Facing the pressure of increasingly strict global environmental standards, such as the Carbon Border Adjustment Mechanism (CBAM) and ESG governance, businesses in Vietnam are now receiving strategic support from the government. Prime Minister Decision No. 926/QD-TTg, approved in May 2026, serves as a crucial catalyst for businesses to accelerate the transition towards a green economy and clean energy.
This transformation is no longer just a voluntary step, but an absolute prerequisite for companies wishing to maintain their position in international supply chains. However, the cost challenges of technological upgrades and energy efficiency remain major obstacles, especially for small and medium-sized enterprises (SMEs). Through policy and fiscal instruments, the government is committed to easing this financial burden to ensure the competitiveness of national products is maintained.
Deputy Prime Minister Nguyen Van Thang emphasized that the government is building a comprehensive policy ecosystem. This strategy includes administrative system reforms, providing tax incentives, and easing access to green credit. This approach is designed to shift the business mindset from viewing sustainability as a cost burden to a competitive opportunity to innovate and access broader global markets.
Echoing this sentiment, the Vietnam Chamber of Commerce and Industry (VCCI) noted a paradigm shift among entrepreneurs. The green transformation is now being proactively adopted as a strategic tool to increase productivity. The government has also promised to continue cutting procedural barriers and listening to the aspirations of business actors to ensure the effective implementation of policies on the ground.
With increasingly solid institutional support, businesses in Vietnam are encouraged to immediately restructure their operational models. This step is seen as a golden opportunity for the private sector to prove their resilience and long-term vision amid the global roadmap towards Net Zero targets.
