The Vietnamese government has launched a series of initiatives to promote green logistics and sustainable supply chains, with a focus on supporting small and medium-sized enterprises (SMEs) in accessing green finance.
- Green certification will be a competitive advantage in the market, and Vietnam has many opportunities to promote green logistics thanks to increasingly modern transport infrastructure and the e-commerce boom.
- Green logistics is seen as a key for businesses to cope with and recover from global economic shocks.
- The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally.
In practice, green transition and sustainable supply chains are seen as inevitable trends, but Vietnamese firms face numerous barriers, including a lack of capital and technology, limited expertise, and mounting pressure from global value chains. “Green logistics is a critical component in Vietnam’s transition to a low-carbon economy,” said Tran Thanh Hai, deputy director-general of the Ministry of Industry and Trade’s Agency of Foreign Trade. “To maintain growth and comply with international requirements such as the EU’s Carbon Border Adjustment Mechanism, logistics companies must ‘go green’.”
Hai noted that while logistics contributes significantly to the economy, with a market size of $40–42 billion and annual growth of 14–16 per cent, among the highest in Southeast Asia, costs remain high. Logistics expenses account for 16–18 per cent of GDP, and the sector is a major source of carbon emissions, particularly from road transport. The logistics sector is also a significant contributor to Vietnam’s carbon footprint, with road transport being the largest source of emissions. The sector’s growth is expected to continue, driven by the increasing demand for e-commerce and the expansion of the retail market. Despite the challenges, there are opportunities for green logistics in Vietnam. The country has a modern transport infrastructure, and the e-commerce boom has created a large and growing market for green logistics services.
| Opportunities for Green Logistics in Vietnam | Challenges |
|---|---|
| Modern transport infrastructure and e-commerce boom create opportunities for green logistics | Lack of capital and technology, limited expertise, and mounting pressure from global value chains |
| Green certification will be a competitive advantage in the market | High upfront investment costs and the absence of long-term financial policy frameworks |
According to Dao Duy Tam, head of Customs Supervision and Management at the General Department of Customs, the customs sector is working closely with port operators and logistics firms to optimise cargo handling processes, plan efficient transport routes, reduce travel distances, cut fuel consumption and costs, thereby streamlining supply chains and driving the growth of green logistics. Tam noted that since 2020, customs procedures have been digitised to shorten clearance times for businesses. “Based on this foundation, the customs sector is working alongside port operators and logistics firms to optimise cargo handling processes, plan efficient transport routes, reduce travel distances, cut fuel consumption and costs, thereby streamlining supply chains and driving the growth of green logistics,” he said. Dang Vu Thanh, vice chairman of the Vietnam Logistics Business Association (VLA), observed that many foreign transport companies are adopting environmentally friendly practices, using electric or biofuel-powered trucks instead of petrol or diesel, such as UPS, DHL, and Maersk. “In a world rapidly going green, green logistics is no longer an option, it is a necessity,” said Thanh. “With digitised customs, flexible banking, and local government support, a supportive ecosystem will form to help businesses transition effectively.”
As for Vietnamese companies, many port operators have switched to 100 per cent electric handling equipment, such as at Gemalink and Nam Dinh Vu ports. In southern Vietnam, the development of inland waterway transport has helped significantly reduce the number of container trucks on roads, easing congestion and cutting greenhouse gas emissions on routes such as the Mekong Delta and Cai Mep-Thi Vai to Ho Chi Minh City. The transition to green logistics remains challenging due to high upfront investment costs and the absence of long-term financial policy frameworks. However, many businesses have emphasised that financial policy is not just an incentive, but rather a necessary condition for advancing green logistics. Measures such as green credit schemes, tax incentives, interest rate support, and funding for technological innovation, if implemented effectively, could help accelerate the adoption of environmentally sustainable models across the sector. As global climate pressures intensify, green logistics is fast emerging as a strategic pillar in Vietnam’s push for sustainable growth and its path towards Net Zero emissions. “Green logistics is a critical component in Vietnam’s transition to a low-carbon economy,” said Tran Thanh Hai. “With the support of the government, we can accelerate the transition to green logistics and reduce our carbon footprint.”
The Vietnamese government has launched a series of initiatives to promote green logistics and sustainable supply chains, with a focus on supporting small and medium-sized enterprises (SMEs) in accessing green finance. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. As the world continues to transition to a low-carbon economy, Vietnam is well-positioned to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a long-term process that requires a sustained effort from all stakeholders, including the government, private sector, and civil society organisations. However, with the right policies and support, Vietnam can accelerate the transition to green logistics and reduce its carbon footprint, and become a leader in the green logistics sector. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. As the world continues to transition to a low-carbon economy, green logistics will play an increasingly important role in Vietnam’s push for sustainable growth and its path towards Net Zero emissions. The Vietnamese government has launched a series of initiatives to promote green logistics and sustainable supply chains, with a focus on supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The development of inland waterway transport has helped significantly reduce the number of container trucks on roads, easing congestion and cutting greenhouse gas emissions on routes such as the Mekong Delta and Cai Mep-Thi Vai to Ho Chi Minh City. The transition to green logistics remains challenging due to high upfront investment costs and the absence of long-term financial policy frameworks. However, with the right policies and support, Vietnam can accelerate the transition to green logistics and reduce its carbon footprint, and become a leader in the green logistics sector. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. As the world continues to transition to a low-carbon economy, green logistics will play an increasingly important role in Vietnam’s push for sustainable growth and its path towards Net Zero emissions. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance. The transition to green logistics is a complex issue that requires a comprehensive approach, involving government support, private sector investment, and technological innovation. The retail market in 2024 reached $25 billion, a 20 per cent increase from the previous year, putting Vietnam among the top 10 fastest-growing e-commerce markets globally. The benefits of green logistics are numerous, including reduced greenhouse gas emissions, improved supply chain efficiency, and increased competitiveness. Vietnam has a unique opportunity to be a leader in the green logistics sector, with its modern transport infrastructure, e-commerce boom, and growing market for green logistics services. The Vietnamese government has a critical role to play in promoting green logistics and sustainable supply chains, and in supporting small and medium-sized enterprises (SMEs) in accessing green finance.