Climate change poses an increasingly severe and unpredictable threat to global economic stability.
With the World Meteorological Organisation forecasting a rise in the frequency and intensity of extreme weather, and international climate negotiations progressing slowly, many nations are turning to carbon taxes, green supply chain mandates, technical standards and trade barriers to drive emission reductions.
Vietnam, with its high energy demand and rapid growth, faces rising greenhouse gas (GHG) emissions, while urbanisation and infrastructure expansion strain its natural ecosystems.
A 2025 World Bank report projects that, under the RCP4.5 scenario, climate change could reduce Vietnam’s GDP by 9.1% by 2035 and 12.5% by 2050.
The severity is already evident: in just the first ten months of 2025, Vietnam experienced 20 unusually intense natural disasters, resulting in an estimated VND 59.2 trillion (USD 2.25 billion) in damages.
Despite these challenges, Vietnam has emerged as a regional forerunner in climate action.
To deliver on its landmark COP26 commitment to achieve Net Zero emissions by 2050, a pledge that now anchors its long-term sustainable development strategy, Vietnam has rolled out a suite of robust policies.
These include the National Climate Change Strategy to 2050, the decree on GHG Emission Reduction and Ozone Layer Protection (No. 06/2022/ND-CP), the updated decree 119/2025/ND-CP, a National Methane Action Plan, and a blueprint for a domestic carbon market.
These frameworks focus on promoting renewable energy, enhancing energy efficiency, and managing waste and emissions across key sectors.
Vietnam has demonstrated a serious commitment through its policies and actions. It stands ready to be a reliable, transparent, and science-driven partner.
However, to accelerate a just and inclusive green transition, strong international support is essential — not just as a matter of Common But Differentiated Responsibilities (CBDR), but as a strategic investment opportunity.
Support in finance, technology transfer, and governance will be key to unlocking Vietnam’s potential to achieve Net Zero by 2050, protecting its people and ecosystems while fostering sustainable growth and inspiring just transitions worldwide.
