2, 1, 10 and 1 basis points, respectively, compared with the final successful auctions in May.

At the final auction in July, winning yields stood at 3.55% per year for three-year bonds, 4.20% for five-year bonds, 4.36% for 10-year bonds, 4.50% for 15-year bonds and 4.59% for 30-year bonds.

-Hà Anh

Australian tourists to Vietnam up 22.5% in 7M

Tue, 11 Aug 2026 07:12:00 GMT

Australian arrivals reaching approximately 397,000 in the first 7 months of 2026, representing a 22.5% increase from the same period last year.

Australia remains among the top 10 source markets for international visitors to Vietnam, with tourist arrivals growing significantly faster than the overall market.

Australian tourists arriving in Vietnam in the first 7 months of 2026 reached approximately 397,000, representing a 22.5% increase from the same period last year.

According to an Austrade report cited by travel companies, Australian tourists spend around AUD5,600–6,200 ($3,660–4,050) per trip to Vietnam. Their trips typically last seven to 12 days, with demand spanning cultural and nature experiences as well as leisure and resort holidays.

Official Australian statistics also showed that the number of Australians visiting Vietnam rose 16.2% in the 12 months to May 2026.

Meanwhile, Australian travel company Luxury Escapes said Vietnam is experiencing a “super surge” in demand. Bookings for Vietnam tours in July increased 64% year on year, highlighting the country’s growing appeal among Australian travellers.

The strong growth is expected to create further opportunities for Vietnam’s tourism sector, particularly in high-value travel products and longer-stay tourism targeting the Australian market.

-Tường Bách

Towards true environmental, social, and governance practices in banking sector

Tue, 11 Aug 2026 03:30:00 GMT

The ESG practices of banks and, more importantly, how the practices of their borrowers are assessed, are crucial elements of Vietnam’s journey toward sustainability.

Until recently, environmental, social, and governance (ESG) commitments were largely viewed as voluntary corporate initiatives, often confined to sustainability reports and investor relations. Today, ESG is becoming an integral part of financial regulation, risk management, and capital allocation.

That transformation is unfolding rapidly across Vietnam’s banking sector. The “Vietnamese Banking Sector’s 2020-2025 Journey Towards Sustainability” report, released by Fair Finance Vietnam, evaluates the public ESG commitments of 14 major commercial banks against international sustainability standards, offering one of the most comprehensive snapshots of how the sector has evolved over the past five years.

Changing landscape

Much of the conversation around ESG over the past decade has focused on disclosure. Companies were encouraged to publish sustainability reports, announce Net Zero ambitions, and adopt international reporting standards. Increasingly, however, those expectations are becoming regulatory obligations rather than voluntary initiatives.

Globally, the post-pandemic period accelerated this transition. New reporting requirements such as the EU’s Corporate Sustainability Reporting Directive, climate disclosure standards, and growing scrutiny over supply chains have transformed ESG into a core element of financial decision-making rather than a communications exercise. International banking regulators have also expanded guidance on climate-related financial risks, signaling that environmental and transition risks should be treated alongside traditional credit risks.

Vietnam’s policy landscape has evolved at remarkable speed. Since 2020, the country has introduced a series of regulations covering environmental risk management, greenhouse gas accounting, green classification standards, and preparations for a domestic carbon market. In 2025, ESG was referenced for the first time in Politburo Resolution No. 68 on private sector development, elevating the concept from a market-driven practice to a national policy priority.

Those developments fundamentally change what is expected of banks. ESG is increasingly becoming part of prudential risk management, credit evaluation, and long-term business strategy. That shift is particularly important in Vietnam, where bank lending remains the dominant source of corporate financing. As exporters face stricter carbon requirements through mechanisms such as the EU’s Carbon Border Adjustment Mechanism (CBAM) and supply chain regulations like the EU Deforestation Regulation, banks inevitably become gatekeepers to the country’s broader economic transition.

Tangible progress

Vietnam’s commercial banks have undoubtedly made progress since ESG commitments were first assessed in 2020. Overall policy scores have nearly doubled over the five-year period, while the gap between top-performing and lower-performing banks has narrowed, suggesting sustainability is becoming embedded across the industry rather than driven by a handful of early adopters. Green credit has also continued to expand, growing at an average annual rate of 14.6 per cent between 2020 and 2025, though it still accounts for just 4.5 per cent of total outstanding credit.

The progress is becoming increasingly visible in the products banks offer and the systems they are putting in place, rather than simply in their public commitments. Sustainable funding, for instance, is gradually becoming part of mainstream banking. By the end of 2025, Vietcombank, Agribank, BIDV, Techcombank, HDBank, and SeABank had all completed inaugural green bond issuances or established green finance frameworks aligned with international standards set by the International Capital Market Association and the Loan Market Association.

These initiatives provide banks with new sources of capital specifically earmarked for financing environmentally-sustainable projects, marking an important step toward building Vietnam’s green finance ecosystem.

Several lenders have also moved beyond traditional green lending to develop dedicated sustainable finance frameworks. ACB, for example, has committed to using proceeds from sustainable bonds exclusively for eligible green projects, including renewable energy infrastructure and related technologies. The bank has also expanded its preferential lending program for sustainable businesses, doubling the size of its dedicated credit package from VND2 trillion ($76.9 million) to VND4 trillion ($153.8 million) within little more than a year.

The shift extends beyond environmental finance. Eleven of the 14 banks assessed now prepare sustainability reports using Global Reporting Initiative standards, or almost three times as many as in 2022, reflecting growing convergence with international reporting practices. Yet only ACB has gone a step further by obtaining independent third-party assurance of its sustainability report, highlighting how external verification remains the exception rather than the norm.

The report also points to a broader maturation of ESG practices across the sector. Climate commitments, once confined to only a handful of institutions, have become widespread, with 13 of the 14 banks now disclosing climate-related policies. The number of banks adopting restrictions on coal financing has doubled, while several lenders have introduced environmental and social risk assessments for large-scale projects.

MSB, VPBank, Agribank, Eximbank, and VietinBank stand out for their commitments to financial inclusion, while SeABank, HDBank, MSB, VietinBank, and Agribank disclose the most comprehensive customer protection policies, including cybersecurity awareness, complaint-handling mechanisms, and data privacy commitments.

Where policy meets practice

Despite publishing more ESG-related information than ever before, Vietnamese banks are beginning to see diminishing returns from disclosure alone. The report found that average ESG policy scores changed little from the previous assessment, suggesting the industry’s early momentum is starting to level off.

That does not mean banks are making less progress. Rather, it reflects a shift in what progress now requires. The first phase of ESG adoption was largely about establishing policies, governance structures, and reporting frameworks. The next phase will depend on whether those commitments influence how banks lend, assess risk, and allocate capital. That distinction matters because banks exert their greatest environmental and social influence not through their own operations but through the businesses they choose to finance.

The assessment found that while all 14 banks now disclose environmental and social risk frameworks for lending, far fewer explain how those frameworks are applied in practice. Only five banks publish sector-specific exclusion lists, while most provide little information on how they verify borrowers’ compliance with environmental and social requirements after loans are approved.

The implementation gap extends well beyond climate policy. Banks have made meaningful progress in strengthening their own employment practices, human rights commitments, and procurement policies. BIDV, VPBank, and SeABank have introduced labor and environmental requirements for suppliers, signaling that ESG is extending beyond banks’ internal operations.

Yet those expectations are not consistently reflected in lending relationships. The report notes that banks rarely require borrowers to demonstrate commitments on issues such as gender equality, human rights, or broader environmental performance. Several banks disclose financing for women-owned businesses, for instance, but few translate those efforts into measurable lending targets. Likewise, while anti-discrimination policies are common within banks, systematic commitments to prevent gender discrimination among customers or financed businesses remain limited.

Climate finance presents a similar picture. Nearly every bank assessed now recognizes climate change as a strategic issue, and the number of institutions restricting coal financing has doubled since the previous assessment. Several lenders have also introduced environmental and social risk assessments for large-scale projects and expanded financing for renewable energy.

However, comprehensive lending policies for high-carbon sectors remain the exception rather than the rule. As global markets tighten climate disclosure requirements and carbon regulations reshape international trade, these gaps are likely to face growing scrutiny.

In many respects, Vietnam’s banking sector has completed the first phase of ESG adoption: building policies, governance structures, and disclosure practices. The next phase will be far more demanding. Rather than asking whether banks have ESG policies, the key question is whether those policies influence credit decisions, investment portfolios, and risk management.

-Diep Linh

Vietnamese AI awakens knowledge buried beneath millions of lines of code

Tue, 11 Aug 2026 03:00:00 GMT

FPT is using AI to unlock decades of enterprise knowledge hidden inside complex legacy software systems.

FPT engineers developed Flezi Metis to help AI understand the full context of complex enterprise software systems.

A leading global automotive services and technology company faced a persistent paradox: whenever engineers needed to modify a feature or develop new software, they spent 40–60 per cent of their time simply searching for information across a massive codebase.

This was the challenge facing one of the world's largest automotive services and technology companies, headquartered in the United States, as it continued to operate software systems containing millions of lines of code accumulated over generations of technology. Built on legacy programming languages and repeatedly expanded over the years, the systems had become increasingly complex. The entire technology landscape resembled a vast underground city whose map was known by only a few people, where even a small change could trigger unpredictable ripple effects. Engineers therefore had to spend significant time tracing complex dependencies, assessing risks, and developing a deep understanding of the systems before making changes safely.

The pressure is growing as AI accelerates the pace of technological innovation. Smaller companies can experiment rapidly, while large enterprises must move more carefully because every change can directly affect business operations.

To support engineering teams, many enterprises have adopted AI chatbots and coding agents, which initially helped engineers find information and complete tasks more quickly. But as data grows larger and more fragmented, the limitations of these tools have become increasingly apparent. Without a complete understanding of the system context, AI can produce inaccurate analyses or even "hallucinations" - generating answers that sound plausible but are factually incorrect. At the same time, operating costs can rise rapidly as AI processes ever-larger volumes of data.

This is not a challenge unique to one company. After years of working with customers across the United States, Europe, and Japan, FPT has found this to be a common challenge among large enterprises, where operational knowledge, from business logic to troubleshooting experience, is buried beneath layers of source code, technical documentation, and the expertise of veteran engineers. In Japan alone, according to IDC, around 80 per cent of medium and large enterprises still rely on legacy systems.

Mr. Pham Minh Tuan, Executive Vice President of FPT Corporation and Chief Executive Officer of FPT Software, said these legacy systems represent decades of accumulated operational knowledge and business logic. They are assets that enterprises cannot afford to lose. FPT is working with large enterprises around the world to modernize these systems with AI.

One way FPT is helping enterprises address this challenge is through Flezi Metis, an AI platform that connects source code, technical documentation, and operational data into a unified knowledge map of an entire system. With a comprehensive view of the system, AI can reason based on actual system structures rather than guesswork, reducing the risk of inaccurate information caused by missing context and eliminating the need to repeatedly process the entire system for every new request.

When an engineer wants to modify a function, the platform can quickly identify related components, analyze potential impacts, and flag areas that may be affected. Data remains within the customer's internal infrastructure, meeting stringent security requirements.

In an initial pilot with the automotive customer, conducted on a project containing approximately one million lines of code, the time spent searching through source code was reduced by around 50 per cent, while the engineering team's task completion time decreased by approximately 30 per cent. Beyond helping engineers work more efficiently, Flezi Metis is also changing how enterprises manage their software systems. With institutional knowledge easier to access, technology leaders gain a more comprehensive view of their systems and a stronger foundation for decision-making.

Following its success with the US customer, Flezi Metis is expanding into industries with complex operating environments, including banking, insurance, and the public sector. It is part of FleziPT, FPT's AI ecosystem, which brings together technology platforms, experts, and partners to support enterprise-wide AI transformation.

To further accelerate this transformation, FPT has also introduced CASAN, a five-level AI maturity framework that helps enterprises structure their AI transformation journey, from isolated AI applications to operating models in which AI is deeply integrated across the organization.

Workshop discusses location data strategy and international lessons for Vietnam

Tue, 11 Aug 2026 02:00:00 GMT

The Politburo’s recent approval of the project to develop the national database, along with the orientation toward developing a data economy, further proves the critical importance of this field

To boost economic development, Vietnam needs to build a systematic and synchronized data chain across key sectors such as logistics, energy, urban planning, and industry, contributing to a modern, safe, and sustainable national data ecosystem, said Major General Nguyen Ngoc Cuong, Director of the National Data Center and Vice President of the National Data Association (NDA).

Speaking at a workshop theming “Location Data – International Experiences and Lessons for Vietnam,” organized by NDA collaboration with the Vietnam Global Data Expert Network (VDEN) on August 10, Major General Cuong, affirmed that data has become a vital strategic resource for every nation.

The Politburo’s recent approval of a project to develop the national database, along with the orientation toward developing a data economy, further proves the critical importance of this field. Among various types, location data serves as the core and most essential layer, he said.

“The core goal is for data to truly contribute to economic development and increase scientific content through in-depth handling of specific issues. Currently, the Party and State have cleared maximum institutional hurdles; the remaining issue lies entirely in execution,” Mr. Cuong said.

Elaborating on the implementation strategy, Lieutenant Colonel Dao Duc Trieu, General Secretary of the NDA, noted that building data infrastructure is like a revolution moving from “nothing” to “something.” The Resolution of the 14th National Party Congress identified the data economy as the focus of the new growth model. The State is aiming to turn data into a new factor of production, standing alongside land, capital, labor, and science and technology.

To catch up with advanced countries, Vietnam is simultaneously executing five stages: data creation, infrastructure building, data governance based on trust (ensuring data is accurate, sufficient, clean, live, and unified for shared use), application exploitation, and promoting socio-economic value. The exploitation of resources will focus on the four most important types of data: people, items, locations, and behaviors.

Regarding location data, sharing experiences from Switzerland, Dr. Luu Vinh Toan—Technical Analysis Director at UBS Group and President of the Association of Vietnamese Intellectuals and Expertsn in Switzerland—affirmed that preparing a foundational database is a mandatory step before expecting complex AI applications.

“Switzerland prepared its address data long ago, establishing standardized formats to link entities such as buildings, streets, administrative landmarks, and postal codes without needing AI. Once the infrastructure is solid, AI steps in to create added value,” said Dr. Toan.

Therefore, for Vietnam at this stage, the core principle in input standardization is “do it once and at a single window.” The management of data components such as buildings, entrances, and postal codes must be clearly assigned to specific agencies.

“Inaccurate location data can cause enormous costs, affecting hundreds of delivery companies or telecommunications firms that may fail to suggest appropriate internet packages to residents. Therefore, to ensure effectiveness, reports of data errors should be sent directly to the State’s management system for synchronization across the economy, rather than just being reflected on foreign platforms, which lack legal responsibility for national infrastructure,” Dr. Toan said.

VnEconomy-Khánh Vy

Climbing the value chain

Tue, 11 Aug 2026 01:00:00 GMT

Mr. Suan Teck Kin, Head of Research, Global Economics Market Research, at the United Overseas Bank (UOB), tells Linh Tong what Vietnam must do to succeed in its next phase of growth and in FDI 2.0.

Mr. Suan Teck Kin, Head of Research, Global Economics Market Research, at the United Overseas Bank (UOB)

Vietnam is increasingly being recognized as one of Asia’s fastest-growing economies and is aiming to attract higher-value investment. What are the biggest gaps between its policy ambition and implementation?

There is a gap, but I think we have to give it a bit of time, because Vietnam is still catching up. The country only really opened up in 1989, with reforms beginning around 1993 and 1996. That’s only about 30 years ago, so there are still many gaps that need to be filled, and that is to be expected.

The ambition is to move quickly, but implementation cannot be rushed. You have to manage the pace because if you accelerate too fast, there can be negative consequences. For example, if the government pushes investment too aggressively, it needs more capital, which can divert funding away from other sectors and put upward pressure on interest rates. It can also create inflationary pressures because more imports and stronger domestic demand can push up prices.

So while demand is already here and expectations are high, the key is to pace the process. Whenever you can accelerate, you should accelerate, but it has to be done carefully.

At the same time, Vietnam needs to make sure it remains competitive in attracting investment. There is competition not only from other countries but also from other regions where labor costs may be even lower. That means Vietnam cannot rely on low costs alone.

How should Vietnam strengthen its competitiveness and unlock the next phase of growth?

The first priority is to maintain a business-friendly environment. Policies need to be clear, consistent, transparent, and easy to understand so that both foreign and local businesses can operate in a safe and predictable environment. If foreign investors are uncertain about tax rules or regulations, they may simply choose another market where the system is easier to navigate.

The second priority is the workforce. As the economy develops, wages will naturally rise. Singapore experienced the same thing. The important point is that productivity must rise as well. That requires continuous skills upgrading, workforce training, and an education system that is aligned with what businesses actually need. Otherwise, companies won’t be able to find the talent they’re looking for.

Vietnam also still needs foreign capital because its domestic capital base is not yet as deep as that of more developed economies. Countries like Malaysia have stronger local corporate champions, while Vietnam is still developing more of them. Over time, that will change.

Finally, infrastructure remains critical. Vietnam needs to continue investing in transport, logistics, power, and other infrastructure, but again, it cannot be rushed. If investment is accelerated too aggressively, you run into the same issues of competing for capital and creating inflationary pressures. Infrastructure development needs to continue, but at a sustainable pace.

Those are the key areas that I think will help Vietnam remain a competitive and attractive investment destination while supporting its next phase of growth.

If the last decade was about attracting investment, what should define Vietnam’s next phase of economic growth? Which sectors do you believe will drive the country’s growth over the next five to ten years?

This is really what people are referring to when they talk about FDI 2.0, and I think that’s the right way to look at Vietnam’s next stage of development.

The first phase, from 1989 until now, relied on the traditional growth model. There’s nothing wrong with that. Vietnam had labor, land, and competitive costs, so it focused on labor-intensive manufacturing and lower-skilled assembly work. Singapore went through exactly the same stage. When it became independent in 1965, we called it the “screwdriver industry” because we were essentially assembling imported parts.

With FDI 2.0, Vietnam needs to move up the value chain. In the first phase, the value proposition was low-cost labor. While there was some value-added, that model is very vulnerable to competition because companies can always find another location that is cheaper. Competitiveness is always evolving.

To avoid that, Vietnam needs to increase the amount of value it creates. Instead of simply assembling components, the country should attract companies to manufacture more sophisticated parts locally and carry out more RD. Rather than having RD done elsewhere and production taking place in Vietnam, more innovation should happen within Vietnam itself.

Of course, this can’t happen across every industry. The focus should be on sectors where Vietnam has the potential to be competitive. There are areas where Vietnam may not have a natural advantage, such as advanced medical research, but electronics is a different story. That’s why I think the Vietnamese Government has made a smart decision by focusing on semiconductors. Party General Secretary and State President To Lam has shown good foresight in recognizing the importance of moving up the value chain.

The goal is not to remain vulnerable to low-end competition. Vietnam needs to move toward higher-value activities, not necessarily the very highest end immediately, because the capabilities and engineering talent are still developing, but progressively higher over time.

Electronics is one obvious example. Vietnam already has experience in lower-end manufacturing, so the next step is to build on that foundation. The same applies to semiconductors, electrical equipment, and electronics more broadly.

But this isn’t limited to high-tech industries. Even traditional sectors such as garments can move up the value chain. China is a good example. It began with simple manufacturing and assembly, but later shifted toward higher-value activities such as design and product development. Instead of simply producing clothing, companies started offering customers complete design solutions. If a customer wasn’t sure what styles to launch for the next season, the manufacturer could provide the designs as well. That’s a different business model requiring different skills. It’s what we call ODM, or Original Design Manufacturing. The same opportunity exists in footwear, furniture, and other traditional industries. Eventually, Vietnam should be able to provide both the design and the manufacturing.

One final point is that trust is extremely important. Some manufacturers have damaged their reputation by producing unauthorized extra quantities of branded products and selling them outside official channels.

Once that trust is lost, companies won’t secure any future contracts. In many industries, especially fashion, designs are valuable intellectual property intended for a specific season. Protecting that intellectual property is essential. Vietnam needs to ensure these kinds of practices do not happen because they can damage not only individual companies but also the country’s reputation as a trusted manufacturing destination.

What will distinguish this next wave of FDI from the previous one, and is Vietnam well positioned to capture it?

The requirements will be much higher. As you move up the value chain, the demands become much more stringent.

Take semiconductors as an example. Today, even activities such as testing and packaging may not require the highest standards. But if you’re talking about attracting a company like Taiwan (China)’s TSMC to build an advanced fabrication facility, that’s a completely different level.

You need a very stable power supply. There cannot be power failures, brownouts, or blackouts. You also need sufficient supplies of clean, high-purity water because it’s essential for cooling systems and cleaning highly sophisticated equipment. In addition, you need a controlled environment with purified air.

That’s one of the biggest differences between FDI 1.0 and FDI 2.0. With the earlier model, you could set up a conventional factory relatively easily. But if you want to attract more sophisticated manufacturing, the supporting environment has to be at a much higher standard. The physical infrastructure requirements are significantly greater.

The legal environment also becomes more important. Intellectual property protection is essential. Companies need confidence that their technology and innovations will be protected.

The workforce requirements are also different. Operating advanced machinery requires a much higher level of technical expertise, along with stronger safety standards and specialized skills. In the FDI 1.0 era, many factory jobs only required a high school education. For FDI 2.0, you need more university graduates, engineers, and highly-skilled technicians. The country must have enough qualified talent to support these industries.

Another important point is creating an environment that attracts not only foreign companies but also overseas Vietnamese professionals who want to return and start businesses or work for local companies.

That means having a business environment where the rules are clear. Tax regulations should be transparent, with as little ambiguity as possible. Business laws should also be clear and predictable. All of these factors are important if Vietnam wants to attract the next generation of higher-value investment.

Looking ahead, what gives you the greatest confidence about Vietnam’s prospects? And if there were one reform or one priority that could significantly strengthen Vietnam’s competitiveness, what would it be?

I’m very confident about Vietnam’s future because the country has demonstrated its resilience. It has gone through Covid-19, the conflicts in the Middle East, US tariffs, and many other global shocks, yet it has come through them stronger.

Last year, Vietnam achieved more than 8 per cent growth. This year, it is also targeting growth of more than 8 per cent. There are even discussions about reaching double-digit growth. I would be a little more cautious about that. That’s why my own forecast doesn’t assume 10 per cent growth. I think it’s very difficult to achieve. It’s possible, but you may have to sacrifice too many other things to get there. I don’t think that’s worth it.

I would rather see Vietnam maintain a sustainable pace while continuing to achieve strong growth. That’s why I’m optimistic. The country has already proven its resilience.

As for choosing one priority, I wouldn’t necessarily call it a reform, but I do think infrastructure remains one of the most important areas where Vietnam should do more, and do it more comprehensively.

Infrastructure isn’t just about physical assets such as roads, airports, seaports, railways, metro systems, power, and water. Digital infrastructure is also important, as are healthcare and education. The government needs to continue investing in all of these areas.

Education, in particular, requires sustained investment. Resources need to be allocated to ensure Vietnam trains enough engineers and continues upgrading the skills of those already in the workforce. That requires funding, qualified teachers, and sufficient training capacity.

Sometimes that means spending less on other priorities today in order to create a stronger economy tomorrow. China followed that approach by investing heavily in education and human capital. It trained an enormous number of engineers, creating the talent base needed to support the country’s industrial and technological development.

I think Vietnam should continue moving in that direction because investing in infrastructure, both physical and human, is one of the best ways to strengthen the country’s long-term competitiveness.

-Linh Tong

Central bank calls for preferential loans for SMEs to support growth

Tue, 11 Aug 2026 00:30:00 GMT

Lending rates at least 1 percentage point lower than commercial banks’ average lending rates for loans of the same maturity.

The State Bank of Vietnam (SBV) has asked commercial banks to develop and publish credit programs targeting key economic growth drivers and small and medium-sized enterprises (SMEs) in August, with Vietnamese dong (VND) lending rates at least 1 percentage point lower than the banks’ average lending rates for loans of the same maturity.

Eligible borrowers include SMEs, as well as businesses and individuals engaged in production and business activities in priority sectors and key growth drivers, including agriculture and rural development, supporting industries, high-tech businesses, exports, the digital economy, artificial intelligence, semiconductors, processing and manufacturing, and projects listed under the country’s green classification framework.

Banks are also required to waive or reduce applicable service fees for customers, in accordance with regulations and their operational scale and financial capacity.

As of July 31, total outstanding loans in the economy reached nearly VND20.3 quadrillion ($771 billion), up 8.98% from the end of 2025, according to the SBV.

Outstanding loans to businesses stood at nearly VND11 quadrillion, accounting for 53.3% of the total credit. Of this, private enterprises accounted for more than VND9.1 quadrillion, SMEs over VND3.9 quadrillion, State-owned enterprises about VND606 trillion and foreign-invested enterprises around VND836 trillion.

-My Van

Addressing planting area code hurdles to promote Vietnamese durian brand

Mon, 10 Aug 2026 23:10:00 GMT

Deputy PM Ho Quoc Dung directed ministries, sectors, and local authorities to prioritize the development of the durian brand, Thus establishing a brand identity so that the international market immediately associates durians with Vietnam.

Deputy Prime Minister Ho Quoc Dung on August 10 chaired a meeting to review the implementation of Resolution No. 36/2026/NQ-CP on simplifying administrative procedures for planting area codes and packing house codes to facilitate the consumption and export of durians, according to a report by the Government News.

The Deputy PM noted that as a rapidly growing sector, the durian industry requires fundamental and long-term solutions to reorganize production, control quality, expand markets, and increase product value.

The first priority is to review and reorganize production, specifically focusing on the zoning of durian-cultivating regions as well as other fruit-growing areas, he said.

Drawing lessons from the current state of the industry, he urged the agricultural sector to strictly manage cultivation acreage while increasing advisory efforts to ensure farmers have sufficient information before making production decisions. He stressed the importance of preventing a situation where farmers "rush" to expand durian areas, which could eventually lead to a product surplus, negatively impacting production efficiency and farmers' livelihoods.

Furthermore, he encouraged export businesses to heighten their social responsibility and build stronger ties with local farmers and authorities. He called for transparent and professional production practices, stating that exporters must actively support farmers and contribute to building a national brand for Vietnamese durians.

Building the Vietnamese durian brand

The Deputy PM directed ministries, sectors, and local authorities to prioritize the development of the durian brand.

The goal is to gradually establish a brand identity so that the international market immediately associates durians with Vietnam. Simultaneously, this effort aims to affirm the quality of Vietnamese durians, particularly products from high-advantage regions such as the Central Highlands.

He emphasized that this is a mission of long-term significance. He warned that without a strong brand, high quality, and a competitive edge, Vietnamese durians will struggle to compete in the international market over the long term.

According to Deputy Minister of Agriculture and Environment (MAE) Nguyen Hoang Hiep, by 2026 the country’s total durian cultivation area is estimated to reach approximately 200,000 ha, doubling the initial industry master plan of 100,000 ha.

In the first seven months of 2026, Vietnam harvested 768,000 tons of durians. For the remaining five months, an additional 1.3 million tons are expected to hit the market, primarily concentrated in the Central Highlands.

Given that the harvest is concentrated in a short window from August to October, Mr. Hiep emphasized the urgent need for efficient harvesting, testing, preliminary processing, and logistics to prevent congestion and reduce pressure during peak periods.

According to the MAE, Vietnamese durians are mainly exported through official channels as fresh fruit. In 2025, exports reached nearly 1 million tons of fresh fruit and 117,000 tons of frozen durian. In the first seven months of 2026 alone, the country exported 493,000 tons, valued at approximately $950.7 million—a 31% increase compared to the same period last year.

Mr. Hiep expressed confidence that durian export turnover will certainly exceed $4 billion this year.

Vietnamese durians are currently exported to over 20 countries. In July, India officially granted market access for fresh Vietnamese durians. The MAE is also negotiating with Australia, New Zealand, and other markets to further expand export outlets.

Regarding the Chinese market, as of July 2026, there are over 1,200 active planting area codes and 120 active packing house codes. Additionally, more than 1,100 codes are currently awaiting approval from Chinese authorities.

Addressing challenges for sustainable growth

Despite these achievements, the durian industry faces several hurdles. The rapid expansion of cultivation area has not been matched by equivalent supply chain integration, leading to potential risks of oversupply and difficulties in quality control.

Furthermore, importing markets are imposing increasingly stringent requirements regarding food safety and traceability. Preservation and deep-processing technologies remain limited, leaving the industry heavily dependent on fresh fruit exports.

According to MAE, Resolution No. 36 has fundamentally resolved the legal and procedural bottlenecks for major durian-producing regions. The ministry is currently collaborating with local authorities to build and deploy comprehensive plans for the implementation of the resolution in provinces where key export crops are approaching peak harvest season, most notably Dak Lak, Lam Dong, Gia Lai, and Quang Ngai.

Speaking at the event, Deputy Minister of Industry and Trade Nguyen Sinh Nhat Tan stated that overseas trade missions have been tasked with coordinating with MAE to further promote the image of Vietnamese durians. Efforts are also being ramped up to expand into new markets and accelerate negotiations for broader market access.

Regarding the domestic market, the Ministry of Industry and Trade urged the immediate development of a comprehensive traceability system, not only for durians but for all agricultural products in general.

VGP-

Vietnam, Australia boost investment in high-tech and high-value sectors

Mon, 10 Aug 2026 23:00:00 GMT

Vietnam's General Secretary and President To Lam proposed that bilateral cooperation shift toward long-term programs in innovation, science and technology, human resource development, green finance, high-quality infrastructure, strategic supply chains, education, and research.

General Secretary of the Communist Party of Vietnam Central Committee and State President To Lam received Australia’s Special Envoy for Southeast Asia, Mr. Nicholas Moore, in Sydney on August 10, as part of his ongoing state visit to Australia..

During the meeting, Mr. Moore discussed opportunities to enhance cooperation with Vietnam in implementing Australia’s Southeast Asia Economic Strategy to 2040. This includes expanding two-way trade and investment, as well as strengthening connections between businesses and investors in Vietnam’s priority sectors.

Highlighting the positive results of bilateral trade, Mr. Moore emphasized the need to aim for even greater scale and trade value. He noted that recently signed cooperation agreements in aviation and other sectors will enhance connectivity and provide further momentum for trade and investment.

According to the Special Envoy, many investors are drawn to Vietnam by its dynamic market, clear development goals, and strong aspirations for growth. Furthermore, the Vietnamese community and student population in Australia serve as a vital resource for promoting innovation and startups.

General Secretary and President To Lam expressed his desire for Vietnam to remain a central partner for Australia in the implementation of the Southeast Asia Economic Strategy to 2040.

Affirming that Vietnam considers Australia one of its top priority partners in the Indo-Pacific region, the Vietnamese leader stated that bilateral relations are entering a period of new opportunities. He emphasized that the Comprehensive Strategic Partnership must be advanced substantively and effectively, with a focus not only on expanding trade and investment but also on co-creating new growth drivers.

He noted that Vietnam aims to become a high-income nation by 2045, with development driven by science and technology, innovation, digital transformation, green transition, and private sector growth.

With a stable investment environment, a young workforce, a strategic position in global supply chains, and a growing market, Vietnam is well-positioned to be a priority destination for Australian firms. The country prioritizes projects featuring advanced technology, modern management, and high value-added, which facilitate technology transfer, human resource training, and stronger integration with domestic enterprises.

He proposed that bilateral cooperation shift toward long-term programs in innovation, science and technology, human resource development, green finance, high-quality infrastructure, strategic supply chains, education, and research.

VnEconomy-Hà Lê

Creating certainty for the VIFC

Mon, 10 Aug 2026 10:20:00 GMT

Mr. Rich McClellan, CEO of the Vietnam International Financial Center in Ho Chi Minh City (VIFC-HCMC), tells Linh Tong about the long-term vision for the VIFC and the steps needed to build a trusted gateway for international capital.

Mr. Rich McClellan, CEO of the Vietnam International Financial Center in Ho Chi Minh City (VIFC-HCMC)

Vietnam has long been recognized as a manufacturing and investment hub. How do you see the Vietnam International Financial Center (VIFC) contributing to the country’s next stage of economic development?

Vietnam has built one of the world’s great manufacturing and trade stories. But much of the financial value of that growth - the capital raising, the fund management, the structuring - happens offshore, in other financial centers.

The VIFC is about Vietnam capturing more of that value at home. As the country moves up the value chain, it needs deeper capital markets, more sophisticated financial services, and a channel for the long-term investment that infrastructure and the energy transition require.

A financial center built to international standards gives Vietnam the tools to finance its own growth - on Vietnamese soil, with the benefits staying in the country. That’s the contribution we’re aiming for: not a separate enclave for money to pass through, but an engine for the broader economy.

As other ASEAN economies also attract global capital, what role do you envision the VIFC playing within the regional financial ecosystem?

We’re not trying to build another Singapore or Hong Kong (China) - those centers exist, and Vietnam doesn’t need to copy them. What Vietnam needs is its own gateway: a place where international capital can reach one of Asia’s fastest-growing economies through rules that global investors understand.

In the near term, our role is to connect the pool of international capital looking for exposure to Vietnam with the projects and companies that need it - infrastructure, the energy transition, and capital markets.

Over time, as the ecosystem deepens, we expect the VIFC to become a regional node in its own right. But we’re building in sequence, on the foundations the government has set: the core policy and legal frameworks are in place, and through the current 2026-2030 phase of the national development plan, we’re institutionalizing how the Center operates and piloting the first priority products, so early market participants can begin as those institutions come online.

Many international financial centers have developed distinct competitive advantages over time. What do you believe should become the defining strengths of the VIFC?

A financial center’s advantages are earned over time, not declared on Day 1, so let me answer in terms of what we’re building toward.

First, access: the VIFC’s core draw is proximity to one of the fastest-growing economies in Asia - investors come to a financial center for what it connects them to, and Vietnam’s compelling growth story is the connection. Second, trust: high-standard regulation, effective dispute resolution, and robust investor protection, embedded in the VIFC’s tailored legal framework and in line with international practice. Third, the advantage of building fresh - we can design our framework around what global investors need today, rather than retrofitting a decades-old system. And fourth, people: a young, capable, competitively-priced workforce.

None of these is automatic; each depends on execution over the coming years. But that combination - a high-growth economy, credible rules, a modern design, and strong talent - is what we intend to make the VIFC known for.

What types of international capital and financial institutions is the VIFC seeking to attract in its early stages of development?

Our priorities follow the national development plan for the Center. In this phase, we’re focused on attracting large international financial institutions, investment funds, and international banks, alongside the professional market participants and high-quality financial talent that a functioning center depends on.

On the product side, Ho Chi Minh City’s role is built around three areas: capital markets, including the bond market and core financial services such as capital raising, investment, payments, issuance, and trading; asset and fund management; and commodity markets and commodity derivatives linked to trade and logistics.

We’re being deliberate about sequencing rather than chasing volume - the first institutions to license here matter most for the confidence they establish, not the capital they bring on Day 1.

Beyond world-class infrastructure, what policy, regulatory, and institutional reforms will be most important in building investor confidence in the VIFC?

Infrastructure is the easy part; you can watch a building go up. The harder and more important work is institutional. Two things matter most on the reform side.

First, a regulator that international investors trust: a supervisory authority that applies its rules consistently and predictably. Second, dispute resolution investors have confidence in, which is why the VIFC’s framework includes an international arbitration center and a specialized court, so that international awards can be recognized and enforced. Those give investors the certainty they need: to know the rules and trust that they’ll hold.

My own role sits on the other side of that equation - the demand side. What I spend my time on is engaging international institutions, funds, and banks, understanding what they need to commit to a market like Vietnam, and bringing quality anchor participants to the table early. That engagement does two things: it builds the pipeline, and it feeds real investor requirements back into how the Center is designed. Confidence is built from both directions - credible institutions on one side, and serious participants choosing to be here on the other.

What feedback have you received from international financial institutions, and what do they see as the key areas Vietnam still needs to improve to establish a successful international financial center?

The feedback has been consistent, and it’s fair. International institutions are genuinely interested - Vietnam’s growth makes it hard to ignore, and a number of favorable factors are lining up, from the country’s macro-economic stability and deep integration into global trade to Ho Chi Minh City’s role as its commercial hub.

But interest isn’t the same as commitment, and the investors we talk to are clear about what they need to see. They want the regulatory institutions to be real and functioning, not just legislated. They want to see the practical framework for operating here come fully into place. And they want to see the first movers succeed. None of this surprises us; these are exactly the areas being built out now.

We’re still early in the journey, and I’d rather be open about that than oversell our progress. The institutions that engage with us seriously respect that transparency.

Looking ten years ahead, what would success for the VIFC look like - not only for the Center itself but for Vietnam’s broader economy?

The government’s development plan sets the horizon, so let me use it. By 2030, success is a center whose core institutions are working and whose first priority products and services are operating - the foundations genuinely in place. By 2035, it’s a modern, diverse financial ecosystem: deeper capital markets, green finance, digital finance, and fintech, connected into regional and global capital flows, with the ambition of ranking among the world’s leading financial centers and third in ASEAN.

But the deeper measure of success is what it does for Vietnam. Capital that used to route around the country now flows through it. Vietnamese companies raise money at home. The infrastructure and energy transition the country needs are financed, in part, through instruments created here. And the benefits reach beyond the Center itself - thousands of skilled jobs and a generation of Vietnamese professionals working to international standards. Financial centers are decade-long projects. Success is building this one carefully and credibly, so that a decade from now it’s is still standing, and still trusted.

-Linh Tong

Making a distinct mark in the financial market

Mon, 10 Aug 2026 10:00:00 GMT

Mr. Jochen Biedermann, Managing Director of the World Alliance of International Financial Centers, tells Ngoc Lan that Vietnam holds certain advantages as it goes about building an International Financial Center.

Vietnam is accelerating its ambition to develop an International Financial Center (IFC). From the World Alliance of International Financial Centers (WAIFC)’s perspective, what key strengths could help Vietnam establish itself as a competitive financial hub in the region?

Vietnam brings several strengths that few emerging markets can match. First, its people. It has a young, well-educated, entrepreneurial population that is digitally native and eager to embrace new financial solutions. This is the breeding ground for a thriving financial center.

Second, its position. Vietnam has positioned itself with remarkable skill in today’s complex geopolitical landscape, maintaining strong relationships with all major powers, and it sits at the heart of the rapidly-integrating ASEAN economies. That makes it a natural node for channeling investment into ASEAN and facilitating trade finance across the region.

Mr. Jochen Biedermann, Managing Director of the World Alliance of International Financial Centers.

Third, its economic engine. Unlike some financial centers that are detached from physical production, Vietnam is a global manufacturing powerhouse, providing a solid foundation for world-class supply chain and trade finance.

Based on the WAIFC’s global experience, what strategic positioning should Vietnam prioritize to differentiate itself from other financial centers in Asia?

The most successful new centers do not replicate others; they leapfrog them. For a new financial center, it is very difficult to compete head-on with London or New York in investment banking, capital markets, or reinsurance. It is much easier, and much smarter, to excel in the new frontiers: digital finance, digital assets, sustainable finance, and AI in finance. This is where the game is now being played, and where Vietnam can make its own distinct mark.

My recommendation for Vietnam has been to build a “21st-century-native” financial center - one founded on digital and green finance rather than traditional finance. Vietnam’s two-city model supports this well. Ho Chi Minh City should become the full-service international financial center, offering banking, capital markets, and connectivity to global capital to fuel national growth. Da Nang, meanwhile, should emerge as a fintech and innovation hub, leveraging its strengths in semiconductors, AI, and digital technology while supplying Ho Chi Minh City with cutting-edge solutions and skilled professionals.

If we look at mainland China, we can compare Ho Chi Minh City to Shanghai and Da Nang to Shenzhen. Without Shenzhen, China would have missed a large part of its financial development over the past 20 years. Vietnam has that same opportunity.

Beyond infrastructure and regulatory reforms, what are the most critical factors in building investor confidence and attracting high-quality international financial institutions to a new financial center like Vietnam?

Infrastructure and regulation are necessary, but they are not sufficient. From our work with financial centers globally, we see four factors that build lasting confidence.

First, it is necessary to focus on the domestic financial industry. By building an attractive and dynamic domestic ecosystem, global investors will come naturally because there is money to be made and value to be created. Attracting institutions with tax incentives or a light-touch regulatory regime alone is not a sustainable approach. If the domestic environment is not truly vibrant, they will pack their bags and move to the next hub that offers a better deal.

Second is talent. Both cities need young professionals who are fluent in English and have a deep knowledge of modern finance and technology. Developing and, crucially, retaining that talent is decisive. Vietnam needs not only bankers but also international accountants and fintech entrepreneurs.

My recommendation for Vietnam has been to build a “21st-century-native” financial center - one founded on digital and green finance rather than traditional finance.

Mr. Jochen Biedermann, Managing Director of the World Alliance of International Financial Centers

Third is trust and the rule of law. International institutions need legal certainty and credible, efficient dispute resolution. Vietnam’s decision to make English the working language of its IFC, establish a specialized court and arbitration center, and allow the choice of foreign law in cross-border transactions sends exactly the right signal. On the trust side, investors will demand the free flow of capital into and out of the country for their investments, which remains a challenge that needs to be overcome.

Finally, this is a marathon, not a sprint. Confidence is earned through consistency and unwavering commitment over a decade or more, through the good times and the bad. Vietnam’s commitment so far has been more than outstanding.

As financial services are rapidly evolving with digitalization, fintech, sustainable finance, and AI, how can Vietnam integrate these emerging trends into the development of its IFC to remain competitive in the long term?

These trends are not add-ons; they should be the very foundation of Vietnam’s IFC. There are several practical considerations.

On fintech, a healthy ecosystem rests on several interdependent pillars, including talent, capital, real demand, enabling infrastructure such as digital identity and instant payments, and, crucially, proportionate regulation. Regulation is the real differentiator. My advice is to avoid the trap of overregulation: do not simply copy the most complex rulebooks from established centers, because frameworks that work well in mature markets are often too onerous for a dynamic, emerging market. A controlled regulatory sandbox that allows young companies to experiment while protecting investors strikes the right balance.

On sustainable finance, Vietnam can mobilize green bonds and climate capital to finance its transition toward Net Zero and position the center as a regional hub for green and environmental, social, and governance (ESG) products. This is a genuine growth market, not a compliance exercise.

On AI and digital assets, the enablers matter. Startups and established institutions alike need modern data centers, known as AI factories, to train their models efficiently, along with a talent pipeline skilled in AI, blockchain, and cybersecurity. If I was to picture Vietnam ten years from now, lending would be AI-driven and available in real time, payments would be seamless and free for consumers, and financial services would be embedded invisibly into everyday platforms. Vietnam’s digitally-native population makes this future not only possible but likely.

How will the WAIFC support Vietnam’s journey toward becoming an internationally-connected financial center, and what opportunities for collaboration would you recommend between Vietnam and the global financial center community?

I have been supporting the IFC in Ho Chi Minh City and Da Nang through their Advisory Councils, because I strongly believe in their mission. When the time is right, we expect the IFC to apply for membership of our Association and become part of our family of IFCs. Membership is subject to a due diligence process and a confirmatory vote by our General Meeting. Our members support one another in their international outreach, share best practices, and connect their communities.

For Vietnam’s IFC, membership would demonstrate to international investors and partners that it is fit and proper and adheres to the highest standards. I am convinced that the IFC will not only become a valued and respected member of our Association but also rank among the world’s leading centers in innovation and investment.

-Ngoc Lan

Quang Tri eyes $3.8mln high-purity quartz materials plant

Mon, 10 Aug 2026 09:00:00 GMT

The project is expected to help the central province gradually strengthen its participation in supply chains for semiconductor materials and other high-tech industries.

Central Quang Tri province is seeking to attract high-tech materials manufacturing projects, including a proposed VND100 billion ($3.8 million) Vietnam Wafer plant producing high-purity quartz crucibles.

Vice Chairman of the provincial People’s Committee Le Duc Tien recently chaired a meeting with Vietnam Wafer JSC and Japan’s Kanematsu Corporation to discuss plans for the project and the province’s strategy for attracting building materials and high-tech materials projects.

Vietnam Wafer presented plans for its high-purity quartz crucible manufacturing plant, a component project under the second phase of the Vietnam Wafer Semiconductor Materials Manufacturing Complex.

The proposed plant would be located in Quang Ngang Industrial Park and the Southeast Quang Tri Economic Zone, covering approximately 1.5 hectares with estimated investment of VND100 billion.

The facility would manufacture high-purity quartz crucibles used in producing silicon crystal ingots for the semiconductor and photovoltaic industries, as well as high-end optical lenses.

The products require exceptionally high levels of purity and advanced manufacturing technology. The project is expected to help Quang Tri gradually strengthen its participation in supply chains for semiconductor materials and other high-tech industries.

The proposed investment is also expected to contribute to the development of a high-tech materials manufacturing ecosystem in the province and attract further investment in related industries.

-Nguyen Thuan

Moving toward net-zero ambitions

Mon, 10 Aug 2026 08:20:00 GMT

Vietnam Economic Times / VnEconomy gathered insights from policymakers, investors, international organizations, and market participants on the opportunities, challenges, and priorities shaping Vietnam’s emerging carbon market as the country moves toward its net-zero ambitions.

Professor Hoang Van Cuong, Vice Chairman of the Vietnam Economic Association.

Vietnam’s commitment to achieving net-zero emissions by 2050 is not only an international obligation but also a catalyst for transforming the country’s growth model and strengthening the competitiveness of its economy. It should be viewed as a “priority pass” that enables Vietnamese businesses to compete more effectively in global markets.

The carbon credit market should be recognized as a new driver of economic development. As green development requirements increasingly become the standard for international trade, carbon markets are emerging as a new global marketplace, generating financial resources to accelerate technological innovation and enhance business competitiveness.

Vietnam has been among the pioneering countries in implementing international climate agreements and has established the institutional framework that serves as a prerequisite for developing a carbon market. However, significant work remains to ensure the market develops sustainably, with strong accountability, transparency, and credibility in the eyes of the international community.

In particular, quality must be the cornerstone of every carbon credit project. As international requirements become more stringent, Vietnam needs to build a modern system of tools to strengthen verification capacity and ensure the transparency of emissions reduction outcomes.

Businesses and the private sector must be at the center of the green transition. Companies are the ones that develop emissions reduction projects, generate carbon credits, and directly enhance the competitiveness of Vietnam’s economy in international markets.

The development of the carbon market will require close coordination between the government, businesses, and international partners. International cooperation will continue to play a critical role. The experience, financial resources, technology, technical assistance, and advisory support provided by international organizations will help Vietnam accelerate the development of its carbon market and integrate more quickly into the global carbon trading system.

I am confident that with the government’s strong commitment, together with the support of the scientific community, international organizations, and the business sector, Vietnam will gradually build a transparent, efficient carbon market that is well integrated with international markets. Such a market will make a meaningful contribution to the country’s net-zero target by 2050 while creating a new engine of economic growth for Vietnam.

* * *

Mr. Pham Nam Hung, Representative from the Carbon Market Division at the Department of Climate Change under the Ministry of Agriculture and Environment.

Having been involved in drafting Vietnam’s legal framework on greenhouse gas emissions reduction and carbon credits, I have seen a fundamental shift in the country’s approach to carbon market governance over the past decade. We have moved from the perspective of a learner to that of a proactive market participant.

The recently-issued Decree No. 112/2026/ND-CP reflects the government’s role in creating the most flexible and business-friendly environment possible. Around ten years ago, regulations were primarily focused on administrative oversight. Today, that thinking has evolved. Carbon credit projects are now recognized as a tool for reducing emissions and delivering Vietnam’s Nationally Determined Contribution (NDC). The new policy framework provides businesses with stronger incentives and a clearer pathway to participate in the carbon market.

The legal framework has also advanced more quickly than many expected. Though the Paris Agreement was adopted in 2015, the implementation guidance for Article 6 was not finalized until COP29 in Baku, Azerbaijan, in December 2024. Even before those rules were completed, however, the government had assigned the Ministry of Natural Resources and Environment, now the Ministry of Agriculture and Environment, to lead research on policy options for managing Vietnam’s participation in carbon trading under Article 6.

Now that a relatively comprehensive legal framework is in place, the next critical step is implementation, followed by continuous evaluation and refinement. Carbon markets, particularly those operating under Article 6, remain a new area, and time will be needed to review implementation, draw lessons, and improve the system.

Vietnam also needs to adopt a long-term strategy for participating in the global carbon market. Thailand provides a useful example. Its carbon credit mechanism has already entered a high-quality phase, gaining recognition from leading international organizations and qualifying for mechanisms such as CORSIA [the Carbon Offsetting and Reduction Scheme for International Aviation]. Achieving that position required at least five years of sustained preparation and investment.

At the same time, Vietnam needs to select and standardize guidance on carbon standards, methodologies, additionality requirements, sustainability criteria, and other key technical elements so that businesses can implement projects effectively. These are two essential prerequisites for producing high-quality carbon credits.

Looking ahead, Vietnam must also strengthen implementation capacity at every level while building a larger pool of internationally-accredited validation and verification bodies, as well as qualified advisory firms, capable of independently assessing domestic carbon projects. Developing this ecosystem is essential if Vietnam is to compete on equal terms with other countries in the region and retain more of the financial value generated by carbon projects. In practice, validation and verification costs are substantial, and addressing this challenge will be critical to improving the country’s competitiveness in the years ahead.

* * *

Mr. Phan Tien Thanh, Country Business Development Manager at the Green Carbon Japan Vietnam Co., Ltd.

Green Carbon develops carbon credit projects in agriculture and forestry, with a particular focus on emissions reduction from rice cultivation. Vietnam is one of the world’s largest rice-producing countries, with more than 3.9 million ha of rice farmland. This represents a highly-promising area for emission reductions and carbon credit generation.

Based on our experience, the most important lesson from these projects is that they do far more than reduce emissions. They also deliver sustainable benefits for farmers - not only by creating additional income but also by introducing farming techniques that lower production costs, making farmers more willing to participate in projects over the long term.

Vietnam’s agriculture and forestry sectors also generate large volumes of agricultural and forestry residues. By converting these byproducts into biochar, Green Carbon is pursuing new technologies that can generate high-quality, high-value carbon credits for international trading.

One of the biggest challenges we have encountered is collecting accurate agricultural and baseline data. To address this, we have worked closely with local authorities, including provincial Departments of Agriculture, agricultural cooperatives, and commune leaders, to establish a coordinated approach to data collection and management. This not only improves data accuracy but also demonstrates the integrity of the projects.

The priority is not simply to collect data through individual projects but to establish a systematic approach to data management. Green Carbon is currently working with city and provincial Departments of Agriculture to develop digital applications and platforms for managing agricultural data.

For project developers such as Green Carbon, the top priority is to proactively attract investment from countries that have already implemented stringent emissions regulations, such as emissions trading systems (ETS) or carbon taxes. For example, Green Carbon is mobilizing overseas investment through bilateral mechanisms, including the Joint Crediting Mechanism (JCM) between Vietnam and Japan, as well as bilateral carbon cooperation mechanisms with Switzerland and Singapore. A similar mechanism with South Korea is also expected to be introduced.

We believe facilitating the transfer of carbon credits to developed countries is essential to building a strong foundation for Vietnam’s domestic emissions trading system and supporting the long-term development of the country’s carbon market.

* * *

Ms. Ramla Khalidi, UNDP Resident Representative in Vietnam.

The launch of the carbon exchange is a pivotal moment for Vietnam. It transforms the country’s ambitious net-zero commitment by 2050 from a pledge into a practical plan of action. Instead of relying only on regulations, Vietnam is creating a dynamic, market-based system that gives businesses a powerful incentive to reduce their emissions. This is a fundamental tool for driving the deep, structural changes needed to build a low-carbon economy.

This move also positions Vietnam as a leader in Southeast Asia, providing a valuable model for other nations in the region as they develop their own climate strategies. It sends a clear signal that Vietnam is serious about balancing economic growth with environmental responsibility, showing that climate action is not a barrier to development but a gateway to a more sustainable and prosperous future.

Critically, by establishing this market, Vietnam is building the foundation needed to attract international green investment and connect with global carbon markets. This will unlock new sources of climate finance, support sustainable industries, and create quality jobs for the Vietnamese people.

The immediate priority should be to ensure the market is trustworthy. This means strengthening the systems for monitoring, reporting, and verifying emissions (MRV) to guarantee that every carbon credit represents a real reduction in emissions. Clear rules and strong oversight will build confidence for everyone involved, from regulators to businesses. As the market matures, it will also be important to ensure sufficient market liquidity so that carbon pricing can effectively guide investment and emissions reduction decisions.

At the same time, we need to focus on the “supply” side of the market - the carbon credits themselves. Vietnam has enormous potential to generate high-quality credits from its forests, nature-based solutions, and circular economy and clean technology initiatives. By developing robust standards and fair benefit-sharing mechanisms, Vietnam can unlock this potential and ensure that local communities also benefit from these projects.

Looking ahead, the opportunity is to align with international standards. This will allow Vietnam to attract global climate finance and participate in international carbon trading under the Paris Agreement. By building a high-integrity market now, Vietnam can ensure its businesses remain competitive in a world that is rapidly moving toward a low-carbon future.

The UNDP is committed to supporting Vietnam every step of the way, just as we have with many other countries around the world. We bring global expertise and local knowledge to help build a market that works for Vietnam.

Our support is comprehensive. We are already providing technical assistance in designing core parts of the market infrastructure, such as the National Carbon Registry System and standards for forest-based carbon credits. We are also focused on building capacity, ensuring that both government agencies and private sector companies have the knowledge and skills they need to participate effectively.

As the market develops, we will continue to provide technical advice on regulations, linking with international markets, and implementing the frameworks required for international cooperation under Article 6 of the Paris Agreement.

A major focus for us will be helping Vietnam expand the supply of high-integrity carbon credits, especially from its forests and other nature-based solutions. We will help strengthen carbon credit methodologies, assess which projects have the greatest potential, and ensure they meet the highest standards of quality and transparency.

Ultimately, our goal is to help Vietnam build a predictable and well-governed carbon market. A strong market will not only drive down emissions but also unlock climate finance and attract the private investment needed to power Vietnam’s green transition.

Dr. Nguyen Nhat Ha Chi

Head of ESG at Dragon Capital

Every effective market rests on two fundamentals: attractive goods and a diversified ecosystem of participants.

Regarding goods, carbon allowances and credits are unlike most conventional traded assets. They are created and defined through regulatory and verification frameworks, and their market value is largely shaped by policy. Their most important price driver is not a physical supply shock but regulatory change. This is an entirely new logic for Vietnamese enterprises, and the pilot exchange is where they will absorb it: that emissions are now a cost, that reductions can become revenue, and that investment in cleaner technology is, in effect, a hedge.

The compliance mechanism shapes the participants in the same way. It requires companies to measure, report, and verify their emissions, and to incorporate carbon into their annual corporate planning. This discipline - reliable data, internal capacity, and management attention - is exactly what investors will later depend on when they assess the market.

In addition, there are some bottlenecks. On the demand side, the challenge comes from the nature of this market itself: demand for carbon is created by policy, not by consumption, and policy must strike a delicate balance between economic growth and emissions reduction. Demand will therefore build gradually, and in the meantime the market risks trading in bursts around compliance deadlines. The answer is to treat carbon as a genuinely tradable good rather than a pure compliance instrument by allowing the banking of allowances across compliance periods, developing hedging tools, and progressively widening participation beyond compliance entities.

The supply side is where the deeper bottlenecks lie: the quality of carbon credits and the transparency of emissions data.

On credit quality, the problem is simple to state: a buyer cannot easily tell whether a credit is genuine. When buyers cannot tell the difference, everyone gravitates to the cheapest credits, and honest, high-quality projects are pushed out of the market. This is exactly what happened in the global voluntary carbon market, where transactions in forest conservation credits fell sharply after several studies raised concerns that many projects may have overstated their impact.

On data transparency, the solution is more tractable because disclosure and auditing can be mandated. Encouragingly, the rules are largely in place: the national registry, mandatory emissions reporting for around 2,000 facilities, and the verification framework are all established in law. The real challenge now is not the rules but the people. Reliable data requires capable hands on both sides: enterprises that can produce it and professionals who can verify it. As reporting begins at scale, demand for both skill sets will grow quickly, calling for training, simplified templates for smaller emitters, and more accredited verifiers and intermediaries to bridge the factory floor and the trading screen.

Therefore, we need to prioritize resolving these bottlenecks. First, use the pilot period to make emissions inventories accurate and audits credible; data integrity is the foundation on which everything else stands. Second, issue the policy framework for carbon projects, including methodologies, registry rules, and verification standards, as early as possible. Carbon projects take years to develop before they generate a single tradable credit. If project developers can begin building projects during the pilot phase, a supply of high-quality domestic offsets will be ready when the carbon market moves into full operation in 2029.

Top Leader: science, technology to become new pillar of Vietnam-Australia relations

Mon, 10 Aug 2026 08:00:00 GMT

General Secretary of the Communist Party of Vietnam and State President To Lam urged the two countries to transition from cooperation to co-creation, from technology transfer to joint research and development, and from connecting individual organizations to linking their two entire innovation ecosystems.

As part of his state visit to Australia, General Secretary of the Communist Party of Vietnam and State President To Lam on August 10 attended and addressed the Vietnam–Australia Techconnect Forum.

In his remarks, Vietnam’s top leader stressed that the forum holds special significance as the Vietnam-Australia Comprehensive Strategic Partnership continues to flourish—becoming deeper, more substantive, and more effective. This is particularly true in sectors that will determine the competitiveness and prosperity of both nations in the decades to come.

From cooperation to co-creation

Developing science, technology, innovation, and high-quality human resources is not merely a choice but has become an essential requirement for Vietnam to realize its aspiration of becoming a high-income developed nation by 2045, he said.

The Party and State of Vietnam have established a new development model in which knowledge, science, technology, innovation, digital transformation, and international integration serve as the primary drivers of growth. Concurrently, Vietnam continues to refine its institutions, empower the private sector, and effectively attract international resources.

The General Secretary and President stated that Vietnam is shifting strongly from the goal of attracting investment to "cooperation for mutual development"; from receiving technology to "co-creating technology"; and from participating in value chains to gradually securing positions with higher added value within global value chains.

Stressing that Australia is a partner with numerous strengths that Vietnam highly values and wishes to walk alongside, he shared a vision for a new type of partnership—stronger, deeper, and more strategic—in the fields of science, technology, innovation, and human resource development.

He urged the two countries to transition from cooperation to co-creation, from technology transfer to joint research and development, and from connecting individual organizations to linking their two entire innovation ecosystems. The goal is to build a regional innovation ecosystem where businesses, universities, research institutes, and investment funds can connect, innovate, and grow together.

The leader proposed that the two countries develop and implement a connectivity strategy for science, technology, and innovation with a long-term vision, establishing this as a new pillar of the Comprehensive Strategic Partnership.

Party General Secretary and State President To Lam (front row, first right) and delegates visit an exhibition showcasing achievements in cooperation between Vietnam and Australia across the fields of science and technology, innovation, investment, and education. - (Photo: VNA)

He emphasized that both sides need to expand joint research programs; strengthen connections between research centers, universities, businesses, and innovation investment funds; and form cooperation networks in priority fields such as artificial intelligence (AI), semiconductors, digital technology, biotechnology, quantum technology, clean energy, strategic minerals, and the maritime economy.

Furthermore, the two nations should promote two-way investment in high-tech industries; establish research and development (RD) centers, joint laboratories, business incubation programs, and innovation projects with commercial potential; and build financial support mechanisms for joint research and risk-sharing, aiming toward co-development and co-investment.

Linking training and research with business needs

Vietnam encourages high-quality investment from Australia in the development of green financial products, digital infrastructure, data centers, and innovation hubs. Simultaneously, Vietnam seeks increased technical support and experience sharing regarding the development of the International Financial Center in the country.

The General Secretary and President proposed expanding cooperation in training high-quality human resources, particularly engineers, scientists, technology experts, and innovation managers, while encouraging the exchange of students, postgraduates, and experts between the two nations.

He noted that both sides need to closely align training and research with the actual needs of businesses. This includes promoting bilateral mechanisms and annual forums for policy dialogue, experience sharing, and fostering the "Triple Helix" model of collaboration between the State, academia, and industry.

The top leader of Vietnam expressed his confidence that with the determination of both governments and the support of the business community, universities, research institutes, and scientists, both sides will achieve new breakthroughs. This will help make the Vietnam–Australia relationship a model for cooperation in science, technology, innovation, and human resource development within the region and globally.

Speaking at the forum, Vietnamese Minister of Science and Technology Vu Hai Quan proposed that both sides concentrate resources on strategic sectors such as AI, semiconductors, cybersecurity, quantum technology, biology, clean energy, and maritime technology. He also suggested building a cooperation chain spanning from research and testing to commercialization, while connecting capital sources for innovation.

Addressing the event, Australian Assistant Minister for Foreign Affairs and Trade and Assistant Minister for Immigration Matt Thistlethwaite emphasized that science and technology lie at the heart of human progress, economic growth, and the improvement of quality of life. He also spoke highly of Vietnam’s Politburo Resolution No. 57-NQ/TW. Within the framework of the Comprehensive Strategic Partnership, both sides are seeking further ways to cooperate and invest in science, research, and innovation.

At the forum, businesses from both countries exchanged cooperation documents and announced new initiatives. On this occasion, Vietjet Aviation Joint Stock Company signed a cooperation agreement with Western Sydney International Airport, announcing the opening of a direct flight route from Ho Chi Minh City to Western Sydney International Airport starting in January 2027. This move is expected to boost the economy, investment, trade, tourism, and people-to-people exchanges between the two countries.

VnEconomy-Hà Lê

VnEconomy hosts forum on perfecting policies to boost energy sector competitiveness

Mon, 10 Aug 2026 07:20:00 GMT

Positioned as a high-level dialogue, the forum will bring together representatives from various ministries, government agencies, and industry associations, alongside prestigious domestic and international energy enterprises and organizations.

Tap chi Kinh te Viet Nam / Vietnam Economic Times / VnEconomy will host the “Perfecting Policies to Create Competitive Advantage and Promote Energy Development” forum on August 11 afternoon, at its BMC Convention Center, 11th Floor, V.E.T Building, 98 Hoang Quoc Viet, Hanoi.

Positioned as a high-level dialogue, the forum will bring together representatives from various ministries, government agencies, and industry associations, alongside prestigious domestic and international energy enterprises and organizations.

It will also feature leading experts in legal frameworks, international finance, and the oil and gas sectors. By synthesizing recommendations and pioneering policy solutions, the forum aims to optimize resources and create momentum for Vietnam's energy industry to achieve breakthroughs in a new era.

The forum focuses on the following key areas:

First, updating the international context and emerging global development trends;

Second, forecasting energy demand during the new growth phase;

Third, identifying existing institutional and policy bottlenecks and obstacles;

Fourth, perfecting the legal framework to foster a competitive investment environment;

Fifth, policies for mobilizing resources for energy development; and

Sixth, addressing the urgent need for comprehensive policy improvements in the face of a changing global landscape.

In the new development phase, Vietnam aims to maintain a high economic growth rate, striving to build a larger-scale economy with higher competitiveness and to become a developed nation by 2045. To realize this goal, ensuring a stable, secure, sustainably developed, and competitively priced energy supply has become a critical prerequisite.

Globally, the energy industry is undergoing profound shifts driven by the global energy transition, geopolitical competition, energy price volatility, the demand for greenhouse gas emission reductions, and "Net Zero" targets. Many countries are accelerating investment in new energy sources—such as LNG, hydrogen, offshore wind, renewables, energy storage systems, and carbon capture and storage (CCS/CCUS) technologies—while simultaneously restructuring policies to enhance energy independence and competitiveness.

In Vietnam, energy demand is forecast to continue rising rapidly through 2030 and beyond, alongside the processes of industrialization, urbanization, digital transformation, and the development of new economic sectors. In particular, the growth of data centers, AI, digital infrastructure, and high-tech industries will surge the demand for electricity and primary energy, requiring synchronized preparation in terms of supply, infrastructure, and institutional frameworks.

However, the development of the energy sector still faces numerous difficulties and challenges. Traditional oil and gas resources are in decline; many energy projects are experiencing implementation delays; and the legal system, mechanisms, and policies remain inconsistent. Certain regulations have not kept pace with practical requirements and are currently undergoing further research and revision.

Notably, mobilizing investment resources for energy projects—especially large-scale ventures, renewable energy, LNG, hydrogen, and transmission infrastructure—still faces many obstacles regarding financial mechanisms, investment procedures, and legal corridors.

Against this backdrop, the continued review and perfection of the policy system, the removal of institutional bottlenecks, and the creation of a transparent, stable, and highly competitive investment environment are considered vital conditions. These steps are essential to ensuring national energy security, attracting investment resources, and driving the development of the energy sector toward a modern, green, and sustainable future.

VnEconomy-

Ha Tinh approves four wind power projects

Mon, 10 Aug 2026 07:10:00 GMT

Total investment capital estimated at VND7.8 trillion ($296 million).

Authorities of central Ha Tinh Province have approved investment policies for four wind power projects with combined investment capital of more than VND7.8 trillion ($296 million), according to the provincial People's Committee.

The Ky Anh 1, Ky Anh 2, Ky Anh 3 and Ky Anh 4 wind power plants will be developed in Ky Van, Ky Lac, Ky Hoa and Ky Thuong communes, with a combined capacity of 225 MW. The projects will feature 45 wind turbines and are expected to generate approximately 591.5 million kWh annually.

Ky Anh 1, Ky Anh 2 and Ky Anh 4 will be developed by a consortium comprising TTA Vietnam Construction Investment JSC, No One Land Real Estate Investment JSC and Dat Viet Energy Investment and Services JSC. They have capacities of 65 MW, 50 MW and 60 MW, with investments of VND2.31 trillion, VND1.69 trillion and VND2.01 trillion, respectively.

Ky Anh 3, with a capacity of 50 MW and investment of VND1.8 trillion, will be developed by a four-member consortium.

The projects are scheduled to complete legal and land procedures by February 2027, with construction, equipment installation and commissioning expected to be completed within 22 months from land handover or lease.

-Nguyễn Thuấn

Australian businesses looking at trade and investment with Vietnam

Mon, 10 Aug 2026 03:10:00 GMT

Mr. Sam Conroy, President of the Australian Chamber of Commerce in Vietnam (AusCham), tells Linh Ngoc that Australian businesses continue to look at trade and investment with Vietnam but also flag certain concerns.

How has interest among Australian businesses in Vietnam changed since the two countries upgraded relations to a Comprehensive Strategic Partnership in 2024? What sectors have been experiencing the strongest wave of new investment?

The elevation of bilateral relations to a Comprehensive Strategic Partnership (CSP) in March 2024 has given Australian businesses greater confidence in the long-term direction of the relationship. It sends a strong signal that both governments are committed to deeper cooperation across trade, investment, education, innovation, energy, and sustainable development.

Mr. Sam Conroy, President of the Australian Chamber of Commerce in Vietnam (AusCham)

This momentum is reflected in the growing economic relationship. According to Australia’s Department of Foreign Affairs and Trade, two-way trade in goods and services reached A$30 billion ($21 billion) in 2025. However, total two-way investment was A$2 billion ($1.4 billion) in the same year. This contrast shows that, although trade is performing strongly, there remains considerable scope to expand investment in both directions.

AusCham has observed growing interest from Australian companies that see Vietnam not only as an export market but also as a potential base for manufacturing, services, and participation in regional supply chains. Nevertheless, publicly-available data does not yet provide a clear basis for ranking what sectors are receiving the strongest wave of new Australian investment. It is therefore more accurate to describe the principal areas of interest and opportunity.

Vietnam and Australia’s official economic strategies identify agriculture, education, tourism, energy and resources, the digital economy, professional services, science and technology, manufacturing, and skills development as sectors with strong potential. The CSP also places particular emphasis on clean energy, climate-related investment, education, innovation, digital transformation, and resilient supply chains.

However, it is important to distinguish growing interest from completed investment. Bilateral trade has developed strongly, but two-way investment remains modest relative to the size and potential of our economies. The next stage should therefore focus on converting positive sentiment and commercial enquiries into long-term, high-quality projects.

What key factors do Australian businesses prioritize and consider when investing in Vietnam?

Australian businesses generally take a long-term and risk-conscious approach to investment. Market growth is important, but it is only one part of the decision. Investors also look closely at the predictability of the regulatory environment, the consistency of implementation across different authorities, and the transparency and efficiency of administrative procedures.

The availability of skilled employees is another major consideration. As Vietnam moves into more technology-intensive and higher-value industries, investors need access to people with strong technical, managerial, digital, and English-language capabilities.

Infrastructure is equally important, particularly the reliability of electricity supply, transport and logistics networks, industrial facilities, and digital connectivity. Australian companies also assess the strength of potential local partners and suppliers, the protection of intellectual property, tax and customs arrangements, and the ability to meet environmental, social, and governance (ESG) requirements.

Ultimately, investors need confidence that they can establish and expand their operations within a stable, transparent, and commercially-sustainable environment.

How would you assess the potential for cooperation between businesses of the two countries in the time ahead? What sectors will be focused on?

The potential is significant, because the two economies are highly complementary.

Australia has internationally-recognized capabilities in education, resources, energy, agriculture, infrastructure, logistics, technology, and professional services. Vietnam offers a large and growing domestic market, a dynamic workforce, strong manufacturing capacity, and access to regional and global supply chains. Combining these strengths can create partnerships that go beyond traditional buyer-and-seller relationships.

Clean energy and the energy transition will be a particularly important area. Australia can contribute expertise in renewable energy, energy storage, critical minerals, mining technology, project development, and sustainable financing. Agriculture and food processing also offer substantial opportunities. Cooperation can help improve productivity, food safety, traceability, climate resilience, and access to international markets.

Education and skills development will remain central to the relationship, especially in areas such as semiconductors, renewable energy, digital technology, logistics, healthcare, and advanced manufacturing. Australian institutions can work with Vietnamese universities, vocational colleges, and businesses to design programs that respond directly to industry requirements.

We also expect greater cooperation in digital transformation, innovation, transport and logistics, advanced manufacturing, infrastructure, and professional services. These are areas in which Australian expertise can support Vietnam’s development ambitions while creating sustainable commercial opportunities for both countries.

Besides the opportunities, what are the challenges for Australian businesses doing business in Vietnam?

Like every fast-growing market, Vietnam presents both opportunities and challenges. Australian businesses frequently highlight the need for greater regulatory clarity and consistency. Differences in the interpretation or implementation of regulations between central and local authorities can create uncertainty, particularly in relation to licensing, taxation, customs, land, construction, and project approvals.

Lengthy administrative processes can affect project timelines and increase costs. For major investments in infrastructure, manufacturing, or energy, the availability of suitable land, reliable electricity, and supporting infrastructure is also a critical consideration.

Skills shortages are emerging in several high-growth sectors. Vietnam has a young and capable workforce, but further investment in technical education, management capabilities, and industry-linked training will be necessary as the economy moves toward more sophisticated activities.

There are also broader challenges arising from global economic uncertainty, supply chain disruptions, changing trade measures, and increasingly-demanding sustainability standards. Businesses must manage these issues while adapting to evolving regulations on data, cybersecurity, environmental compliance, and carbon emissions.

These challenges are manageable, but addressing them will require continuous dialogue between government, businesses, and industry associations. AusCham is committed to supporting that dialogue and helping Australian companies navigate the market successfully.

- In the context of the restructuring of global supply chains, Vietnam is considered an important destination for many international investors. In your opinion, what should it do to not only attract new capital but also become a higher-value link in the supply chains of Australian businesses?

Vietnam should focus on increasing the amount of domestic value, knowledge, and innovation generated through foreign investment, rather than assessing success primarily by the volume of registered capital.

An important step would be to strengthen connections between foreign-invested enterprises (FIEs) and Vietnamese suppliers. The World Bank reports that FIEs account for 73 per cent of Vietnam’s exports, while the participation of local businesses in global supply chains declined from 35 per cent in 2009 to 18 per cent in 2023. Supplier-development programs, access to supply chain finance, and support for Vietnamese companies to obtain international certifications would help close this gap.

Vietnam can also encourage investors to locate more high-value functions in the country, including RD, engineering, product design, digital services, and regional management. Stronger intellectual property protection and closer cooperation between businesses, universities, and research institutions would support this transition.

Skills development must accompany this process. Greater investment in STEM (Science, Technology, Engineering, and Mathematics) education, vocational training, and industry-academia partnerships would help Vietnam meet demand for higher-skilled workers and move beyond activities based mainly on labor cost.

Finally, access to reliable low-carbon energy will become increasingly important. Australian and other international businesses are under growing pressure to measure and reduce emissions across their supply chains. Vietnam’s ability to provide renewable energy, credible carbon data, and internationally-recognized environmental standards will therefore influence future investment decisions.

By developing capable domestic suppliers, higher-skilled workers, stronger innovation systems, and cleaner production, Vietnam can attract investment that delivers greater and more lasting value to its economy.

HCMC K-Brand Expo 2026 focusing on technology and AI

Mon, 10 Aug 2026 02:00:00 GMT

The expo aims to provide a comprehensive platform for business cooperation and investment between Vietnam and the Republic of Korea.

The HCMC K-Brand Expo 2026 is scheduled to take place from August 27 to 29 in Ho Chi Minh City, marking the fifth year of the program connecting Vietnamese and South Korean businesses and innovation ecosystems.

The event is expected to feature nearly 200 booths from businesses representing 18 major industrial cities of the Republic of Korea, with technology and artificial intelligence (AI) accounting for more than 40% of the exhibition space.

Organisers said at a press conference on August 7 that this year’s expo will place technology at the center of the program for the first time, surpassing traditional consumer sectors such as food, cosmetics and household goods.

Six key technology groups will be showcased, including applied AI, digital healthcare and medical devices, energy and climate technology, smart manufacturing, smart cities and educational technology. The organisers said these areas reflect global technology trends while opening up new opportunities for cooperation between Vietnamese and Korean businesses.

Organised by South Korea’s Ministry of SMEs and Startups (MSS), the Ho Chi Minh City Department of Science and Technology and several Vietnamese-Korean innovation organisations, the expo aims to provide a comprehensive platform for business cooperation and investment.

Launched in 2022, the program has attracted more than 600 Korean startups and businesses, over 30,600 visitors and more than 5,020 business-matching sessions through four editions since.

-Quoc Khanh

Vietnam International Seafood Exhibition set to open in HCM City

Mon, 10 Aug 2026 01:25:00 GMT

Companies from 17 countries and territories will showcase seafood materials, technologies and solutions at the event.

The 2026 Vietnam International Seafood Exhibition (Vietfish 2026), themed “Innovation – Sustainability,” will take place from August 19 to 21 in Ho Chi Minh City, organised by the Vietnam Association of Seafood Exporters and Producers (VASEP).

The exhibition will feature 568 booths operated by 335 businesses across more than 14,000 sq.m. Companies from 17 countries and territories, including Norway, Turkey, Indonesia, the Republic of Korea and the US, will showcase seafood materials, technologies and solutions.

A highlight of Vietfish 2026 is the debut of its Hosted Buyer programme, which will bring key international buyers to the event to strengthen business matching, expand markets and promote cooperation between Vietnamese seafood companies and overseas partners.

The event is expected to further strengthen Vietnam’s seafood industry connections with global markets while promoting innovation and sustainable development across the sector.

In the first seven months of 2026, Vietnam’s seafood exports reached $6.78 billion, up 11.5% year-on-year.

-Van Nguyen

Vietnamese businesses gain confidence, look to ASEAN for growth and supply chain expansion

Mon, 10 Aug 2026 01:00:00 GMT

85% of Vietnamese businesses reported positive business sentiment, up sharply from 48% in 2025, according to UOB’s Business Outlook 2026 study.

Business confidence among Vietnamese companies is improving as they expand supply chains and overseas operations, with ASEAN emerging as a preferred destination for growth, according to UOB’s Business Outlook 2026 study.

The survey found that 85% of Vietnamese businesses reported positive business sentiment, up sharply from 48% in 2025. More than 90% expect business performance to improve in 2026, while revenues are forecast to continue rising through 2027–2028.

However, tariff fluctuations and geopolitical tensions remain major challenges. Nearly half of the surveyed businesses said these factors had increased their operating costs, prompting them to improve efficiency, control expenses and accelerate sustainable transformation.

To strengthen resilience, four in five businesses plan to expand their supplier networks this year. More than half intend to increase sourcing from ASEAN, while others will focus on domestic suppliers.

The nearshoring trend is also gaining momentum. About one-third of businesses plan to establish or expand production domestically, while 43% are considering expanding into other ASEAN markets, further strengthening the region’s role as a manufacturing and supply chain hub.

Meanwhile, international expansion is accelerating. Seven in 10 Vietnamese businesses expanded overseas in 2025, while nine in 10 plan to do so over the next three years. About 80% also plan to invest overseas within the next two years, with average investment exceeding $28 million.

The survey covered 226 large and medium-sized Vietnamese businesses as part of UOB’s study across seven markets, including Singapore, Indonesia, Malaysia, Thailand, Vietnam, mainland China and Hong Kong (China).

-Minh Huy

Vietnam’s carbon credit market needs clearer rules and stronger infrastructure

Sun, 09 Aug 2026 23:10:00 GMT

Vietnam’s carbon credit market is gaining momentum but businesses believe clearer rules and stronger market infrastructure are needed to unlock its full potential.

Many Vietnamese businesses have yet to prioritize carbon credits, while awareness of how carbon markets operate remains limited. Combined with an incomplete legal framework and gaps in measurement, reporting, and verification (MRV) systems, these challenges continue to discourage companies from entering the market.

Experts say Vietnam must move quickly to finalize its regulatory framework, issue clear implementation guidelines, strengthen international cooperation, and improve corporate readiness if it is to convert its carbon reduction potential into commercial value.

Untapped potential

From the perspective of a company that has supported Vietnamese project developers since the early days of the carbon market, Mr. Nguyen Tien Hai, Technical Director at the Vietnam Energy and Environment Consultancy JSC (VNEEC), said domestic businesses, including project owners, consultants, and brokers, have built considerable expertise in developing carbon credit projects under both voluntary and compliance mechanisms.

Vietnam successfully registered its first project under the Clean Development Mechanism (CDM) in 2006. Over the 20 years since, the country has registered more than 270 carbon credit projects through the mechanism, but only around 30 per cent, or some 80 projects, ultimately completed the issuance process and sold credits on the international market, generating actual revenue for project developers and participating stakeholders.

The market experienced a sharp downturn after 2012 as carbon prices collapsed under the CDM. From 2013 onward, however, the voluntary carbon market expanded rapidly, and Vietnamese businesses were quick to participate under leading international standards, including the Gold Standard (GS), Verra’s Verified Carbon Standard (VCS), and, more recently, the Global Carbon Council (GCC).

Commercial performance has been significantly stronger in the voluntary market. More than 70 per cent of the roughly 150 voluntary projects successfully registered in Vietnam have issued and sold carbon credits to international buyers, demonstrating considerably higher commercial success than projects developed under the CDM.

“The experience accumulated over the past 20 years is one of the greatest strengths of Vietnamese businesses,” Mr. Hai said. “Vietnamese consultants, brokers, and project developers are no longer unfamiliar with the technical terminology or the rigorous international validation and verification processes required by the market.”

Despite this progress, Mr. Hai noted that Vietnam’s project pipeline remains modest when compared with major carbon market countries such as China, India, and Brazil. He added that the number of registered projects also falls far short of Vietnam’s own greenhouse gas mitigation potential.

Experts believe Vietnam possesses abundant opportunities to generate high-quality emissions reductions across renewable energy, waste management, low-emissions agriculture, including methane reduction from rice cultivation, forest conservation, green transportation, and industrial production. These sectors have the capacity to produce a substantial volume of carbon credits that could become tradable assets in domestic and international carbon markets.

Many businesses are also beginning to view emission reductions differently. Rather than treating decarbonization solely as a compliance cost, companies are increasingly recognizing it as a strategic investment capable of strengthening long-term competitiveness.

Among the companies leading this shift is Vingroup, whose systematic preparation offers a practical example of how businesses can build the infrastructure needed to participate in future carbon markets.

Mr. Tran Ky Anh, Carbon Credit Transaction Manager at Vingroup, said green growth and sustainable development have become long-term strategic priorities backed by coordinated investments. The group has built an integrated electric mobility ecosystem centered around VinFast, supported by affiliated businesses including V-Green, which develops charging infrastructure, Xanh SM, which provides green transportation services, and VinBus.

More recently, Vingroup has expanded into renewable energy and high-speed rail infrastructure. According to Mr. Ky Anh, these investments not only help reduce emissions across the economy but also create substantial opportunities for future carbon credit generation.

In the future, more countries are expected to participate in the international carbon market. The broader the network of partner countries, the greater the opportunities for Vietnamese businesses to access climate finance, technology, and international markets, thereby accelerating emission reductions and supporting the country’s net-zero ambitions.

Mr. Tran Ky Anh, Carbon Credit Transaction Manager at Vingroup

“To prepare for the carbon market, Vingroup considers emissions data governance and MRV systems to be fundamental capabilities,” Mr. Ky Anh said. “We invested in data infrastructure from the earliest stages of project development. At V-Green, every charging station is equipped with smart meters connected to a centralized platform that records and stores charging session data in real time to support MRV in accordance with international standards.”

The company has also invested in building internal expertise in greenhouse gas accounting, carbon project development, and monitoring global carbon policy developments. Together, these investments in strategy, digital infrastructure, MRV capability, and human resources have positioned the group to participate confidently as carbon markets continue to evolve.

Persistent barriers

Despite Vietnam’s strong technical potential and growing experience, many businesses continue to face structural barriers that prevent them from participating more actively in international carbon markets.

According to Mr. Hai, the CDM demonstrated that the biggest obstacle was not technical project development but access to buyers. Many Vietnamese developers struggled to connect with credible international purchasers, which explains why only around 30 per cent of CDM projects ultimately generated revenue despite successfully completing project development and registration.

The commercial failure of many projects imposed significant financial costs on developers that had already invested in project preparation, registration, and credit issuance. More importantly, it weakened confidence in the market and discouraged further investment.

Another challenge is the lack of early planning. Carbon credits are subject to the principle of additionality, meaning the potential to generate carbon credits must be considered and documented from the earliest stages of project planning and investment.

Many Vietnamese businesses only begin exploring carbon credits after seeing neighboring projects generate profits. By that point, projects are often already operating commercially or equipment procurement has been completed, leaving developers without evidence that carbon revenue influenced investment decisions. As a result, many projects fail to meet the eligibility requirements for carbon credit registration.

Experts also pointed to weaknesses in MRV implementation. Registering a carbon project and completing the required validation and MRV processes is a lengthy undertaking that requires substantial upfront investment and consistent compliance over many years.

Many businesses underestimate the time and financial commitment required to maintain MRV obligations. Others discontinue projects before completing periodic verification requirements, preventing carbon credits from being successfully issued.

At the same time, international carbon markets are undergoing a fundamental transformation. The market has shifted away from low-cost credits toward high-integrity credits, with buyers demanding stricter standards for additionality, permanence, avoidance of double counting, transparent ownership, and measurable contributions to sustainable development. Without systematic preparation, experts warned, many businesses will struggle to meet these increasingly rigorous requirements.

Institutional support

Speakers at the session roundtable agreed that corporate efforts alone will not be enough to unlock Vietnam’s carbon market potential. Turning emissions reductions into tangible economic value will require stronger institutional support and an operational regulatory framework.

Compared with major carbon market countries such as China, India, and Brazil, the number of carbon credit projects successfully registered in Vietnam over the past 20 years remains modest. Given Vietnam’s own emissions reduction potential, the country still has substantial untapped opportunities to develop projects capable of generating high-quality greenhouse gas emissions reductions.

Mr. Nguyen Tien Hai, Technical Director at the Vietnam Energy and Environment Consultancy JSC (VNEEC)

Mr. Ky Anh said the highest priority is ensuring that regulations governing international carbon credit transactions under Decree No. 112 are fully implemented in practice. This includes establishing workable procedures for project registration and issuing letters of approval for international transfers under Article 6 of the Paris Agreement.

He also called for detailed guidance on implementing the Decree. Vietnam already has a considerable number of projects that meet international standards and are ready to participate in carbon markets, but developers need greater regulatory certainty before moving forward. Vingroup hopes the Article 6 implementation agreement between Vietnam and Singapore will enter into force soon. Such an agreement would allow Vietnamese projects to access growing international demand for high-quality carbon credits while creating the country’s first international transactions.

Mr. Hai agreed that Vietnamese businesses already possess the technical experience, capable workforce, and initiative needed to develop carbon credit projects. What they now need, he continued, is a complete legal framework together with the institutional infrastructure required to register and issue carbon credits efficiently.

He also suggested that the government could support businesses by developing baseline methodologies for certain types of projects.

-Song Ha

Quang Tri province attracts $1.05bln in investment capital in 7M

Sun, 09 Aug 2026 23:00:00 GMT

The central province's authorities have approved investment policies for 41 projects in the first seven months of 2026.

Investment attraction emerged as a key highlight of central Quang Tri province in the first seven months of 2026 with investment policies approved for 41 new projects with a combined registered capital of over VND27.55 trillion ($1.05 billion), according to the provincial People’s Committee.

Industrial production also maintained strong growth in the period, with the Index of Industrial Production (IIP) rising 11.4% year-on-year, reflecting a continued recovery in the manufacturing sector.

Meanwhile, trade, services and tourism sustained positive momentum. Total retail sales of goods increased 11.8% from a year earlier, while import-export turnover exceeded $1.6 billion, up 3.5%.

Tourism remained a bright spot, with more than 7.4 million visitors arriving in the province during the period, an increase of over 13% year-on-year. Tourism revenue was estimated at more than VND8.56 trillion.

-Nguyễn Thuấn

Vietnam faces challenges from internationally transferred mitigation outcomes

Sun, 09 Aug 2026 10:00:00 GMT

Vietnam is well placed to bring ITMOs to global markets but must tackle a host of technical and institutional challenges.

The rapid expansion of the global carbon market is creating new opportunities for Vietnam to attract green investment, accelerate technology transfer, and enhance the competitiveness of its economy. Domestically, the country has taken a significant step forward by strengthening its legal framework with the issuance of Decree No. 112/2026/ND-CP on the international transfer of greenhouse gas emission reduction outcomes and carbon credits.

“Vietnam’s progress across every aspect of the energy transition since COP26 has been truly remarkable,” said Mr. John Robert Cotton, Deputy Director of the Southeast Asia Energy Transition Partnership at the United Nations Office for Project Services (ETP-UNOPS). He added that the well-structured roadmap, from the Emissions Trading System (ETS) and Carbon Trading Exchange (CTX) to Decree No. 112, has created tremendous confidence among international investors that Vietnam is ready for capital deployment. “This represents an enormous macro-economic and micro-economic financing opportunity for the country,” he believes.

Yet turning policy into a functioning market remains a complex undertaking. To bring Internationally Transferred Mitigation Outcomes (ITMOs) to global markets, Vietnam must address a range of technical and institutional challenges.

From framework to execution

Despite its firm determination, Vietnam’s carbon market still faces several procedural and technical bottlenecks. Mr. Axel Michaelowa, Senior Founding Partner of the Perspectives Climate Group, said one of the biggest challenges lies in the country’s multi-layered governance structure. With numerous ministries and agencies involved in project approval, overlapping responsibilities could slow decision-making and lengthen administrative procedures.

Another challenge concerns risk management and the share of credits retained by the government. Mr. Michaelowa noted that reserving 50 per cent of emission reductions to prevent overselling is a prudent safeguard. However, applying the same 50 per cent retention rate across all sectors, including industries where emissions reductions are particularly costly, could drive credit prices above market levels, undermining project viability and discouraging investment.

Compliance with the reporting requirements under Article 6.2 of the Paris Agreement also presents significant hurdles. Even the 13 countries that have already undergone international technical reviews have all been found to have substantial reporting deficiencies.

Mr. Kazuhisa Koakutsu, Director of the Paris Agreement Article 6 Implementation Partnership Center, said Vietnam has already laid important legal foundations through Decree No. 112, which establishes domestic rules covering Articles 6.2 and 6.4 of the Paris Agreement as well as independent carbon standards. The Decree also provides detailed provisions governing the authorization and allocation of ITMOs.

Vietnam should use the methodologies established under the Paris Agreement’s Article 6.4 mechanism as its foundation. Aligning with UN standards will not only ensure transparency in carbon accounting but also make Vietnamese carbon credits more readily accepted in demanding markets such as Europe.

Mr. Gilles Dufrasne, Policy Expert at the Task Force for International Carbon Pricing and Markets under the European Commission’s Directorate-General for Climate Action (DG CLIMA)

The next challenge, he said, is ensuring these domestic rules are harmonized with bilateral mechanisms such as the Joint Crediting Mechanism (JCM) and agreements Vietnam has signed with countries including Japan and Singapore.

From the private sector’s perspective, Ms. Roxanne Tan, Senior Managing Consultant at South Pole AG, warned that cost uncertainty remains a major obstacle. “Measurement, reporting, and verification (MRV) requirements involve significant costs and substantial effort from project developers,” she said. “Without clarity on fees for Corresponding Adjustments or compliance costs associated with MRV, companies cannot complete their financial models. Without that information, projects can easily stall.”

Building trust through standards

To help Vietnam overcome those challenges, international experts emphasized two essential lessons: maintaining trust through market integrity and adopting standardized methodologies.

Representing the UK at the “Promoting Cooperation on Internationally Transferred Mitigation Outcomes Towards the Implementation of National Corporate Emission Reduction Commitments” forum on July 23, as both a potential buyer and investor, Mr. Fergus McBean, First Secretary for Climate and Nature at the Embassy of the UK in Vietnam, said the most important issue today is confidence in the transparency and integrity of carbon credits. The UK Government’s principles for high-integrity voluntary carbon and nature markets stress that carbon credits must deliver genuine, measurable, and verifiable climate benefits.

From the EU’s perspective, Mr. Gilles Dufrasne, Policy Expert at the Task Force for International Carbon Pricing and Markets under the European Commission’s Directorate-General for Climate Action (DG CLIMA), said the EU is developing a legal framework to integrate ITMOs into both its internal market and its Nationally Determined Contribution (NDC) framework as part of its 2040 climate strategy.

The EU already has strategic guidance through the European Climate Law, which establishes the bloc’s overall emissions reduction targets through 2040 and outlines the criteria for incorporating Article 6 credits into the EU market. The framework provides clear priorities for future credit purchases, ensuring projects align with the objectives of the Paris Agreement and help both the EU and partner countries remain on track to meet their climate commitments.

As the EU finalizes its framework for integrating Article 6 credits during the 2030-2040 period, Mr. Dufrasne advised Vietnam to avoid adopting too many fragmented voluntary standards. Instead, he recommended aligning with internationally-recognized common standards to maximize market access.

Japan, meanwhile, offered practical lessons from 13 years of implementing the Joint Crediting Mechanism (JCM) in Vietnam. Mr. Koakutsu said the most important factor in building private sector confidence has been the government’s ability to authorize projects and deliver tangible results.

For a market to function, he explained, it must first generate real products, in this case ITMOs. But producing ITMOs requires one indispensable first step: government authorization. Following the completion of detailed Article 6 rules at the Baku climate conference, many countries are now building legal frameworks centered on authorization procedures. In Vietnam, Decree 112 serves as the legal basis governing how ITMOs will be authorized.

Vietnam’s competitive edge

Though the technical challenges remain substantial, experts believe Vietnam holds significant competitive advantages over many neighboring countries in its ambition to become one of Asia’s leading carbon trading hubs.

When the ETP convenes regional forums bringing together Vietnam, Indonesia, the Philippines, Thailand, and Singapore, Vietnam’s delegation consistently stands out as a leader. Vietnam is moving significantly faster than many of its regional peers. The lesson it offers the region is a simple but effective strategy: set clear goals, develop a concrete roadmap, and execute it decisively with the full commitment of government and stakeholders.

Mr. John Robert Cotton, Deputy Director of the Southeast Asia Energy Transition Partnership at the United Nations Office for Project Services (ETP-UNOPS)

One key advantage is strong government support. Ms. Tan said close coordination between the Ministry of Agriculture and Environment (MAE) and other relevant ministries will be essential to resolve implementation issues and translate policy into practice. International buyers are closely watching Vietnam’s next steps and are looking for clearer guidance on how the new regulations will operate in practice.

Unlike many countries whose mitigation potential is concentrated in only one or two sectors, Mr. Michaelowa said Vietnam possesses opportunities across five to ten different industries, including renewable energy, forestry, low-carbon agriculture, such as the government’s 1-million-ha high-quality rice initiative, and waste treatment technologies.

Vietnam also enjoys a unique advantage through its pool of domestic experts with more than two decades of experience under the Clean Development Mechanism (CDM). This workforce has deep expertise in baseline methodologies and MRV systems, allowing the country to develop projects independently without relying heavily on costly international consultants.

Among these sectors, forestry stands out as particularly promising. As a partner in the Lowering Emissions by Accelerating Forest Finance (LEAF) Coalition, the UK Government has been working closely with the MAE. “We are very hopeful that Vietnam will take another major step forward on forest carbon credit mechanisms next month,” Mr. McBean said. “That would be a significant achievement and an opportunity to demonstrate the integrity of Vietnam’s carbon products. Vietnam certainly does not lack ambition. The challenge is maintaining this momentum and seizing the opportunity at the right moment.”

The “Promoting Cooperation on Internationally Transferred Mitigation Outcomes Towards the Implementation of National and Corporate Emission Reduction Commitments” forum was organized on July 23 by the Department of Climate Change at the Ministry of Agriculture and Environment in collaboration with the Southeast Asia Energy Transition Partnership (ETP) at the United Nations Office for Project Services (UNOPS), and the Vietnam Economic Association. During the session entitled “Opportunities to link Vietnam with international carbon markets,” experts touched on international regulations, demand trends, expectations of donors/buyers, quality requirements for ITMOs from Vietnam, and key considerations for entering into the international carbon market.

-LINH NGOC

Interest in carbon markets is rising

Sun, 09 Aug 2026 06:40:00 GMT

Businesses have begun to take note of the many options and benefits available now that Vietnam is officially piloting a carbon market.

After many years of preparation, Vietnam officially launched its domestic carbon exchange on June 29, marking the country’s first formal carbon pricing mechanism and transforming emissions allowances and verified emission reductions into tradable assets. The exchange allows trading of greenhouse gas emissions allowances and carbon credits.

Though the market will remain in a pilot phase through the end of 2028, many businesses view early participation as more than a compliance requirement. They see it as an opportunity to build competitiveness in a low-carbon economy that is rapidly taking shape.

New rulebook for businesses

In the initial phase, the government allocated more than 511 million metric tons of CO2 equivalent emissions allowances to three major emitting industries - thermal power, steel, and cement - for the 2025-2026 period. A total of 92 companies, covering 110 facilities, received the first allocation of emissions allowances, creating the initial supply for Vietnam’s carbon market. Under the regulations, companies that exceed their emissions limits must purchase allowances from businesses with surplus allocations or buy carbon credits to offset emissions, with offsets capped at 30 per cent of the allowances allocated to each facility.

As one of the first companies to complete a transaction immediately after the exchange opened, AES Vietnam described the milestone as extending well beyond a routine commercial trade. According to Mr. Olivier Marquette, President of AES Vietnam, the carbon market establishes a price signal for emissions. Once carbon carries a price, companies can make informed economic decisions about whether to invest in emission reduction technologies or purchase carbon credits to offset remaining emissions. Rather than relying solely on administrative mandates, the market mechanism allows businesses to pursue the most cost-effective option.

For AES Vietnam, participating from the first day also provides valuable operational experience. Although the group has participated in carbon markets across Europe and other countries for many years, it still needs to become familiar with Vietnam’s trading mechanisms, transaction procedures, and market infrastructure.

Under the current roadmap, Vietnam’s carbon market will remain in a pilot phase through 2028 before full-scale operations begin in 2029. During this pilot period, participating companies will not be charged exchange service fees, giving both regulators and market participants time to refine the system and gain practical experience.

The important thing is not simply completing a transaction, but understanding how the market works. We wanted to participate from Day 1 to gain practical experience and prepare for the market’s next stage of development after 2029.

Mr. Olivier Marquette President of AES Vietnam

Mr. Marquette said the financial impact is likely to remain limited during the early years because trading volumes will be relatively small. Over the longer term, however, carbon is expected to become a meaningful production cost.

Beyond carbon trading

While many businesses still view the carbon market primarily as a compliance tool, experts argue that the greatest value of carbon credits lies in their ability to unlock access to green finance.

Dr. Nguyen Phuong Nam, Founder and CEO of climate innovation consultancy Klinova, said many businesses continue to regard carbon credits as a new source of revenue. “However, revenue from carbon credits should be viewed as supplementary financing that companies can reinvest in further emission reductions, rather than as the primary objective,” he advised.

Green transformation requires substantial capital. To attract international green funds and sustainable finance, Dr. Nam believes companies must develop high-quality projects, adopt transparent business models, and demonstrate measurable emission reductions. In this context, generating carbon credits does more than create an additional revenue stream. It also provides evidence that a company is implementing internationally-recognized emission reduction projects.

He explained that projects seeking carbon credits must undergo rigorous measurement, reporting, and verification (MRV) processes. These requirements significantly reduce risk for financial institutions assessing potential investments. “The ability to generate and trade carbon credits also serves as an indirect demonstration of a company’s capacity for green transformation,” he said. “That gives investors greater confidence and increases their willingness to finance green projects.”

Ms. Nguyen Thuy Vi, Project Manager at Green Carbon Japan, said the company’s goal is not to maximize the volume of credits issued at any cost, but to ensure that every credit meets high standards of transparency and quality. “We always prioritize producing clean, transparent carbon credits that meet international standards,” she said. “That is why every stage, from emissions accounting to validation and verification, is conducted under strict procedures.”

The initial allocation of emissions allowances is relatively large, she continued, but still represents only a portion of businesses’ long-term needs. More importantly, the system encourages companies to invest in emission reduction measures, while carbon credits serve as a complementary tool to balance emissions and meet regulatory obligations.

Green Carbon Japan expects domestic demand to grow rapidly over the years to come as more companies receive emissions caps and seek carbon credits to comply with regulations. Alongside exporting credits, the company also hopes the domestic market will develop sufficient liquidity to become an important outlet for carbon credits generated in Vietnam.

Toward international integration

The launch of the carbon exchange is intended not only to facilitate domestic trading but also to lay the foundation for Vietnam’s gradual integration with global carbon markets. To achieve that goal, Ms. Vi said Vietnam’s regulatory framework must closely align with international standards.

In the long term, businesses need to view the carbon market as part of a broader strategy to strengthen their competitive advantage, rather than simply as a platform for trading carbon credits.

Dr. Nguyen Phuong Nam Founder and CEO of Klinova

Beyond serving domestic demand, Vietnam needs to prepare for eventual connections with established markets such as Japan and the EU, where carbon trading systems and credit quality standards are already well developed. Each market has its own rules governing credit quality, trading mechanisms, compliance costs, and penalties for exceeding emissions limits - experience that Vietnam can draw on as it refines its own system.

Green Carbon Japan has already launched 15 projects across multiple localities to build a sufficiently large portfolio of carbon credits for international markets. The projects target not only the Vietnam-Japan Joint Crediting Mechanism (JCM) but also opportunities under Article 6.2 of the Paris Agreement.

The company believes Vietnam’s domestic carbon market should be viewed as a starting point for local businesses to gain practical experience while creating conditions that encourage international companies to participate. To support that ambition, Vietnam will need to establish mechanisms for recognizing and converting carbon credits between domestic and international markets, along with transparent regulations governing cross-border carbon trading. “Once these frameworks are in place, I believe Vietnam’s carbon market will have tremendous potential, not only in agriculture but across many sectors of the economy,” Ms. Vi said.

-NGOC LAN

HCM City emerges as APAC data center investment hotspot

Sun, 09 Aug 2026 05:10:00 GMT

Ho Chi Minh City, with a total data centre supply of 68 megawatts (MW), is gradually strengthening its position on the regional data centre map.

The data center market in the Asia-Pacific (APAC) region has recorded remarkable growth, with Ho Chi Minh City emerging as a new bright spot attracting growing attention from international investors.

According to the latest report by Cushman Wakefield, APAC’s data center market reached a record 26.5 gigawatts (GW) of capacity in the first half of 2026, driven by major operators and the rapid expansion of artificial intelligence (AI) platforms. Southeast Asia, particularly Malaysia and Thailand, accounted for about 50% of capacity under construction, highlighting the region’s growing appeal.

Ho Chi Minh City, with a total data centre supply of 68 megawatts (MW), is gradually strengthening its position on the regional data centre map. The city’s market has been boosted by investment from major technology companies.

In the first half of 2026, UAE-based AI company G42 signed a $1 billion framework agreement with FPT Corporation and Viet Thai Group to develop three data centres in Vietnam, while also participating in a $2 billion hyperscale AI data centre project in Ho Chi Minh City.

Meanwhile, Sembcorp, through its StarMason joint venture with BB Holdings, received approval for a 90MW data centre project in the city.

The International Finance Corporation (IFC) has also announced plans to invest up to $3 billion in Vietnam, including digital infrastructure, further underscoring international confidence in the country’s digital economy.

-Phạm Vinh

Learning experience from other carbon markets

Sun, 09 Aug 2026 02:40:00 GMT

Having begun a piloted carbon exchange, Vietnam can look to the experience of others in determining what may lie ahead.

The history of carbon exchanges is closely tied to the development of the global carbon market, beginning with pioneering carbon finance initiatives in the late 1980s. The first major milestone came with the adoption of the Kyoto Protocol in 1997, which established the Clean Development Mechanism (CDM), providing the legal foundation for trading emission reduction credits internationally.

Taking shape

The 2003-2005 period marked the birth of the world’s first carbon exchanges. In 2003, the Chicago Climate Exchange (CCX) was launched in the US. The most significant milestone followed in 2005, when the EU Emissions Trading System (EU ETS) officially began operations. As the world’s first multinational emissions trading system, it remains the oldest and largest compliance carbon market.

Throughout 2005, a series of European exchanges were established to support the EU ETS. Nord Pool was among the first, launching in the Nordic region in February 2005, followed by Germany’s European Energy Exchange (EEX), the European Climate Exchange (ECX) in Amsterdam, and platforms including Climex, Powernext, and EXAA. These exchanges offered products ranging from spot transactions to futures contracts, creating the world’s first dedicated carbon trading infrastructure.

From 2013 to 2014, China launched pilot carbon trading programs in seven jurisdictions before officially introducing its national carbon market in 2021. In South Korea, the Korea Exchange (KRX) has operated the trading platform for the Korea Emissions Trading Scheme (K-ETS) since 2015.

In the voluntary carbon market, Singapore’s Climate Impact X (CIX) began trading carbon credits in June 2023. Malaysia’s Bursa Carbon Exchange (BCX) was launched by Bursa Malaysia in December 2022, while Japan introduced the J-Credit exchange on the Tokyo Stock Exchange in October 2023.

In Vietnam, the country’s carbon exchange was officially launched on June 29, 2026, at the Hanoi Stock Exchange (HNX).

The 2020s have marked the maturation of carbon markets, driven by three key trends: the adoption of digital technologies such as blockchain and AI to improve transparency and reduce costs; greater cross-border connectivity between exchanges; and increasing integration between compliance and voluntary carbon markets.

According to the ICAP 2026 report, 41 ETSs were in operation worldwide in 2026, covering 26 per cent of global greenhouse gas emissions, with another 16 systems under development.

South Korea: A decade of evolution

As East Asia’s first mandatory emissions trading system, K-ETS has evolved over the past decade from a thinly-traded market into one of the world’s leading carbon markets, offering valuable lessons for emerging exchanges.

Launched in 2015, K-ETS initially covered over 600 companies across eight major industries, representing about 73.5 per cent of South Korea’s greenhouse gas emissions. Its early years, however, were marked by low liquidity and limited trading experience.

The government began reforming the system in 2018 by introducing auctions for 3 per cent of allowances and gradually shifting allocations toward benchmarking. A major turning point came in April 2020, when financial institutions and brokerage firms were allowed into the secondary market. The first five securities firms joined as market makers, helping boost annual trading volume to nearly 90 million tons by 2023.

The market continued to mature during 2021-2025, expanding to more than 815 regulated entities while maintaining coverage of roughly 73.5 per cent of national emissions. The auction share rose to 10 per cent and banking and borrowing rules were refined to improve liquidity. Though an oversupply of allowances caused by errors in energy statistics temporarily weakened carbon prices, the government corrected the data in 2024 and introduced additional market stabilization measures.

Further reforms came with the Phase 4 Allocation Plan (2026-2030), announced in November 2025. The plan introduced the Korean Market Stability Reserve (K-MSR), modeled on the EU’s Market Stability Reserve, while gradually increasing auctioned allowances, with the power sector expected to reach a 50 per cent auction rate by 2030.

A decade on, K-ETS covers nearly 74 per cent of South Korea’s emissions and more than 815 companies, making it the world’s second-largest carbon market and a regional benchmark. Its experience shows that phased reforms, broader market participation, effective stabilization mechanisms, and a clear separation between trading and registry-settlement functions are critical to building a successful carbon exchange.

China: From pilot to powerhouse

Unlike South Korea’s nationwide rollout, China took a more gradual approach, testing regional carbon markets before launching a national system. In 2011, the National Development and Reform Commission (NDRC) approved pilot carbon markets in seven jurisdictions - Beijing, Tianjin, Shanghai, Guangdong, Shenzhen, Hubei, and Chongqing. Trading began in 2013, allowing authorities to test allocation methods, develop monitoring, reporting, and verification (MRV) systems, and build operational experience.

After nearly a decade of preparation, China’s national carbon market officially launched on July 16, 2021, through the Shanghai Environment and Energy Exchange. Initially covering about 2,200 coal-fired power companies, the market included more than 5.1 billion tons of CO2 emissions annually - roughly 9 per cent of global emissions - making it the world’s largest carbon market by emissions coverage.

Unlike the EU ETS, which operates under an absolute emissions cap, China’s system uses an emissions intensity-based approach, with allowances determined by actual production rather than a fixed cap. Companies receive 70 per cent of their allowances in advance based on the previous year’s output, with allocations later adjusted to reflect actual production.

Another defining feature is the separation of the market’s core functions. The national registry is based in Hubei, trading takes place in Shanghai, and the Ministry of Ecology and Environment oversees market administration, helping improve transparency and reduce conflicts of interest.

By 2025, the market had added the steel, cement, and aluminum sectors, increasing participation to more than 3,300 companies and covering about 60 per cent of China’s emissions.

Lessons for emerging markets

The experience of South Korea’s K-ETS and China’s national carbon market offers several lessons for newly-established carbon exchanges.

First, emerging markets often adopt emissions intensity-based allocation rather than absolute emissions caps. The approach provides greater flexibility by adjusting allowances to actual production, making it better suited to economies that have yet to reach peak emissions. Over time, allocation should also shift from grandfathering to benchmarking to strengthen incentives for emissions reductions and reduce market distortions.

A gradual transition from free allocation to auctions is equally important. Both South Korea and China began with almost entirely free allocations before steadily expanding auctions to strengthen price signals and generate public revenue. Prolonged reliance on free allocation risks weakening incentives for companies to cut emissions.

Low liquidity is another common challenge in the early stages of market development. South Korea’s experience highlights the value of broadening market participation by allowing financial institutions and securities firms into the market. Market makers have also played a key role in improving liquidity and facilitating price discovery.

Market stabilization mechanisms should be introduced early. The EU ETS has demonstrated the effectiveness of its Market Stability Reserve (MSR), while South Korea is rolling out its own K-MSR. China, by contrast, has yet to establish a comparable mechanism, contributing to relatively low carbon prices that may not sufficiently encourage emissions reduction investments.

A transparent MRV system is another cornerstone of a credible carbon market and a prerequisite for international integration. Transparent data and processes help build investor confidence, while technologies such as blockchain are expected to further improve transparency and reduce operating costs.

Finally, new carbon exchanges should be designed with international connectivity in mind. Clear rules on carbon credit ownership and export procedures can provide a competitive advantage, while mechanisms such as CORSIA (the Carbon Offsetting and Reduction Scheme for International Aviation) and Article 6 of the Paris Agreement are creating significant opportunities for countries with well-developed regulatory frameworks.

-Huy Nguyen

Leveraging trade remedies to foster sustainable growth in the chemical industry

Sun, 09 Aug 2026 02:00:00 GMT

Amidst the global trend of increasing trade defense measures, Vietnamese enterprises are not only facing investigations in foreign markets but also need to proactively and effectively use these legal tools to protect domestic production.

To promote sustainable industrial development, a synchronized coordination of various policies is required, ranging from credit and investment to sectoral development strategies. Among these, trade defense instruments play a crucial role in ensuring a fair and healthy competitive environment between domestic and imported goods.

This was emphasized by Mr. Chu Thang Trung, Deputy Director of the Trade Remedies Authority of Vietnam under the Ministry of Industry and Trade (MoIT), during a roundtable discussion titled "Effective Use of Trade Defense Instruments in Developing Industry and a Sustainable Chemical Industry" held on August 6.

Amidst the global trend of increasing trade defense measures, Vietnamese enterprises are not only facing investigations in foreign markets but also need to proactively and effectively use these legal tools to protect domestic production. Practice shows that trade defense measures are currently applied extensively in foundational industries such as steel, chemicals, and plastics, affirming their core role in protecting manufacturing sectors against unfair competition.

Highlighting the specific role of the sector, Mr. Pham Huy Nam Son, Deputy Director General of the Vietnam Chemicals Agency (MoIT), noted that the chemical industry is a foundational sector providing essential inputs for various fields, including agriculture, healthcare, electronics, mechanics, construction materials, and many other processing and manufacturing industries. Therefore, developing the chemical industry toward modernity, autonomy, and sustainability is of great significance to the nation's industrialization and modernization process.

In the context of increasingly fierce international competition and fluctuating global raw material markets, Mr. Son said, developing domestic production capacity must be implemented in tandem with policies on investment, trade, and trade defense.

The effective use of trade defense instruments not only protects foundational industries from unfair competition by imported goods but also creates space for enterprises to invest in technological innovation, improve product quality, and gradually build a more competitive chemical supply chain, he said.

Providing a specific analysis of the petrochemical industry, Mr. Wichai Techachindawong, Deputy General Director of Long Son Petrochemicals Co., Ltd. (LSP), stated that global oversupply and pressure from low-priced imports are placing significant strain on domestic projects. In this context, trade defense should be viewed as an integral component of the industrial development policy ecosystem, ensuring a level playing field so that enterprises can confidently expand their investments.

Assessing the current landscape, Mr. Trung noted that many domestic industries have recently been proactive in researching and engaging with the Trade Remedies Authority to explore the use of trade defense instruments to protect their legitimate interests. Some sectors have already begun compiling evidence and preparing dossiers to request the initiation of investigations.

Nevertheless, Mr. Trung candidly pointed out that many enterprises continue to struggle with preparing dossiers, providing the required information, and meeting the complex legal standards mandated by law.

Echoing this sentiment, Mr. Son observed that while many businesses have boldly invested in the chemical and petrochemical sectors to gradually establish domestic production capacity, many basic chemical products remain dependent on imported raw materials. This dependency, combined with intensifying competition from imports, necessitates synchronized solutions to develop local value chains.

Drawing from management experience, Mr. Son proposed strengthening linkages between raw material producers and downstream users to create integrated supply chains. He also emphasized the need to optimize early warning systems and enhance information sharing between regulatory agencies, industry associations, and businesses to promptly identify market fluctuations and apply appropriate response measures.

Mr. Vu Xuan Hung, representing the Ho Chi Minh City Branch of the Vietnam Chamber of Commerce and Industry (VCCI), highlighted that Vietnamese enterprises currently face dual pressures: responding to trade investigations from abroad while proactively utilizing defense tools to protect the domestic market.

"Many enterprises still face three major limitations: passivity in accessing information, inadequate data management and traceability, and a shortage of specialized personnel. Therefore, businesses must shift their mindset from 'reaction' to 'prevention' by proactively utilizing early warning systems and standardizing their data systems," Mr. Hung said.

Head of External Relations at AGC Chemicals Vietnam Co., Ltd., Nguyen Xuan Tho, expressed his hope that regulatory authorities will continue to support businesses by providing guidance on dossier preparation, offering market insights, and maintaining regular dialogue mechanisms to resolve obstacles and reduce the burden of costs, personnel, and time for enterprises.

VnEconomy-Song Hà

Vietnam’s pharmaceutical market hits $7 bln mark

Sun, 09 Aug 2026 01:10:00 GMT

By 2025, 67 pharmaceutical companies exported drugs and raw materials totaling approximately $312 million, placing Vietnam fourth in Southeast Asia for pharmaceutical exports

Vietnam’s pharmaceutical market has reached a scale of approximately $7 billion, with average drug consumption hitting $70 per capita—a several-fold increase compared to previous years, according to Mr. Vu Tuan Cuong, Director General of the Drug Administration of Vietnam.

Alongside this growth in scale, the country’s drug production, business, and supply systems have expanded significantly. Good Practice (GXP) standards in manufacturing, testing, storage, and distribution are being implemented with increasing depth and rigor.

Many enterprises have proactively invested in technological innovation and production capacity, gradually adopting advanced international standards and mastering various complex dosage forms.

Notably, domestically produced medicines now account for about 60% of the total volume and 46% of the total value of drugs used in the country. This reflects the domestic pharmaceutical industry’s growing capability to meet the nation’s healthcare needs.

Manufacturing capacity has also seen a clear transformation. The country currently has 245 pharmaceutical manufacturing facilities, 26 of which meet EU-GMP or equivalent standards. Several companies have successfully mastered the production of specialized and high-tech medicines, enabling their products to enter markets with strict regulatory requirements.

By 2025, 67 pharmaceutical companies exported drugs and raw materials totaling approximately $312 million, placing Vietnam fourth in Southeast Asia for pharmaceutical exports. Additionally, the technology for producing 22 brand-name (innovator) drugs has been, or is currently being, transferred from multinational pharmaceutical corporations to local manufacturers.

Vietnam currently maintains cooperation in the pharmaceutical field with 64 countries and has signed numerous Memoranda of Understanding (MoUs) at the ministerial level with nations including Russia, Belarus, Uzbekistan, South Korea, China, and North Korea. The country also maintains regular policy dialogue mechanisms with international business associations such as the US-ASEAN Business Council, AmCham, EuroCham, and InCham.

Speaking at a ceremony held recently to celebrate the 30th anniversary of the pharmaceutical sector’s establishment (August 13, 1996 – August 13, 2026), Minister of Health Dao Hong Lan emphasized that the industry is entering a new stage of development.

The National Strategy for the Development of Vietnam's Pharmaceutical Industry to 2030, with a vision to 2045, aims to elevate the sector to the level of advanced countries in the region. The strategy focuses on ensuring public access to medicine at reasonable costs while enhancing research, production, and technology transfer capabilities within the industry.

VnEconomy-Nhat Duong

Ministry proposes to raise revenue-based tax threshold to $380,000

Sun, 09 Aug 2026 01:00:00 GMT

According to the proposal, household and individual businesses with total annual revenue not exceeding VND10 billion ($381,000) in 2026 and 2027 will be eligible for a 30% reduction in personal income tax (PIT) for each respective year.

The Ministry of Finance has issued an express dispatch seeking feedback on a draft National Assembly Resolution regarding personal and corporate income tax reduction policies aimed at supporting household businesses, individual entrepreneurs, and small-scale enterprises.

According to the proposal, household and individual businesses with total annual revenue not exceeding VND10 billion ($381,000) in 2026 and 2027 will be eligible for a 30% reduction in personal income tax (PIT) for each respective year. Similarly, enterprises and organizations operating under Vietnamese law that fall within this revenue threshold will also receive a 30% corporate income tax (CIT) reduction during the tax periods of these two years.

The drafting agency stated that the policy was developed as small-scale businesses and micro-enterprises continue to face significant economic pressure. Previous support measures have included Value Added Tax (VAT) reductions for most goods and services, environmental protection tax adjustments on fuel, non-agricultural land use tax exemptions, and the cutting of 40 types of fees and charges.

With policy space becoming increasingly limited, the continued proposal for a 30% income tax cut is viewed as a direct support measure. This initiative is intended to help businesses retain financial resources for reinvestment, operational expansion, and income improvement.

Previously, Decree No. 41/2026/ND-CP, issued on April 29, 2026, set the revenue threshold for PIT and CIT exemptions at VND1 billion ($38,100) per year, effective from the beginning of 2026.

However, feedback from the business community suggests that the primary challenge is not merely the exemption threshold, but the need to simplify procedures and tax payment methods, while enhancing support measures that align with the practical operations of households and individual entrepreneurs.

A survey conducted by the Vietnam Chamber of Commerce and Industry (VCCI) revealed that nearly 59.3% of household and individual businesses are struggling with high and volatile input costs, while over 43.8% face obstacles in market consumption. Additionally, 32.6% of respondents reported a shortage of capital and human resources—a situation mirrored among micro-sized enterprises.

Alongside the tax reduction proposal, the Government also plans to increase the revenue threshold used to determine simplified tax calculation methods.

Specifically, the revenue limit for households and individual businesses to opt for the revenue-based tax calculation method is proposed to rise from VND3 billion ($114.300) to VND10 billion per year. The revenue cap for enterprises applying this method will be adjusted accordingly to VND10 billion per year to ensure consistency across both the household and corporate sectors.

VnEconomy-Mai Nhi

Prospects for carbon market development

Sat, 08 Aug 2026 10:00:00 GMT

Much has been done to establish the legal framework and introduce the cooperative agreements needed to operate a carbon market in Vietnam and efforts are ongoing.

As carbon pricing becomes an increasingly important feature of global trade, developing a carbon market has become a strategic priority for economies seeking to remain competitive while meeting climate commitments.

In Vietnam, the Law on Environmental Protection 2020 identifies carbon market development as a key pillar of the country’s Nationally Determined Contribution (NDC) and net-zero ambitions. Since then, the government has steadily built the legal framework needed to establish and operate a domestic market.

The legal framework began with Decree No. 06/2022/ND-CP on greenhouse gas emissions mitigation and ozone layer protection, which introduced provisions on carbon market development and corporate greenhouse gas inventories. It was later updated by Decree No. 119/2025/ND-CP.

Legal foundation

In early 2025, the Prime Minister approved the Scheme for the Establishment and Development of Vietnam’s Carbon Market. This was followed by Decree No. 29/2026/ND-CP, issued on January 19, 2026, establishing the legal basis for a market-based trading system for emission allowances and carbon credits.

In April 2026, the government further strengthened the framework with Decree No. 112/2026/ND-CP on the international transfer of greenhouse gas emissions reductions and carbon credits.

Experts describe the Decree establishing the domestic carbon exchange as the final “missing piece” in Vietnam’s carbon market framework. Together with policies on emission allowance allocation and international carbon credit trading, it connects the domestic market with global carbon markets.

The government has also laid the groundwork for trading. Decision No. 263/QD-TTg approved the pilot greenhouse gas emissions cap for 2025-2026, followed by Decision No. 699/QD-BNNMT issued by the Ministry of Agriculture and Environment (MAE) on the pilot allocation of emission allowances.

The measures create the initial supply of tradable assets while helping regulated businesses become familiar with emission allowance management, trading, and compliance. Experts say allocating emission allowances to 110 facilities during the 2025-2026 pilot phase marks a major milestone, transforming emission rights into a tradable asset and paving the way for the first transactions on Vietnam’s domestic carbon exchange.

Ahead of the exchange’s launch, the Department of Climate Change at the MAE signed cooperative agreements with relevant stakeholders to help ensure a stable, secure, transparent, and efficient market.

Mr. Nguyen Tuan Quang, Acting Deputy Director of the Department of Climate Change, said the agreements demonstrate not only the organizational and technical readiness needed to launch the exchange but also Vietnam’s commitment to using market-based instruments to reduce greenhouse gas emissions, promote green growth, and advance sustainable development.

Launching the exchange

Another milestone came on June 29, when Vietnam’s domestic carbon exchange officially began operations. According to the Hanoi Stock Exchange, the launch reflects the commitment of the government, the Ministry of Finance, the MAE, and other relevant agencies to promote green growth and sustainable development.

The launch is more than a technical milestone; it aligns environmental responsibility with business interests while supporting the country’s sustainable development. The carbon market gives businesses a mechanism to optimize the cost of cutting emissions through trading emission allowances and carbon credits. Rather than viewing emissions reductions solely as a compliance obligation, companies now have a market-based tool to manage costs and invest in cleaner technologies.

Ms. Vu Thi Chan Phuong, Chairwoman of the State Securities Commission, said that as climate change becomes an increasingly pressing global challenge, developing a green and circular economy while promoting sustainable growth has become an inexorable trend. She said the launch of the domestic carbon exchange is particularly significant because it not only creates a transparent marketplace for trading emission allowances and carbon credits, but also helps establish market-based carbon pricing.

Mr. Nguyen Tien Hai, Technical Manager at the Energy and Environment Consultancy JSC, described the domestic carbon exchange as a major step forward for Vietnam, saying it would help the government achieve its net-zero target while enabling businesses to meet their compliance obligations at the lowest possible cost. The exchange also provides a marketplace where the first 110 companies receiving pilot emission allowances can trade with one another.

Under current regulations, two types of assets can be traded on the exchange: emission allowances and carbon credits. Though no carbon credits have been certified and approved for trading as yet, experts expect eligible carbon credit projects to emerge in the near future, beginning with projects transitioning from the Clean Development Mechanism (CDM) to the Paris Agreement’s Article 6.4 mechanism.

Vietnam is moving beyond its domestic carbon market to connect with international carbon markets. Decree No. 112/2026/ND-CP marks the country’s shift from building a domestic carbon market to connecting with international markets, while providing Vietnam’s first dedicated legal framework for implementing Article 6 of the Paris Agreement.

By incorporating the latest international guidance under Article 6, the Decree provides a unified legal basis for Vietnam to participate in cross-border carbon trading and other international cooperation mechanisms. As the global carbon market continues to expand, demand for international carbon credit trading is rising among both governments and businesses seeking to meet climate commitments.

Experts view Decree No. 112 as a milestone in Vietnam’s carbon market development, opening the door to green investment, advanced technologies, and deeper international climate cooperation while supporting the country’s low-carbon transition and net-zero ambitions.

New channel for green finance

Carbon markets have become a global phenomenon. More than 80 countries and territories now operate such a market, with the global market exceeding $100 billion. Its value is expected to continue growing as more economies adopt carbon pricing and expand international carbon trading.

According to the World Bank, the number of countries and territories implementing compliance carbon pricing instruments has risen from 58 to 87 over the past decade. In 2025, these mechanisms generated approximately $107 billion in revenue, up 2 per cent year-on-year and underscoring their growing role in the transition to low-emissions economies.

Mr. Truong Tu Long, Climate and Sustainability Lawyer and Legal and Policy Expert at GREEN IN Vietnam (GreenCIC), said the pilot launch of the carbon exchange marks an important milestone, making Vietnam one of a relatively small number of countries to establish a mandatory carbon market.

The carbon market gives businesses a mechanism to optimize the cost of cutting emissions through trading emission allowances and carbon credits. Rather than viewing emissions reductions solely as a compliance obligation, companies now have a market-based tool to manage costs and invest in cleaner technologies.

Meanwhile, Ms. Nguyen Kieu Trang, Senior Project Manager in Vietnam at FCC Partners Asia, said the exchange is more than a marketplace for emission allowances and carbon credits. By putting a market price on greenhouse gas emissions, it creates financial incentives for businesses to invest in clean technologies and adopt low-carbon business models.

International experience demonstrates the effectiveness of carbon markets. Major economies, including the EU, China, and South Korea, have made them a cornerstone of their climate policies. “For Vietnam, the carbon exchange will not only help mobilize private capital for its green transition, but also create a meaningful carbon price signal,” Ms. Trang said.

Beyond helping businesses meet emissions reduction obligations, the exchange is expected to become a key piece of economic infrastructure for the green transition, directing capital toward projects that deliver measurable emissions reductions. As the market matures, it could play a pivotal role in mobilizing investment for climate action and supporting Vietnam’s net-zero ambitions.

Research by GreenCIC estimates that the domestic carbon market could help businesses save between $400 million and $800 million in compliance costs, freeing up capital for emissions reduction technologies. Participation in international carbon markets could also enable Vietnam to attract between $500 million and $2 billion in climate finance and green investment.

Mr. Nguyen Dinh Tho, Deputy Director of the Institute of Strategy and Policy for Agriculture and Environment, said carbon markets are more than an environmental policy tool, they are a new economic platform that will encourage businesses to modernize technologies, improve resource efficiency, and integrate more deeply into low-emissions supply chains.

-NHI ANH

Around $11 bln proposed for capital region’s projected Ring Road 5

Sat, 08 Aug 2026 09:00:00 GMT

The proposed Ring Road 5 will span approximately 349 km, passing through seven provinces and cities.

At the first extraordinary session of the 16th National Assembly on August 6, Minister of Construction Tran Hong Minh, authorized by the Prime Minister, presented a proposal from the Government for an investment policy for a project to construct the Hanoi Capital Region’s Ring Road 5.

The minister emphasized that timely investment in the project is essential to complete the regional transport network and lower logistics costs.

The proposed Ring Road 5 will span approximately 349 km, passing through seven provinces and cities. The main route is designed to expressway standards with six lanes and a design speed of 100–120 km/h, while parallel roads will have a minimum of two lanes and a design speed of 60–80 km/h. Minister Minh noted that the proposed route has already received written consensus from all seven localities involved.

According to preliminary plans, the project requires the reclamation of approximately 4,011 ha of land, with compensation, support, and resettlement costs estimated at VND78.143 trillion (nearly $3 billion).

The total preliminary investment for the project is roughly VND288.27 trillion ($11 billion). Of this, the central budget will contribute over VND215.19 trillion (nearly $8.2 billion) for the main expressway, while VND73.076 trillion ($2.78 billion) for the parallel roads will be financed by local provincial budgets.

The investment strategy involves preparing the entire route in the initial stage to facilitate capital mobilization. In the immediate future, the project will focus on constructing 116 km of the eastern section, stretching from Thai Ha Bridge to the Bac Giang – Lang Son Expressway. This segment is identified as having high transport demand and significant potential for urban, industrial, and logistics development. Resources will continue to be mobilized for the remaining sections, with a goal of completing the entire 349-km ring road before 2035.

Reviewing the proposal, Mr. Phan Van Mai, Chairman of the National Assembly Economics and Finance Committee, requested that the Government further review and harmonize data across project documents. Specifically, the Government was urged to clarify the scope of land reclamation, the number of affected households, resettlement needs, and impacts on vulnerable groups to ensure a comprehensive dossier.

Regarding funding, the committee called on the Government to clarify the capital structure and disbursement schedules for both central and local budgets, particularly for localities expected to provide substantial funding such as Hanoi and Hai Phong. Additionally, the committee requested formal commitments from all seven localities regarding their capacity to fund parallel roads and manage compensation and resettlement tasks.

VnEconomy-Minh Kiet

Major contents of the Party Central Committee's Resolution on innovation of development model

Sat, 08 Aug 2026 08:00:00 GMT

The resolution was approved by the 3rd plenum of the 14th Party Central Committee, which took place between July 20-24.

Resolution No. 19-NQ/TW on innovation of Vietnam's development model was adopted by the 3^rd plenum of the 14^th Party Central Committee, which took place between July 20-24.

Below are the major tasks and solutions to innovate Vietnam's development model, as cited by the Government News:

1. On institutions, national governance, and improvement of the political system

- Enhance the leadership capacity, governing capability, and fighting strength of the Party, focusing on leadership capacity in strategic planning, institutional building, implementation, self-rectification, and self-renewal.

Party building and rectification, along with organizational and personnel work constitute the core elements of national governance.

Comprehensively innovate personnel work, taking cadre evaluation as a breakthrough step with work efficiency as the primary measure; encourage and protect dynamic, creative cadres who dare to think, dare to act, and dare to take responsibility for the common good; establish an inter-linked mechanism in recruitment, attraction, and utilization of high-quality experts and human resources between the public and private sectors.

- Fundamentally innovate the drafting and implementation of Party resolutions and conclusions, ensuring consistence from policy to action and from objectives to results. Clearly define tasks, roadmaps, resources, deliverables, and responsibilities.

Innovate governance mechanisms based on objectives, outputs, and development impacts; uphold the primary responsibility of heads of agencies and organizations; strengthen inspection, supervision, and control of power; resolutely prevent and combat corruption, wastefulness, negative phenomena, bureaucracy, inertia, and evasion of responsibility.

- Perfect the socialist law-governed State of the people, by the people, and for the people, led by the Communist Party of Vietnam; shift from sector- and field-based administrative management to harmonious and effective integration with ecosystem-based development governance; from control to enabling development.

Transform the relationship among the State, the market, and society toward a model where the State regulates, guides, directs, creates new markets and sectors, and builds national strategic capabilities in science, technology, innovation, data, new energy, and strategic competitive fields.

The market plays a decisive role in mobilizing, allocating, and efficiently utilizing resources; the society participates, supervises, provides feedback, builds consensus, and exercises the people's right to mastery. The State focuses on formulating and perfecting institutions, planning, standards, technical regulations, and managing outputs; lawmaking must closely mirror practical realities, "standing firmly on the practical soil of Vietnam," selectively absorbing the refined values of humanity, ensuring systematic coherence, seizing every opportunity, clearing the path, and unlocking all resources to turn institutions and laws into a competitive advantage, a solid foundation, and a powerful driving force for development, creating room to promote double-digit economic growth.

- Formulate laws that are clear, feasible, transparent, synchronous, unified, stable, easy to implement, flexible, and rapidly adaptable to new development demands, approaching advanced international standards and practices while conforming to national realities.

End the mindset of "banning what cannot be managed"; shift decisively from "pre-inspection" to "smart post-inspection" and management based on results and output efficiency.

Effectively guarantee and protect property rights, assets, and freedom of business. Improve the business investment environment, striving to join the leading group in ASEAN and approaching the standards of developed economies regarding business investment environment and innovation.

- Complete the normative legal document framework on controlled testing mechanisms (sandboxes) across various sectors; encourage ministries, sectors, and localities to issue appropriate sandbox mechanisms; ensure consistency in awareness and implementation of risk-tolerance mechanisms in scientific research, technology, and innovation.

Promote rational decentralization and delegation of power to qualified localities; permit controlled pilot testing of new business models, new governance mechanisms, and special, superior policies.

Complete the legal framework on artificial intelligence and digital technology; protect personal data and human rights in the digital environment.

- Develop digital government, shared data, and digital platforms to monitor the implementation of resolutions, strategies, planning, public investment, and development targets; focus on inspecting results, impacts, and heads' responsibilities; ensure every task has a clear assignee, clear workload, clear authority, clear resources, clear timeline, and clear deliverables.

Build a national governance indicator framework according to international practices.

- Organize a streamlined, efficient, effective, and operational political system apparatus on the principle that each task is assigned to a single focal agency; complete and operate effectively the two-tier local government model; accelerate decentralization and delegation of power; build grassroots-level administrative units with sufficient capacity, authority, and resources; leverage the role of the Vietnam Fatherland Front and socio-political organizations in gathering, mobilizing, supervising, and providing social feedback; promote democracy and the people's right to mastery. Pilot, review, and replicate the socialist commune and ward model in certain localities.

2. On the economy

- Establish a new growth model driven by productivity, science, technology, innovation, digital transformation, green transition, and high-quality human resources; modernize traditional growth drivers; strongly foster new growth drivers from high-tech industries, high-value services, smart agriculture, digital economy, data economy, green economy, new economic models, and high value-added sectors.

- Reorganize the national development space toward a multi-layered, multi-polar structure, synchronously linking land - sea - maritime domains - underground space - digital space, and new development spaces; shift from administrative-boundary-based development to functional development based on potentials, advantages, resource-environmental conditions, regional linkages, and sectoral linkages; align with ensuring national strategic autonomy and enhancing the resilience of regions, growth poles, economic centers, and key supply chains.

- Develop Vietnam into a nation strong in and enriched by the sea, boasting top regional competitiveness in marine industries. Transform maritime space into a strategic development area and a long-term growth driver; formulate and execute strategies utilizing marine space, coast-bound economic corridors, and oceans as primary development axes, radiating into midland, mountainous, and border regions. Develop a modern, green, digital, autonomous, and dual-use maritime industry.

- Develop the low-altitude economy into an important, highly competitive techno-economic sector. Efficiently exploit and utilize outer space; establish a space economy ecosystem; master core technical infrastructure, satellite technology, and spatial data. Strongly develop underground space in major urban centers, growth poles, financial, commercial, and logistics centers, and public transportation hubs.

- Develop production factor markets—especially capital, land, science, technology, data, and high-quality labor—in a synchronous, modern, transparent, and interconnected direction.

Fully establish property rights over research outcomes, promoting the circulation, transaction, and commercialization of technology, knowledge, and intellectual property assets; establish and develop derivative commodity trading markets.

Deeply reform the financial system; raise national credit ratings and upgrade the stock market status; expand and diversify long-term capital channels for infrastructure, key projects, innovation, green transition, social housing, and tech enterprises; develop green finance, climate finance, and agricultural insurance; establish an international financial center with special, superior mechanisms to serve as a hub for mobilizing, allocating, and leading resources, piloting institutional mechanisms, fostering innovation, and connecting global finance.

- Fundamentally innovate the mechanisms for mobilizing, allocating, and utilizing national resources; shift from an allocation mindset to an enabling mindset that maximizes resource efficiency; take development efficiency and impact as measures; ensure the principle of comprehensive economic accounting in the allocation, management, and use of all social resources; implement allocation according to strategic priorities and high-productivity, high-value-added, high-spillover sectors; utilize public investment to lead and activate private investment; unblock and transform stagnant resources into development drivers. Innovate distribution relations toward efficiency, fairness, and inclusiveness.

- Rapidly develop new and modern production forces; turn science, technology, and innovation into direct productive forces and primary growth drivers.

Treat data as a new production mean and strategic resource; ensure transparency and controlled management of public sector data; establish mechanisms allowing intellectual property rights to serve as capital contribution, credit guarantee, and commercial exploitation assets.

Develop artificial intelligence into an intelligence infrastructure and a high-quality productive force; synchronously and effectively implement the National AI Transformation Strategy; prioritize national computing infrastructure, Vietnamese Large Language Models (LLMs), shared platforms, and digital citizen platforms.

- Formulate and execute a new-generation industrialization and modernization strategy; place emphasis on tech capability building; prioritize key sectors like semiconductors, AI, advanced materials, quantum, biotechnology, advanced processing- manufacturing, green industries, and energy industries; develop materials industry into a core, foundational sector; prioritize supporting industries linked with higher localization rates.

Develop ecological, smart, high-tech, circular, high-value-added, and low-emission agriculture along value chains, tied to building civilized rural areas and professional farmers.

Develop a modern, high-quality services sector, prioritizing high-value-added services linked to upgrading industry, agriculture, and urban center.

Invest in and develop tourism into a spearhead economic sector; establish regionally and internationally competitive service hubs; develop the healthcare economy into an important, high-value-added sector.

- Develop an enterprise ecosystem structured in multi-tiered, mutually supportive links with tailored, targeted, and objective-driven support policies.

Focus on developing leading enterprises, supply chain heads, and highly competitive industrial ecosystems coupled with enhancing the capacity, quality, and performance of Vietnamese enterprises; strengthen state ordering and task-assignment mechanisms; establish breakthrough mechanisms to promote linkages among large enterprises, small and medium-sized enterprises (SMEs), innovative startups, cooperatives, research institutes, universities, and innovation centers.

Develop state-owned enterprises to truly play a leading role in ensuring macroeconomic stability, major balances, strategic direction, and leading the economy.

Develop the private sector into one of the most important growth drivers; consolidate and develop the collective and cooperative economy; transform household businesses into dynamic and sustainable production and business units; selectively attract foreign direct investment (FDI) tied to technology transfer, production capacity enhancement, and integration/spillover effects with the domestic economic sector.

- Develop synchronous, modern, smart, green strategic infrastructure with multi-layered, multi-modal connectivity; prioritize high-speed transport infrastructure, seaports, airports, energy, smart cities, underground space, marine space, climate change adaptation infrastructure, and infrastructure for mountainous and extremely disadvantaged areas.

Integrate physical infrastructure with digital infrastructure in transport, energy, industry, logistics, agriculture, education, healthcare, and public services.

Build digital, data, computing capacity, and AI infrastructure as national strategic infrastructure; leverage the role of the National Data Center; develop large-scale data centers, high-performance computing infrastructure, shared national digital platforms, national open data, and centers of excellence in AI, semiconductors, and quantum computing.

Develop a modern, multi-modal logistics system effectively connecting seaports, border gates, airports, railways, expressways, industrial zones, and economic corridors.

- Restructure the national innovation ecosystem around enterprises, with the State playing an enabling, guiding, and risk-sharing role; nurture national champion enterprises in tech fields, foundational industries, and strategic markets.

Make long-term investments in basic research and key national laboratories; encourage enterprise investment in research and development (RD), intellectual property, and core technology; support technology capacity building for SMEs and startups.

- Strongly innovate the integration of research, application, transfer, and commercialization of research outcomes; grant autonomy to research organizations while safeguarding the legitimate interests of scientists; synchronously develop testing, technology transfer, intellectual property, and financial platforms to rapidly introduce research outcomes into production and business, forming commercial products, enterprises, and new economic sectors. Synchronously institutionalize the State - Enterprise - Research Institute/University linkage mechanism.

- Accelerate urbanization and develop urban areas into major growth drivers; build growth poles, innovation hubs, and green, smart urban centers with international competitiveness; strengthen effective regional and inter-sectoral links; restructure development space alongside the formation of economic corridors, financial centers, and logistics hubs.

3. On social development

Build a disciplined, safe, civilized, harmonious, dynamic, adaptable, and resilient society against fluctuations. Deploy modern, proactive social management methods based on data, science, technology, innovation, and digital transformation.

Establish a proactive, comprehensive, inclusive, modern, and sustainable human security framework; build early detection, warning, and handling systems for risks to social stability and safety; develop conciliation, dialogue, and legal aid institutions at the grassroots level. Formulate and implement comprehensive social assessment criteria, index sets on social happiness, quality of life, social trust, and human security assurance.

- Build a modern, multi-layered, sustainable, inclusive, flexible, and highly adaptable social security system; treat social security investments as investments in development; better protect vulnerable groups; construct risk management systems and a digital map for social security.

Narrow development gaps across regions, urban and rural areas, and lowlands and highlands; pay special attention to deep-lying, remote, mountainous, border, island, ethnic minority areas, and vulnerable groups.

- Shift the healthcare system model from disease treatment to disease prevention and comprehensive healthcare, ensuring all citizens receive managed, cared-for, and improved health services; achieve universal health insurance coverage and progressively waive hospital fees according to a roadmap; ensure self-sufficiency in vaccines, pharmaceutical supplies, and medical equipment for epidemic prevention, control, diagnosis, and treatment.

- Innovate human resource development governance and modernize the labor market. Build a unified national-to-local forecasting, planning, and human resource development governance framework linked with socio-economic, sectoral, regional, and local development strategies.

Modernize the labor market based on digital data and AI; complete national databases on labor, employment, and vocational skills, synchronously connecting databases; comprehensively digitize and develop public employment services into labor market coordination hubs; encourage private employment service development and public-private partnership mechanisms in service delivery; ensure equal access to sustainable employment opportunities, leaving no one behind.

4. On culture and human development

- Build an advanced Vietnamese culture rich in national identity; synchronously deploy the systems of national values, cultural values, family values, as well as human standards, and social standards from central to grassroots levels; link cultural institution building with practicing, spreading, and deeply embedding these value systems in social life; make a culture of respect for the law and social discipline core values.

Harmoniously balance conservation and development; strongly develop cultural industries and the creative economy; establish mechanisms and policies to develop master artisans; boost cultural exports; assetize cultural values and build a cultural intellectual property market; construct digital culture and defend national digital cultural sovereignty.

- Build an open, interconnected, equitable, adaptable, and learner-centered education system. Innovate education and training toward pragmatic learning, career readiness, creative capacity, critical thinking, digital skills, and an entrepreneurial spirit meeting market demands.

Develop higher education into the core of national intellectual capacity; build world-class research universities and centers of excellence in science and technology. Comprehensively innovate vocational education tied to enterprise needs; expand dual training, workplace training, retraining, and upskilling models; promote post-secondary vocational training models; build a vocational skill development ecosystem and a national vocational skills framework.

Establish skill forecasting systems, retraining programs, career transition support, and worker protection frameworks during digital and green transitions. Innovate general education toward developing personal qualities, competencies, scientific thinking, digital skills, self-learning abilities, and adaptability. Build a learning society and lifelong learning mechanisms; accelerate digital literacy and knowledge enrichment for farmers.

- Develop high-quality human resources with an emphasis on digital skills, practical capacity, creative capacity, and lifelong learning capabilities. Formulate and implement a National Strategy on Talent Attraction and Utilization featuring special, superior, and internationally competitive mechanisms and policies, especially in basic sciences, AI, semiconductors, quantum, data science, and strategic/emerging technologies; attract overseas Vietnamese intellectuals, experts, scientists, and international talents.

- Fundamentally shift the mindset from managing population size and structure to developing national demographic capital, treating population as a strategic resource for long-term growth; improve population quality, linking population policy with human resource development, social security, and the labor market. Proactively draft strategies and population policies adaptable to population aging; strongly develop the "silver economy" along with ecosystems, products, and services for the elderly.

5. On eco-environment

Treat natural resource and environmental governance as a pillar of sustainable development linked to ensuring energy security, water security, food security, climate change adaptation, and economic resilience.

Build an ecological culture and promote a green lifestyle in harmony with nature. Complete environmental protection and climate change response institutions toward an enabling framework that leads green transition, developing within ecological boundaries and environmental carrying capacities; effectively utilize economic instruments in environmental management. Achieve the net-zero emissions goal by 2050 following an appropriate roadmap; promote circular economy, low-carbon economy, and green transition across sectors, backed by support mechanisms for production regions.

- Fully develop and operate the carbon credit market; apply carbon credit pricing, Extended Producer Responsibility (EPR) mechanisms, and green public procurement; expand green credit, green bonds, and green capital markets; perfect environmental tax/fee systems and carbon taxes according to international practices; strongly decentralize powers to major urban centers to collect environmental fees, issue green bonds, and establish low-emission zones.

- Build a modern, data-driven natural resource and environmental governance platform linked with inter-sectoral and inter-regional coordination mechanisms; strengthen management, efficient exploitation, and conservation of resources; preserve nature and biodiversity, restoring environments and ecosystems; construct ecological corridors and biodiversity protection networks; progressively integrate natural capital accounting into national statistical systems; expand automated, real-time monitoring; integrate resource-environmental protection and climate adaptation requirements into planning, budget allocation, and investment decisions.

- Proactively prevent and strictly control pollution sources; promptly resolve environmental issues to improve citizens' living environments. Proactively and effectively adapt to climate change and mitigate disaster risks; prioritize investments in climate-resilient infrastructure and urban centers.

Innovate disaster/epidemic prevention and climate adaptation work, shifting from passive response to proactive risk governance, and from handling consequences to early, far-reaching prevention; boost the application of science, technology, innovation, and digital transformation.

- Develop the environmental industry into a strategic economic sector; establish controlled testing mechanisms (sandboxes) for green and climate technologies; encourage eco-industrial parks and traceable recycling systems; proactively handle natural disasters, sea-level rise, land degradation, biodiversity loss, and environmental pollution.

6. On national defense and security

- Synchronously complete national defense and security institutions and legal frameworks matching the requirements of national development model innovation, adapting to new forms of warfare and new strategic spaces. Build a strong, modern all-people national defense and an all-people defense posture linked seamlessly with the people's security posture; connect the digital defense posture and digital security posture with a firm "people's heart" posture.

Build a revolutionary, regular, seasoned, and modern People's Army and People's Public Security; step up investments and prioritize modernizing naval, air, cyber, electronic warfare, unmanned, robotic, and specialized operational forces in security, intelligence, science, technology, and specialized engineering fields.

- Accelerate breakthroughs in developing a proactive, self-reliant, strategically autonomous, dual-use, and modern defense and security industry, with appropriate participation from the domestic private sector. Prioritize AI, semiconductors, advanced materials, satellites, unmanned vehicles, robotics, cybersecurity, quantum technology, and electronic warfare; step by step master the design and manufacture of high-tech weaponry.

Formulate and synchronously develop dual-use defense-economic zones, industrial clusters, national security industrial complexes, and defense/security innovation centers; build a network of defense and security enterprises capable of mastering strategic technologies and leading spearhead sectors; develop dual-use infrastructure integrating defense, security, and civilian needs. Establish mechanisms for ordering, testing, commercializing, and controlled exporting of dual-use products; encourage overseas investment in defense and security industries.

- Ensure strategic autonomy in technology and data; construct defense data infrastructure and interconnected digital command and control systems; establish strategic forecasting mechanisms, inter-agency security coordination, and national security risk mapping.

- Comprehensively develop national security assurance capacities. Formulate and synchronously execute the National Security Strategy; firmly safeguard national security, regime security, human security, economic security, cultural-ideological security, energy security, food security, water security, cybersecurity, tech security, financial security, and security in emerging domains (outer space, low-altitude, underground, sea, and ocean...); prepare proactive scenarios and plans for handling new forms of security violations and crisis situations, as well as framework scenarios for non-traditional security threats.

- Build a synchronous, multi-tiered security posture across domains; proactively detect, effectively respond to, and push back all traditional and non-traditional security challenges. Establish periodic national resilience testing mechanisms; establish security risk assessment mechanisms for major strategies, large projects, major digital platforms, foreign direct investments in sensitive sectors, and high-impact emerging technologies; build tracking and early warning systems for supply chain and tech risks.

Formulate and refine a national strategic framework on human security; enhance citizen protection against non-traditional and cyber threats. Focus on effectively combating crimes, building an orderly, disciplined, safe, civilized, harmonious, and progressive society.

7. On foreign affairs and international integration

- Build a comprehensive, modern, professional diplomatic sector; remain steadfast in pursuing the foreign policy of independence, self-reliance, multilateralization, and diversification; safeguard national interests to the highest degree based on international law; leverage the combined strength of Party diplomacy, State diplomacy, and people-to-people diplomacy; deepen relationships with partners, especially comprehensive strategic partners, strategic partners, and key partners; devise solutions to intertwine strategic interests with major powers; persistently resolve border, territorial, and maritime sovereignty issues through peaceful means on the basis of international law.

- Take economic diplomacy as a central task; synchronously and effectively conduct tech, digital, cultural, environmental, and climate diplomacy; leverage head-of-state diplomacy in building political trust; link high-level diplomatic activities with investment attraction and technology transfer; maximize the role of overseas diplomatic missions in promoting scientific and technological cooperation and attracting talent.

- Elevate multilateral diplomacy; play a core role in regional and global mechanisms; participate in shaping new international standards regarding the digital economy, AI, green finance, cybersecurity, and supply chains; promote defense and security diplomacy to protect the Fatherland early and from afar through peaceful means.

- Enhance foreign affairs and international integration capabilities of local governments and enterprises. Leverage the roles of the Vietnam Fatherland Front, socio-political organizations, and the overseas Vietnamese community in people-to-people diplomacy, knowledge diplomacy, tech, and digital diplomacy.

- Diversify partners, markets, supply chains, and technology ecosystems; proactively manage risks of strategic dependency; apply special mechanisms to attract multinational corporations, research organizations, and international talent to participate in science and technology programs in Vietnam; strongly mobilize the resources and role of the overseas Vietnamese community.

-Van Nguyen

National special program on science, technology and innovation for strategic technologies approved

Sat, 08 Aug 2026 07:00:00 GMT

Vietnam expected to master at least four strategic technologies in the 2026–2030 period.

A national special program on science, technology and innovation for strategic technologies has been approved under Prime Ministerial Decision 1493/QD-TTg, signed by Deputy Prime Minister Ho Quoc Dung on August 6.

The program aims to develop competitive products and strengthen Vietnam’s technological autonomy.

It also targets mastering, developing, completing and commercialising strategic technology products with strong competitiveness and gradually integrating them into global value chains.

The program will focus on developing strategic technologies, particularly core technologies, while building an ecosystem linking the State, businesses and science and technology organisations.

For 2026–2030, the program aims to master at least four strategic technologies on the list issued by the Prime Minister and develop and commercialise at least 15 strategic technology products. At least five of these products are expected to reach regional or international markets, with a targeted localisation rate of about 40%.

Under the program, at least 20 businesses capable of mastering strategic technologies and products will be developed, including at least five with products participating in global value chains.

For 2031–2035, the targets will rise to six strategic technologies and at least 25 strategic technology products, with at least 15 reaching regional or international markets. At least 30 businesses are expected to master strategic technologies and products, including 10 participating in global value chains.

-Ha Chi

More rigorous approach to international carbon market

Sat, 08 Aug 2026 05:10:00 GMT

The international carbon market will see significant changes under Article 6 of the Paris Agreement that call for detailed and thorough preparations.

Vietnam has significant potential to reduce greenhouse gas emissions across key sectors, including energy, industry, agriculture and forestry, and waste management. This would provide a strong foundation for tapping into green finance through the international carbon market under Article 6 of the Paris Agreement.

However, a wide gap remains between emission reduction potential and commercially-tradable carbon projects. To maximize carbon revenues, access advanced technologies, and meet global standards, businesses must first ensure strict compliance with domestic regulations and the crediting requirements established under Article 6.

The international carbon market under Article 6 has now entered a new phase compared to the era of the Clean Development Mechanism (CDM). Emission reductions must not only be examined under measurement, reporting, and verification (MRV) methods, but also be aligned with a country’s Nationally Determined Contribution (NDC), transparently tracked through registry systems, approved by the government for international transfer, and accompanied by corresponding adjustments. These new standards require a more rigorous approach to emissions accounting and additionality while preventing the double counting of emissions reductions between countries and ensuring projects support the long-term objectives of the Paris Agreement.

Government Decree No. 112/2026/ND-CP on the international transfer of greenhouse gas emission reductions and carbon credits has established an important legal foundation for Vietnam’s integration into international carbon markets. By clearly prioritizing the achievement of national NDC targets, safeguarding national interests, and categorizing projects into two groups subject to different transfer limits, the Decree demonstrates Vietnam’s cautious and selective approach to carbon market participation.

The issuance of Decree No. 112, together with the launch of Vietnam’s domestic carbon exchange on June 29, 2026, signals the country’s transition from policy design to practical implementation. This marks another step in the government’s long-term commitment to achieving net-zero emissions by 2050.

Project potential and readiness

Decree No. 112 identifies two categories of projects eligible for international carbon transfers. These project types differ significantly in terms of opportunities, implementation barriers, and challenges. Based on their readiness to generate tradable carbon credits, they can be grouped as follows.

Projects transitioning from the CDM to the Article 6.4 mechanism are considered the most market-ready. Having established operational histories, technical documentation, and monitoring data, these projects are best positioned for early international transfers once buyers emerge and host-country approval is granted, provided they complete re-registration with the relevant UN body.

To date, 23 CDM projects have applied for transition to Article 6.4, including 15 renewable energy projects successfully supported by the Vietnam Energy and Environment Consultancy JSC (VNEEC).

In the medium term, energy efficiency, green transportation, and similar projects offer substantial potential but face significant challenges in demonstrating additionality. Energy efficiency and technology upgrading projects deliver dual benefits by reducing emissions while lowering operating costs. However, these direct financial gains make it more difficult to prove that carbon finance is essential for project implementation. Opportunities therefore exist primarily for projects that exceed prevailing market practices or regulatory requirements.

Waste management, sustainable cooling, community-based initiatives, and agricultural projects face their own challenges, including maintaining reliable operational data, demonstrating additionality, clarifying ownership of emissions reductions, and managing higher MRV costs when projects are implemented on a fragmented basis.

Over the longer term, advanced decarbonization technologies such as offshore wind, carbon capture and storage (CCS/CCUS), and green hydrogen demonstrate strong additionality because of their high capital requirements and limited commercial viability without carbon finance. However, lengthy development timelines and complex infrastructure requirements mean these projects are unlikely to generate tradable credits before 2030.

Forestry and nature-based solutions offer substantial carbon sequestration potential while delivering biodiversity and livelihood benefits. However, they also require robust risk management covering land tenure, permanence, and reversal risks. For these projects, the scale of emissions reductions alone is insufficient; strong governance and high-quality data will ultimately determine both the value and market attractiveness of the credits.

Five key risks

Though Decree No. 112 has established the legal framework, a considerable gap remains before projects can generate internationally-tradable carbon credits. The primary bottleneck is the ability to develop projects that are sufficiently mature from technical, legal, and financial perspectives.

The experience of CDM projects transitioning to Article 6.4 illustrates this challenge. Of Vietnam’s 175 registered CDM programs and projects, only 44 are eligible for such conversion, while just 23 have formally submitted transition applications.

Readiness is even lower among newly-proposed Article 6 projects, many of which remain at the conceptual stage, with estimated credit volumes based on preliminary assumptions rather than approved methodologies.

Carbon credits are not an automatic reward for every green investment. Rather, they are valuable assets that require rigorous preparation and management throughout a project’s lifecycle. Current constraints can be grouped into five major categories.

First, additionality risk. Projects may fail eligibility tests if they are already financially viable on their own, rely on widely adopted technologies, or fulfill mandatory regulatory requirements. Carbon project feasibility should therefore be assessed before investment decisions are made, particularly since many developers still lack the capacity to select appropriate methodologies, quantify emissions reductions, and evaluate carbon-related financial returns.

Second, data and MRV risk. Data quality remains a major weakness for many businesses. Without consistent, continuous, and reliable data collection from the outset, projects will struggle to demonstrate verified emissions reductions. Many companies also confuse corporate greenhouse gas inventories with the project-level MRV systems required for carbon credit generation. Errors or interruptions in operational data throughout the project lifecycle can significantly reduce the volume of credits ultimately issued.

Third, operational, production, and financial risk. Many project developers overestimate future carbon revenues while underestimating the costs of registration, validation, periodic MRV, credit issuance, and ongoing risk management. Experience from international projects implemented by the Investment and Trade Consultancy Co., Ltd. (INTRACO) shows that actual credit volumes are often affected by equipment performance, user behavior, feedstock quality, operating capacity, and data continuity. Companies should therefore avoid building financial projections based on peak carbon prices or committing to delivery volumes beyond realistic operating capacity.

Fourth, ownership and benefit-sharing risk. Projects involving multiple stakeholders, including landowners, farmers, technology providers, operators, and investors, must clearly define ownership of emission reductions and benefit-sharing arrangements from the outset. Failure to do so could create obstacles when raising finance, registering carbon credits, or negotiating with buyers.

Fifth, international transfer and regulatory risk. Under Decree No. 112, carbon credits or emission reductions become Internationally Transferred Mitigation Outcomes (ITMOs) only after receiving government approval for international transfer and undergoing corresponding adjustments. Depending on the project category, international transfers may be capped at either 90 per cent or 50 per cent, with the remaining portion retained to support Vietnam’s NDC commitments. Businesses must therefore account for the maximum transferable volume when evaluating the financial viability of carbon credit projects.

Article 6 credits from Vietnam are attracting growing interest from international buyers, though purchasing decisions have become increasingly cautious. As a result, many Vietnamese projects with strong emission reduction potential still struggle to secure financing or sign carbon credit purchase agreements.

UNDERSTANDING ARTICLE 6 CARBON PROJECTS

Carbon projects under Article 6 of the Paris Agreement reduce or remove greenhouse gas emissions, such as renewable energy, reforestation, or methane abatement, and are measured, reported, and verified to generate carbon credits that can be transferred internationally.

Article 6.2 allows countries to cooperate through bilateral or multilateral agreements and transfer emissions reductions internationally in the form of Internationally Transferred Mitigation Outcomes (ITMOs). To prevent double counting, the host country must apply a corresponding adjustment, meaning it cannot count the transferred emissions reductions toward its own Nationally Determined Contribution (NDC).

Article 6.4 establishes a UN-supervised carbon crediting mechanism that succeeds the Clean Development Mechanism (CDM), enabling both public and private entities to develop emissions reduction and carbon removal projects.

Compared with the voluntary carbon market, Article 6 projects are subject to stricter requirements for carbon accounting, the prevention of double counting, and host-country approval for international transfers. They must also satisfy the fundamental principle of additionality, demonstrating that the emission reductions would be unlikely to occur without revenue from carbon credits.

Closing this gap requires more than simply matching buyers with sellers. It requires a comprehensive financial and service ecosystem, including banks, climate investment funds, and development partners that share risks, co-finance project preparation, and provide concessional funding during the early stages. It also requires project developers, consultants, and brokers to connect project owners with the market, standardize documentation, and negotiate commercial agreements, while the domestic carbon exchange can enhance liquidity and improve price discovery. However, these mechanisms will be effective only if Vietnam can establish a stable pipeline of mature, high-quality projects capable of supplying the market.

Article 6 projects are not a shortcut to selling carbon credits at higher prices. Rather, they represent a new framework that places greater responsibility on businesses for data quality, project operations, legal compliance, and fulfillment of commercial commitments. Projects must also complete multiple stages before credits can be issued and transferred internationally.

Roadmap to ITMO success

ITMOs are market-based commodities whose value is determined by supply and demand. To convert emissions reduction potential into successful ITMO transactions, businesses should adopt a structured implementation roadmap.

First, define clear objectives and prioritize project portfolios. Companies should determine whether their primary goal is to reduce emissions to achieve internal net-zero targets, generate offset credits for emissions trading systems (ETS), or develop projects for the international carbon market. Carbon credit sales should not be viewed as standalone transactions but as part of a broader carbon strategy that balances internal climate commitments with commercial opportunities. Based on these objectives, businesses should identify projects offering the strongest combination of scale, additionality, manageable MRV costs, and acceptable legal risks.

Second, strengthen internal governance and data management. Carbon credit projects require close coordination across multiple business functions. Measurement and verification data must be fully aligned with operational records, energy invoices, and financial statements from the first day of project implementation through the entire crediting period.

Third, establish robust partnership and legal frameworks. For projects involving multiple stakeholders, contracts should clearly define carbon credit ownership, revenue-sharing arrangements, and responsibilities if actual credit issuance falls below expectations or international transfer approvals are delayed.

Fourth, take a strategic approach to buyers. Companies should prioritize buyers that offer risk-sharing mechanisms rather than simply the highest bid prices. Purchase agreements should incorporate realistic delivery schedules, adequate safety margins, and provisions to address legal uncertainties or delays in credit issuance.

Fifth, view international cooperation as more than a source of project financing. Effective project preparation requires sustained technical collaboration and institutional support. Experience from the Southeast Asia Energy Transition Partnership (ETP) in Vietnam, Indonesia, and the Philippines demonstrates that policy alignment and meaningful private sector participation cannot be achieved through isolated projects alone. The value of international cooperation should therefore be measured not only by the capital mobilized but also by stronger institutions, greater market confidence, and the ability of businesses to independently develop, implement, and commercialize carbon projects over the long term.

Opportunities in the international carbon market are expanding, while Vietnam has now opened the policy door. Whether projects can pass through that door, however, will depend on the quality of their preparation and the strength of their execution. Article 6 cannot transform projects with weak data, unreliable operating performance, or unclear ownership into high-quality carbon credits. International buyers are not simply purchasing a theoretical ton of avoided carbon dioxide emissions; they are investing in the credibility of an entire project - from its technology, data, and operations to its ability to issue and deliver credits as promised.

Businesses should therefore treat carbon credit projects as long-term investments and incorporate carbon considerations from the earliest stages of project development. Carbon credits should be managed as strategic assets, while commercialization should be viewed as a long-term commitment that spans the entire project lifecycle and requires strict compliance with quality, data, operational, and trading requirements.

VIETNAM’S COMPETITIVE ADVANTAGE IN THE INTERNATIONAL CARBON MARKET

Vietnam’s position in the international carbon market will not be determined by the number of projects it develops, but by the quality of its project portfolio. The most competitive projects are those in which carbon revenue provides genuine additional value to the underlying investment, emissions data can be reliably measured and verified, carbon credit ownership is transparent, and environmental and community co-benefits are clearly demonstrated.

Beyond corporate preparedness, Vietnam’s carbon market should prioritize projects with the highest level of readiness so that internationally-transferable credits can be issued as early as possible. These include CDM projects transitioning to the Article 6.4 mechanism, as well as mature bilateral carbon projects.

Pilot implementation of these projects will allow both regulators and businesses to test in practice the approval procedures and corresponding adjustment requirements established under Decree No. 112/2026/ND-CP. This will serve as an important proving ground for refining the regulatory framework, strengthening implementation capacity, and building confidence among international market participants.

(*) Dang Hong Hanh is from Vietnam Energy and Environment Consultancy JSC (VNEEC); Nguyen Hong Loan from Green Climate Innovation Company (GreenCIC); Hoang Anh Dung from Investment and Trade Consultancy Co. (INTRACO); and John Robert Cotton from Southeast Asian Energy Transition Partnership, United Nations Office for Project Services (ETP/UNOPS).

-Dang Hong Hanh, Nguyen Hong Loan, Hoang Anh Dung and John Robert Cotton

Establishment of 496-ha hi-tech park in northern Hung Yen province approved

Sat, 08 Aug 2026 03:00:00 GMT

The park will focus on high-tech activities in line with Vietnam’s national high-tech development policies.

The establishment of a high-tech park covering more than 496 ha in northern Hung Yen province has been approved under Prime Ministerial Decision No. 1499/QD-TTg, signed on August 6 by Deputy Prime Minister Ho Quoc Dung.

The Hung Yen High-Tech Park will be located in Hoan Long and Viet Yen communes and will focus on high-tech activities in line with Vietnam’s national high-tech development policies.

The park will undertake research, application and development of high technologies and strategic technologies, as well as manufacture high-tech and strategic technology products. It will also provide high-tech and strategic technology services.

In addition, the park will support technology incubation, training and technology transfer, contributing to the development of a high-tech ecosystem in the province.

The facility will also perform other functions and tasks assigned to high-tech parks under Vietnam’s relevant laws and regulations.

The establishment of the park is expected to create a platform for attracting high-tech investment, promoting research and development, and strengthening Hung Yen’s capacity in strategic technology sectors.

-Ha Chi

Enabling market entry for carbon credits

Sat, 08 Aug 2026 00:30:00 GMT

Issued in April, Decree No. 112 makes possible the international exchange of greenhouse gas emissions and carbon credits.

The Vietnamese Government issued Decree No. 112/2026/ND-CP on April 1, 2026, regarding the international transfer of greenhouse gas (GHG) emission reductions and carbon credits. The Decree implements Article 139 of the Law on Environmental Protection, gives effect to provisions under the Paris Agreement, and establishes a legal framework for managing international carbon credit transactions.

Decree No. 112 marks a significant step in completing Vietnam’s carbon market framework by opening the way for international exchanges of GHG emission reductions and carbon credits. The new rules are expected to help mobilize international finance, technology, and expertise to support the country’s transition to a low-emissions economy. At the same time, the Decree makes clear that international trading is not intended solely to maximize the commercial value of carbon credits, and must also safeguard national interests and prioritize the achievement of Vietnam’s Nationally Determined Contribution (NDC).

Prioritizing Vietnam’s climate targets

The Decree governs the international transfer of GHG emission reductions and carbon credits under three main frameworks.

The first is cooperation under Article 6.2 of the Paris Agreement. Vietnam may enter into bilateral or multilateral agreements with other Paris Agreement parties or international organizations to establish frameworks for transferring GHG emission reductions and carbon credits. Article 6.2 agreements set out the principles of cooperation, project registration procedures, recognition of emission reductions and carbon credit issuance, applicable crediting standards or methodologies, and procedures for approving international transfers.

The second framework is the Article 6.4 mechanism of the Paris Agreement. This centralized international carbon crediting and offset mechanism operates under the supervision of the Secretariat of the United Nations Framework Convention on Climate Change (UNFCCC) and succeeds the Clean Development Mechanism (CDM). Project registration, methodology approval, credit issuance, and credit management are carried out in accordance with the international rules and guidance governing Article 6.4.

The third framework covers carbon credits generated under independent carbon standards administered by international organizations. Projects may be registered and issued credits under the procedures established by the relevant standard-setting organizations. However, any Internationally Transferred Mitigation Outcomes (ITMOs) involving corresponding adjustments must still satisfy Vietnam’s legal requirements and receive approval from the country’s competent authorities.

By incorporating all three frameworks, the Decree enables Vietnam to participate flexibly in different forms of international carbon market cooperation while ensuring consistent oversight and alignment with national emission reduction objectives.

A central principle of the Decree is that international transfers must not undermine Vietnam’s NDC or other emission reduction commitments under international agreements. International transactions must comply with the Paris Agreement, promote technology transfer, strengthen business competitiveness, safeguard national interests, and contribute to sustainable local development.

All transfers between Vietnam and international partners must be recorded and disclosed through the National Registry System. This system tracks the origin, status, and intended use of carbon credits, helping prevent double counting while enhancing transparency.

For transfers involving corresponding adjustments, Vietnam must make the necessary adjustments to its national GHG inventory. Emission reductions transferred internationally can no longer be counted toward Vietnam’s NDC but instead contribute to the NDC or other mitigation targets of the receiving party. As a result, approvals for international transfers must balance the benefits of attracting international investment with the need to preserve Vietnam’s ability to meet its own climate commitments.

Transfer limits

The Decree classifies emission reduction activities eligible to become ITMOs with corresponding adjustments into two categories.

The first category includes priority activities, primarily projects involving new or advanced technologies or requiring substantial investment. These projects may transfer up to 90 per cent of emission reductions or carbon credits generated during a crediting period.

The second category covers activities encouraged for international transfer. Projects in this category may transfer up to 50 per cent of their emission reductions or carbon credits with corresponding adjustments.

Where international transfers do not require corresponding adjustments, all programs and projects may transfer up to 90 per cent of their emission reductions or carbon credits. Any remaining credits may be used in Vietnam’s domestic carbon market.

The differentiated transfer limits reflect Vietnam’s cautious policy approach. Projects deploying advanced, capital-intensive technologies that require international support are allowed greater flexibility to transfer credits abroad, while a larger share of credits from activities that directly contribute to Vietnam’s NDC is retained for domestic use.

Project management

For projects developed under Article 6.2, the Decree establishes a management process covering project concept registration, project approval, measurement and verification of emission reductions, issuance or recognition of credits, and authorization for international transfer.

Organizations seeking to develop projects must first submit a project concept to the Ministry of Agriculture and Environment (MAE), which assesses whether the proposal aligns with the list of eligible mitigation activities for international transfer, as well as relevant national, sectoral, and local development strategies and plans.

Once the project concept is approved, the developer submits a formal registration application, including a project design document and validation report prepared under the carbon standard specified in the Article 6.2 agreement. After registration, project participants are responsible for measuring and reporting emission reductions in accordance with the applicable standard. The results must then be independently verified by an entity accredited under either the relevant carbon standard or the Article 6.2 agreement.

Following issuance or recognition of emission reductions or carbon credits and their registration in the National Registry System, the project representative may apply to the MAE for approval to transfer the credits internationally.

For Article 6.4 projects, registration, amendments, credit issuance, and project administration follow the rules and guidance established under the Paris Agreement and the Article 6.4 Supervisory Body.

The MAE reviews each project to ensure consistency with Vietnam’s NDC and national emission reduction objectives. Once the Article 6.4 Supervisory Body approves project registration, the project representative must submit regular implementation reports to the Ministry.

Though carbon credits are issued under the Article 6.4 mechanism, any internationally-transferred credits requiring corresponding adjustments must still receive approval from the MAE. This approach links international governance procedures with Vietnam’s domestic regulatory framework, particularly regarding the impact of credit transfers on the country’s ability to meet its NDC.

For projects using independent carbon standards, the Decree does not automatically recognize every standard or crediting methodology available on the international market. Eligible standards must have transparent governance systems and international recognition, while crediting methodologies must clearly demonstrate additionality, sustainability, measurability, verifiability, and the absence of double counting.

Project registration and carbon credit issuance are carried out under the procedures of the relevant independent carbon standard organization. Project representatives must regularly report implementation progress to both the relevant line ministry and the MAE.

For ITMOs requiring corresponding adjustments, the Ministry will consider only projects using crediting methodologies included on Vietnam’s approved list.

Under the Decree, project developers must prepare complete legal documentation, establish clear ownership of emission reductions, select appropriate crediting methodologies, implement robust measurement, reporting and verification (MRV) systems, and define benefit-sharing arrangements among project participants and local communities.

The MAE serves as the lead authority overseeing international carbon credit transactions. Acting on behalf of the government, it issues transfer approvals, carries out corresponding adjustments and operates the National Registry System. Relevant line ministries provide technical and sector-specific assessments.

Decree No. 112 establishes the legal foundation for Vietnam’s participation in international carbon markets while attracting additional resources for green transition and low-emissions technology development. The new framework reinforces a core principle: international carbon credit trading must be underpinned by high-quality emission reductions, support Vietnam’s NDC, ensure transparency, and deliver long-term national benefits.

(*) Mr. Nguyen Thanh Cong is a Deputy Head of the Carbon Market Division at the Department of Climate Change under the Ministry of Agriculture and Environment.

-Nguyen Thanh Cong (*)

Ha Tinh approves 19mln hydropower project

Sat, 08 Aug 2026 00:10:00 GMT

The project has an installed capacity of 14 MW, generating approximately 45 million kWh of electricity annually.

The Management Board of Ha Tinh Economic Zone of central Ha Tinh province has approved an investment policy and selected an investor for the Huong Son 3 Hydropower Plant project, thus further expanding the central province's renewable energy portfolio.

The project will be developed by Huong Son Green Energy JSC with a total investment of nearly VND500 billion (approximately $19 million).

Designed with an installed capacity of 14 MW, the hydropower plant is expected to generate approximately 45 million kWh of electricity annually.

The project is expected to diversify Ha Tinh's power generation mix while making more effective use of the province's hydropower resources, supporting Vietnam's broader transition toward cleaner energy sources.

Earlier, on June 9, 2026, the Ha Tinh People's Committee had approved the investment policy for the Vung Ang III LNG Power Plant in Hoanh Son Ward, with a total investment of VND51.43 trillion ($1.95 billion) and an installed capacity of 1,500 MW.

Under the revised National Power Development Plan VIII (2021–2030, with a vision to 2050), Ha Tinh has been designated to develop 41 power generation projects with a combined planned capacity of more than 8,350 MW, reinforcing its role as one of Vietnam's key energy production hubs.

-Nguyễn Thuấn

Da Nang approves $240mln investment to complete Lien Chieu Port infrastructure

Sat, 08 Aug 2026 00:00:00 GMT

The project is expected to provide a foundation for completing one of Vietnam's key strategic seaports while supporting the development of a major logistics hub in central Vietnam.

The People's Council of central Da Nang city has approved an investment policy for completing the shared infrastructure of the Lien Chieu Port project, with a total estimated investment of more than VND6.209 trillion (approximately $240 million).

The project is expected to provide a foundation for completing one of Vietnam's key strategic seaports while supporting the development of a major logistics hub in central Vietnam. Funding will be sourced from both the central government budget and the local budget, with implementation scheduled for the 2026–2030 period.

The primary objective is to complete the remaining public infrastructure within the Lien Chieu Port complex, ensuring seamless connectivity and creating favorable conditions for strategic investors to develop individual port terminals.

The project also aims to address the urgent need to relocate existing petroleum and liquid cargo terminals currently operating in Da Nang Bay. The relocation is expected to enhance navigational safety, improve port operations, and free up valuable waterfront areas for future urban and economic development.

-Ngo Anh Van

Infrastructure must become a strategic economic sector: top leader

Fri, 07 Aug 2026 09:00:00 GMT

General Secretary and State President To Lam emphasized that infrastructure efficiency must be measured by the tangible benefits provided to citizens, businesses, and the overall economy.

Infrastructure is no longer merely a service for production and daily life; it has evolved into a decisive factor for national competitiveness. Consequently, infrastructure efficiency must be measured by the tangible benefits provided to citizens, businesses, and the overall economy.

Party General Secretary and State President To Lam emphasized this during a working session with the Government’s Party Committee and relevant agencies on the development of synchronous infrastructure on August 6.

He noted that infrastructure planning and investment must ensure synchronicity and connectivity, with service quality and economic efficiency as the primary objectives. Development should harmonize physical, digital, and natural infrastructure.

Furthermore, infrastructure must be transformed into a strategic economic sector, fostering a vast market to enhance domestic production capacity, the leader said, adding that the State should play a guiding and leading role in mobilizing resources, prioritizing public investment in foundational, essential, and inter-regional projects with high spillover effects.

The General Secretary and President called for innovation in planning and infrastructure organization. Planning must align with the national development strategy, economic spatial organization, and the goal of boosting national competitiveness. It must also ensure a long-term vision, inter-sectoral and inter-regional connectivity, and the capacity to adapt to shifts in technology, markets, demographics, and climate change.

Alongside these goals, he stressed the need for synchronicity across economic, social, digital, data, science, technology, and innovation infrastructure. It is essential to enhance integration between various modes of transport, as well as between transportation and energy, logistics, urban areas, and other socio-economic infrastructure sectors.

Infrastructure development must strengthen connections between industries and regions, urban and rural areas, and domestic and international markets. This progress should be closely integrated with national defense, security, environmental protection, and the digital and green transitions.

Regarding inter-regional projects, the leader requested the refinement of regional financial coordination mechanisms. This, according to him, would ensure that localities collectively participate in decision-making, capital contribution, shared responsibility, and the distribution of benefits.

Another core mission is the fundamental reform of investment management and infrastructure asset governance, elevating the accountability of leaders. It is essential to enhance the quality of project preparation, construction, and operation, with a focus on managing the entire project lifecycle.

Investment decisions should only be finalized once all conditions regarding planning, land use, site clearance, capital, materials, technology, human resources, and connecting infrastructure are fully secured. Simultaneously, accountability must be clearly established for projects that fall behind schedule, undergo multiple adjustments, experience cost overruns, or operate inefficiently.

The top leader requested the urgent development of a unified database for planning, projects, and infrastructure assets. He also called for the accelerated application of digital technology and artificial intelligence (AI) in the investment, management, and operation of national infrastructure assets.

Investment efficiency should not be measured solely by the disbursement rate; it must be reflected in the progress, quality, connectivity, and operational effectiveness of key infrastructure works and projects.

Regarding strategic infrastructure systems, the leader urged a concentration of resources to complete transport and logistics corridors. This includes developing national and urban railways and waterway transport, integrated with technology transfer and the growth of domestic industry.

The energy sector must ensure synchronous and rational development across power sources, grids, and storage systems. Concurrently, it is necessary to develop digital infrastructure and national computing capacity, address bottlenecks in urban and social infrastructure, enhance resilience against climate change, and ensure water security and dam safety. These tasks require special attention in industrial hubs, seaports, coastal cities, and the Mekong Delta.

Concerning resource mobilization and allocation, alongside public investment, the leader required the continued refinement of Public-Private Partnership (PPP) mechanisms to attract private capital based on a fair distribution of benefits and risks. He also called for the development of mid-to-long-term capital markets, the utilization of increased land value generated by infrastructure, and the diversification of international funding sources.

In terms of a long-term vision, the General Secretary and President emphasized that the projects decided today will shape the nation for decades to come. Infrastructure must be prepared for the future economy, emerging technologies, and escalating climate risks.

By 2045, Vietnam aims to possess a synchronous, smart, green, safe, and highly resilient infrastructure system. This system must ensure seamless connectivity across the national territory, link the economy with global markets, and provide all citizens with access to essential services.

VnEconomy-Hà Lê

New regulations for streamlining seafood exports to US and accelerating digital fisheries management

Fri, 07 Aug 2026 07:00:00 GMT

The new circular will officially take effect on September 19, 2026.

Vietnam's Ministry of Agriculture and Environment has issued a circular, introducing new regulations aimed at easing administrative procedures for businesses, standardizing certification for seafood exports to the United States, improving traceability of wild-caught seafood, and enhancing the management of fishing port infrastructure.

A key feature of the circular is the establishment of detailed requirements for obtaining Certificates of Admissibility (COA) for seafood exports to the US. Documentation requirements are clearly differentiated according to the source of raw materials, including domestically harvested seafood, imported seafood, and aquaculture products.

The certification process will include strict verification against the list of species prohibited from entering the US market and the list of countries recognized by US authorities as having equivalent fisheries management systems. Exporters are also required to retain supporting documents proving product origin for at least 36 months and maintain traceability systems capable of meeting regulatory inspection requirements.

The circular also places a strong emphasis on digital transformation in fisheries management through the phased introduction of electronic traceability and fishing logbook systems.

Under the implementation roadmap, electronic management of fishing vessels entering and leaving ports, along with the issuance of unloading receipts, have been applied from March 1, 2026; while electronic issuance of raw material certification documents will begin on September 1, 2026, and electronic certificates of origin will be adopted from January 1, 2027.

Electronic fishing logbooks will become mandatory from June 1, 2027 for fishing vessels measuring 15 meters or longer, and from September 1, 2027 for vessels 12 meters or longer.

The Circular will officially take effect on September 19, 2026.

-Chu Khôi

Moving forward on net zero commitments

Fri, 07 Aug 2026 03:20:00 GMT

With an appropriate regulatory foundation now in place, Vietnam can move forward on meeting its net-zero commitments and accessing growth opportunities.

Carbon markets are rapidly evolving from policy instruments into new arenas for international cooperation and economic competition. For Vietnam, early, proactive, and well-informed participation will be critical not only in delivering on its emission reduction commitments but also in unlocking new growth opportunities as the country transitions toward a green economy.

In pursuit of its commitment to achieve net-zero emissions by 2050, the Vietnamese Government has accelerated the development of a comprehensive legal framework for greenhouse gas (GHG) mitigation, the domestic carbon market, and its integration with international carbon trading systems.

The regulatory foundation is now largely in place. It includes Decree No. 06/2022/ND-CP on GHG mitigation and ozone layer protection, as amended by Decree No. 119/2025/ND-CP, and most recently Decree No. 112/2026/ND-CP, issued on April 1, 2026, governing the international exchange of GHG emission reduction outcomes and carbon credits.

The latest decree establishes the legal basis for transferring and exchanging emission reduction outcomes between Vietnam and international partners through mechanisms operating both within and outside the framework of the Paris Agreement. It is expected to support Vietnam’s climate targets while helping attract investment and low emissions technologies.

Delegates attending the July 23 forum. -(Photo: Vietnam Economic Times)

At the same time, growing interest from Vietnamese businesses, particularly in export manufacturing, energy, and agriculture and forestry, has driven increasing demand for guidance on developing carbon credit projects and accessing international carbon markets. Several local governments have also begun exploring ways to leverage emission reduction opportunities to support green economic development, highlighting the need for greater awareness, technical capacity, and stronger market connectivity.

Building capacity

As the State authority responsible for climate change policy and carbon market development, the Department of Climate Change recognizes that effective implementation of the new regulatory framework will depend on strengthening the capacity of both government agencies and the private sector.

Enhancing understanding of domestic regulations, international market requirements, and technical standards has become increasingly important as Vietnamese organizations prepare to participate in global carbon markets. Equally important is expanding cooperation with international partners, financial institutions, and market participants to create new opportunities for carbon credit transactions and climate investment.

Preparing adequate institutional arrangements, technical expertise, and financial resources will also be essential in ensuring that Vietnam’s participation in international carbon markets is transparent, credible, and effective.

Three priorities

Against this backdrop, a July 23 forum entitled “Promoting Cooperation on Internationally Transferred Mitigation Outcomes Towards the Implementation of National and Corporate Emission Reduction Commitments” focused on three key priorities.

The first was updating participants on Vietnam’s latest legal framework governing the international exchange of GHG emission reduction outcomes and carbon credits. The discussions aimed to help businesses better understand the regulatory environment, including their rights, obligations, and the conditions for participating in international carbon markets.

The second priority examined emerging opportunities, market trends, and evolving requirements through insights from international organizations, financial institutions, and development partners. These discussions highlighted increasingly stringent global expectations surrounding carbon credit quality, data transparency, and technical compliance.

The third focused on assessing and strengthening the readiness of Vietnamese businesses. Participants explored practical steps for developing carbon projects, selecting appropriate measurement, reporting, and verification (MRV) methodologies, and connecting projects with available sources of climate finance and technical assistance.

Strengthening collaboration

The active participation of policymakers, international experts, and businesses generated valuable insights that will help strengthen cooperation between government agencies and the private sector in using market-based mechanisms to achieve both national and corporate emissions reduction goals.

The dialogue also reinforced international cooperation on carbon credits by connecting Vietnamese businesses with global sources of financing, technical support, and market expertise while aligning those opportunities with national policy priorities.

As international carbon markets continue to expand, strengthening institutional capacity and deepening collaboration between governments, businesses, and global partners will be essential to enabling Vietnam to meet its climate commitments and compete successfully in the emerging green economy.

(*) Mr. Nguyen Tuan Quang is a Deputy Director of the Department of Climate Change at the Ministry of Agriculture and Environment.

-Nguyen Tuan Quang(*)

Ha Tinh attracts nearly $27 bln in investment capital

Fri, 07 Aug 2026 02:30:00 GMT

The figure includes $16.5 billion registered for 71 Foreign Direct Investment (FDI) projects in the central province.

Central Ha Tinh Province is currently home to approximately 1,500 investment projects with a total registered capital of nearly VND700 trillion (equivalent to $26.6 billion).

This includes 71 Foreign Direct Investment (FDI) projects totaling over $16.5 billion, according to the Provincial People’s Committee.

Within its economic and industrial zones alone, Ha Tinh has secured 61 FDI projects with a total registered capital exceeding $16.48 billion, accounting for the vast majority of the province's foreign investment.

Many major corporations have selected Ha Tinh as a strategic destination, gradually forming a large-scale industrial ecosystem that creates a "spillover effect" for the economic growth of the locality and the North Central region.

Since the beginning of the year, the locality has welcomed several mega-projects, providing further momentum for economic development in the coming period.

Notable highlights include the VinFast Ha Tinh Electric Motorcycle Plant with total investment of over VND13.25 trillion ($504.3 million); the VinMetal Ha Tinh Steel Plant (nearly VND79.9 trillion (over $3 billion); the Vung Ang III LNG Thermal Power Plant (VND51.43 trillion or $1.96 billion); a stainless steel plant (VND9.8 trillion ($373 million); and the Hung Long Industrial Park: Total investment of over VND3 trillion (nearly $115 million).

Alongside these new ventures, the province is implementing key projects in metallurgy, energy, industrial park infrastructure, logistics, construction material production, supporting industries, agro-forestry-fishery processing, and trade and services.

Ha Tinh identifies a commitment to innovating its growth model, placing science and technology, innovation, and digital transformation at the heart of its development.

The province will prioritize attracting projects that utilize advanced, eco-friendly, and energy-efficient technologies. It aims for high-value-added investments that can integrate deeply into global supply chains.

Concurrently, the province continues to refine its infrastructure system, particularly within the Vung Ang Economic Zone and various industrial parks and clusters. Efforts will also focus on developing synchronous logistics, digital, and energy infrastructure, enhancing the quality of human resources, accelerating administrative reform, and improving the local investment climate and overall competitiveness.

VnEconomy-Nguyễn Thuấn

Russian enterprises eye long-term production and project cooperation in Vietnam

Fri, 07 Aug 2026 02:00:00 GMT

In the first four months of 2026 alone, two-way trade hit $1.72 billion, marking a significant 92% surge compared to the same period in 2025.

Vietnam is increasingly regarded by Russian businesses as a key market in their strategy to expand their presence in Southeast Asia, with a focus not only on boosting exports but also on seeking investment opportunities, production cooperation, and the development of long-term projects.

This shift in strategy was highlighted at the Vietnam–Russia Business Networking Conference held on August 5 in Ho Chi Minh City.

The event was co-organized by the Vietnam Trade Promotion Agency (VIETRADE) under the Ministry of Industry and Trade, the Moscow Export Center (MEC), and the Moscow Industrial Export Support and Development Center (Mosprom).

According to Mr. Hoang Minh Chien, Deputy Director General of VIETRADE, bilateral trade turnover reached $4.77 billion in 2025, a 4% increase over the previous year. In the first four months of 2026 alone, two-way trade hit $1.72 billion, marking a significant 92% surge compared to the same period in 2025.

However, he noted that a trade volume of under $5 billion does not yet reflect the full potential of the relationship or the framework of the Comprehensive Strategic Partnership between the two nations.

The conference provided a platform for businesses to exchange needs, identify partners, and gradually establish specific cooperation projects through B2B matching sessions.

While previous promotion programs primarily focused on bringing Russian goods to foreign markets, Mosprom indicated that future efforts will shift toward promoting investment cooperation and production development with international partners like Vietnam.

Ms. Olga Vladimirovna Starikova, General Director of Mosprom, stated that Moscow is currently home to nearly 4,700 industrial enterprises. these firms operate in diverse sectors such as pharmaceuticals, medical equipment, electric vehicles, energy storage technology, e-wallets, radio electronics, and the food industry. These industries are prioritized in the city’s strategy to introduce industrial products to the global market.

"Trade and exports can only grow when the industrial sector develops. Therefore, we always consider industrial development as the foundation for trade growth," Ms. Starikova emphasized.

In addition to promoting exports, Mosprom supports attracting investment into Moscow through a "one-stop-shop" mechanism. This includes accompanying businesses through every stage, from site selection and production localization to support for international market expansion.

Enhanced market approach in Vietnam

According to Mr. Ilya Olegovich Koltygin, Chief Representative of the Russian Export Center (REC) in Vietnam, the country is a market of immense potential due to the growing scale and quality of its goods and services. However, he noted that it is also a highly competitive environment.

"Vietnam is developing rapidly and serves as a hub for numerous international brands. Russian companies must compete with brands from Asia, Europe, and many other nations here. The opportunities are vast, but success will depend on the adaptability of each individual Russian enterprise," he emphasized.

Mr. Ilya recommended that Russian businesses gain a deep understanding of local business culture and maintain maximum flexibility during negotiations with Vietnamese partners.

"Many Russian firms still apply business models familiar to their domestic market when working with Vietnam. While those methods aren't necessarily wrong, they are not the most effective way to build cooperative relationships here," he said.

Healthcare a promising sector

According to Mr. Ivan Sergeevich Gumnikov, Head of the Branch of the Trade Representation of the Russian Federation in HCM City, an increasing number of Russian companies are choosing Vietnam as a long-term base and a gateway for expansion into ASEAN.

"Many Russian enterprises are already operating in Ho Chi Minh City across sectors such as energy, aviation, logistics, agriculture, and industry, with the presence of firms like Zarubezhneft, Aeroflot, and Miratorg, along with various other transport and manufacturing groups," Mr. Gumnikov stated.

This indicates that the Russian business community views the city only as a location for long-term investment and development but also as a strategic gateway to the entire Southeast Asian region. He expressed hope that the list of Russian companies operating in the city will continue to grow following the conference, including the participants of the current event.

A new highlight of this working visit is the growing interest in pharmaceuticals and medical equipment. According to the General Director of Mosprom, following a meeting with the city's Department of Health, Moscow representatives identified this as a sector with significant cooperation potential.

VnEconomy-Nhu Quynh