Vietnam is rapidly transforming its logistics sector as authorities and businesses embraced a "green and smart" model aimed at long-term sustainability and global competitiveness.
The initiative, emphasised at recent national forums, seeks to modernize transportation, cut carbon emissions and strengthen the country's export abilities.
At the recent Vietnam Logistics Forum 2025 in Da Nang, attended by more than 500 domestic and international delegates, Phạm Minh Chính — the country's Prime Minister — reiterated the government's commitment to building a "smart, modern, green and digital" national logistics ecosystem.
According to the Prime Minister, the logistics industry already contributes significantly to Vietnam's economy — with annual growth of about 14–16% and accounting for 4.5–5% of GDP.
However, he pointed out several challenges that need addressing, including high logistics costs compared with regional peers, uneven infrastructure and connectivity gaps, a shortage of skilled logistics professionals, and a pressing need for regulatory and digital reforms.
To overcome these hurdles, the government and private sector are charting a path forward through a combination of investments in green infrastructure, digitalization of logistics operations, and incentives for low-carbon practices.
Among the priorities, expanding renewable-energy warehouses, deploying electric or low-emission transport fleets, modernising ports and airports, and scaling up digital tools such as AI, IoT, and data-driven supply-chain management were highlighted.
Industry stakeholders note that green and digital logistics are no longer optional — but vital for meeting global supply-chain expectations and environmental standards. For export-oriented companies, adopting sustainable logistics practices can reduce costs, improve efficiency, and broaden access to environmentally conscious global markets.
Still, experts concede that widespread adoption will require support — especially from the government — in the form of policies, financing, and training for small and medium logistics firms to upgrade fleets, warehouses and digital capacities.
As Vietnam integrates more deeply into global supply chains and trade volume scales up, the shift to green-smart logistics could become a decisive factor in the country's future competitiveness.
