Did you know that from 2025, thousands of Vietnamese exporters will have to provide transparent ESG reports if they want to keep their orders from Europe?
This is no longer a “distant concern”, but a mandatory requirement under the European Union’s CSRD – Corporate Sustainability Reporting Directive.
Why is this a warning sign?
- European partners are changing the way they select suppliers. They no longer look only at price or quality, but also demand specific data: carbon emissions, workers’ rights and transparent governance.
- SMEs – which account for 97% of Vietnamese businesses – are at risk of being “pushed out of the game” if they do not respond in time.
- Businesses that only practise “token ESG” will soon be found out, as the EU is cracking down on greenwashing.
Within every challenge lies an opportunity
Vietnamese businesses that stay one step ahead on ESG will:
- Retain and expand orders from global brands.
- Access international capital at lower cost thanks to a reputation for transparency.
- Build a green, sustainable brand that wins favour with consumers and investors.
What should businesses do today?
- Start with awareness: Train leaders and teams on ESG and understand clearly how it affects your industry.
- Build an ESG data system: From managing emissions, energy consumption and occupational safety to governance transparency.
- Practice rather than slogans: Turn ESG into concrete actions – saving energy, improving the working environment, reporting transparently.
- Work with experts: Seek out reputable organisations for support in designing, implementing and reporting on ESG to international standards.
ESG and CSRD are no longer optional; they are a mandatory passport if Vietnamese businesses want to survive and go far in global supply chains.
Regard ESG not merely as a cost, but as a strategic investment in the sustainable future of your business and of the Vietnamese economy as a whole.
