Innovation - Driving force for Vietnamese enterprises to realise ESG strategies

In Viet Nam, although more than 70 per cent of listed companies have begun to integrate Environmental, Social, and Governance (ESG) standards into their business strategies, only around 30 per cent have established clear performance measurement systems, according to PwC’s 2023 survey.

The thematic seminar “Innovation in building and implementing ESG strategies to respond to a period of turbulence”. (Photo: Kim Dung)

The thematic seminar “Innovation in building and implementing ESG strategies to respond to a period of turbulence” took place in Ha Noi on the afternoon of August 22, as part of the “Sustainable Development in a New Era: Turning Aspirations into Action” forum organised by the Viet Nam Chamber of Commerce and Industry (VCCI). The event attracted strong interest from the business community, experts, and policymakers.

Opening the seminar, Nguyen Tien Huy, Director of the Viet Nam Business Council for Sustainable Development (VBCSD), emphasised that in a globally volatile context marked by climate change, energy crises, supply chain disruptions, and geopolitical tensions, ESG is no longer just a trend but an essential requirement for enterprises to maintain competitiveness and ensure long-term growth.

“If ESG is the roadmap for the journey towards sustainable development, then innovation is the driving force that enables the corporate vessel to go faster, further and more firmly,” Nguyen Tien Huy stated.

At the seminar, David Falcon Adasme, ESG Director of VinFast, shared the company’s transformation journey: from petrol-powered vehicles to 100 per cent electric cars, and from its domestic base to expanded markets in the US, Canada and Europe. VinFast has committed to achieving net zero by 2040 with a strategy centred on green mobility, renewable energy, 100 per cent battery recycling, and the application of AI and IoT in charging infrastructure development.

“We regard ESG not only as a responsibility but also as a core value foundation that creates competitive advantage in the global market,” he affirmed.

Discussions further highlighted that sustainable development requires close collaboration among businesses, regulators, research institutes, universities and investors. Innovation must be placed at the heart of this ecosystem, from the application of biotechnology in agriculture and recycling technologies in industry, to public–private partnership models in the implementation of large-scale green transition projects.

Specifically, participants underlined the urgent need for national policies and resolutions to promote ESG development, providing a platform of support for small and medium-sized enterprises, which face considerable resource constraints in research, development and innovation.

Link to the original article