The sustainable development conference took place at the Pullman Hanoi Hotel on November 12 with the participation of experts and business leaders. They discussed digital and green transition trends across the world and their impact on the Vietnamese market.

Nguyen Dinh Tho, general director of the Institute of Strategy and Policy on Natural Resources and Environment, said the world is moving from Industrial Revolution 4 to Industrial Revolution 5, which is a green industrial revolution. This is taking place in the context of big countries competing for power across the globe.

"Vietnam's commitments are stronger than rivals such as Brazil, India, Indonesia, Thailand, China, and Ukraine, which are all major emitters and our direct competitors. Vietnam’s second updated nationally determined contribution (NDC) plan also raises mitigation targets from 9 per cent to 15.8 per cent and 27 per cent to 43.5 per cent reduction against business as usual in the domestically supported and internationally supported scenarios. The country will be drafting a third updated NDC in 2025," Tho said.

Nguyen Dinh Tho, general director of the Institute of Strategy and Policy on Natural Resources and Environment

Le Viet Anh, director of the Department for Science, Education, Natural Resources, and Environment under the Ministry of Planning and Investment, cited the World Bank’s 2023 report on the dual transformation trend, and pointed out the connection between digital technology and green technology. In particular, based on research and evaluation of patent data usage, 16 green technologies and 11 digital technologies have been selected as the foundation for dual transformation.

"Digital and green transitions are two parallel processes, but they are closely related and inseparable. Dual transition will ensure the rapid and sustainable development of Vietnam," he stated.

In the 2017-2021 period, Vietnam held 15 per cent of the 493 green patents in emerging markets, only behind Malaysia (51 per cent) and Thailand (20 per cent). Most green patents are related to wind energy, waste management, air and water pollution reduction, and green buildings. Meanwhile, Vietnam owns 8 per cent of the total 537 digital patents of developing economies, behind Malayisa (58 per cent), the Philippines (16 per cent), and Thailand (11 per cent).

Do Le Thu Ngoc, head of the Inclusive Growth Department at the United Nations Development Programme (UNDP) in Vietnam, said the country should accelerate its dual transition. Otherwise, Vietnam will face reduced competitiveness in the international market. This is particularly true now the EU has adopted sustainability regulations such as the Carbon Border Adjustment Mechanism and the EU Deforestation Regulation. Other markets are developing similar carbon adjustment mechanisms. The US is also drafting the Clean Competition Act.

"All of these regulations place pressure on businesses to report their environmental and social impacts across the supply chain. At the same time, they are also motivation for businesses to transform or risk joining the supply chain," Ngoc noted.

Do Le Thu Ngoc, head of the Inclusive Growth Department at UNDP in Vietnam