As global trade trends shift rapidly toward sustainability, the European Union’s Carbon Border Adjustment Mechanism (CBAM) is emerging as a key driver reshaping international supply chains. For Vietnamese exporters—particularly in high-emission sectors—the primary challenge lies not only in regulatory compliance, but in the depth of their practical readiness to sustain and grow in the European market. In reality, most Vietnamese businesses have only begun to declare their emission data, while the transition phase is set to end in less than two years.
To support businesses in fully understanding CBAM requirements and planning an effective response for the upcoming implementation phase, the Ho Chi Minh City Investment and Trade Promotion Centre (ITPC), in coordination with the Green Growth Sector Committee of EuroCham, held a practicing seminar entitled “CBAM Compliance – The Path Toward Green Exports to the European Market” on May 7, 2025, in Ho Chi Minh City.
The event attracted nearly 100 participants, including representatives from domestic manufacturing companies, foreign direct investment (FDI) enterprises, international organizations, EuroCham, and its partners in green growth and sustainable transition. It provided a precious opportunity for stakeholders to engage in in-depth dialogue on CBAM, particularly as Vietnam enters a pilot phase for its domestic carbon market while facing growing demands from major trading partners.
In her opening remarks, Ms. Ho Thi Quyen, Deputy Director of ITPC, emphasized that while CBAM compliance presents real challenges, it also offers an opportunity for proactive businesses to leverage the transition phase for competitive advantage. She noted that the Vietnamese government has already taken critical steps, including issuing a Prime Ministerial decision to pilot the carbon market, while also encouraging enterprises to adopt carbon measurement tools, calculate carbon intensity, and invest in clean technologies starting now.
Ms. Ho Thi Quyen, Deputy Director of ITPC, having opening remarks
Among the expert presentations, Dr. Nguyen Phuong Nam, CEO of KLINOVA and a keynote speaker at the event, delivered a comprehensive talk titled “Technical Roadmap and Strategic Recommendations for Vietnamese Enterprises to Comply with CBAM Regulations.” His presentation was structured around four core areas. First, he provided an overview of CBAM, including regulatory updates, implementation timelines, and the long-term goal of supporting the EU in achieving net-zero emissions by 2050. Dr. Nam also analyzed Vietnam’s current import-export structure, especially in high-emission sectors such as aluminum, steel, cement, and fertilizers, helping businesses identify the products most directly affected by CBAM and the related carbon intensity reporting requirements.
Dr. Nam highlighted the major challenges Vietnamese exporters face in meeting emission reporting obligations, calculating carbon intensity, and implementing reduction measures to stay competitive. Rather than stopping at problem identification, he offered strategic recommendations and a technical roadmap tailored to help businesses align with CBAM standards—emphasizing the need to invest in emissions-reduction technologies, establish carbon data monitoring and reporting systems, and prepare for the carbon certificate requirements during the transition period.
One of the key highlights in Dr. Nam’s presentation was his central message to Vietnamese businesses in the context of the EU’s recent postponement of CBAM certificate requirements from January 2026 to February 2027: delay is not a choice — it is an opportunity. Early preparation for CBAM will allow businesses to benefit from the allocation of free allowances during the period from 2026 to 2034, creating a competitive advantage when entering the European market. This is a valuable chance for Vietnamese companies to strengthen their competitiveness, engage with international partners, and potentially stand on equal footing with leading players in the global supply chain.
Dr. Nam concluded by urging businesses to develop a clear roadmap for CBAM compliance, prioritize low-carbon technology investments, and enhance their emission measurement and reporting systems. According to him, thorough preparation and long-term strategy are not just regulatory necessities but essential steps toward a sustainable transformation of the entire manufacturing sector. His insights are particularly relevant for producers looking to invest in emissions tracking, monitoring, and reporting systems—now vital tools for surviving in future export markets.
The panel discussion that followed received strong engagement from participants, with questions covering preparation timelines, compliance costs, the unique challenges of small and medium-sized enterprises (SMEs), and the role of consulting and financial organizations in supporting the green transition. Speakers unanimously agreed that CBAM compliance is not merely a legal obligation—it represents an opportunity to restructure operations, boost efficiency, and build a resilient, sustainable brand image in the eyes of investors and international partners. Dr. Nam added that each business has its own unique carbon story and needs a tailored strategy to transition effectively. What matters most is to start early, learn continuously, and adapt based on industry and market realities.
This seminar went beyond policy updates; it served as a practical meeting point for the green transition efforts quietly underway within Vietnamese enterprises. CBAM is not a barrier—it is a mirror reflecting the true resilience of a modern production economy, where adaptability, technological investment, and data transparency will determine success or failure on the global stage.
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