Practical applications of carbon credits in the economy. Part VIII: Opportunities for exporting green products to the world

The shift towards a green economy is becoming a significant trend globally. Vietnam, with its vast potential for renewable energy and sustainable development, has early on recognized the opportunity to export green products through carbon credits.

Helping businesses gain competitive advantages

A carbon credit is a unit of measurement for carbon emissions released by a company's business and production activities. Each carbon credit is equivalent to a reduction of one ton of carbon emissions into the environment. Carbon credits can be traded and used to meet carbon emission reduction targets of nations and organizations.

The benefits of carbon credits for exporting green products from Vietnam are numerous. First, with carbon credits, Vietnamese businesses can demonstrate that their products meet stringent environmental and climate standards. This helps enhance international customer trust and expands the opportunity to export green products to the world.

Second, using carbon credits allows businesses to create added value for their products. Green products linked to carbon credits have the potential to attract environmentally conscious consumers and create a competitive edge in the international market.

Third, using carbon credits helps support Vietnam’s and international climate policies. Reducing carbon emissions and transitioning to green production and business are crucial goals in controlling climate change and protecting the environment. Businesses using carbon credits contribute to fulfilling Vietnam's climate commitments and generate positive impacts for the global community.

Finally, exporting green products through carbon credits not only brings economic benefits but also contributes to Vietnam’s sustainable development. Renewable energy and other green resources will be harnessed and developed, creating conditions for technological innovation and creativity in the industry.

Thus, carbon credits are not just a tool for measuring carbon emissions but also provide an opportunity for Vietnam to export green products to the world. Using carbon credits helps expand export markets, create added value for products, support climate policies, and contribute to the country’s sustainable development. This approach not only brings economic benefits but also showcases Vietnam’s commitment to reducing carbon emissions and protecting the environment. Vietnam should leverage this opportunity to boost the export of green products and make a positive contribution to global development and environmental protection.

The trend of green exports brings many benefits

Ms. Nguyen Thi Thu Trang, Director of the WTO and Integration Center (Vietnam Chamber of Commerce and Industry), stated that transitioning to green production and export requires significant investment and high technology, which not all businesses are capable of pursuing and meeting. To avoid being excluded from the game due to the high environmental and social standards set by import markets, Vietnamese businesses need more support from ministries, sectors, and localities regarding mechanisms and policies.

Meanwhile, Mr. Vu Ba Phu, Director of the Trade Promotion Department under the Ministry of Industry and Trade, mentioned that the Ministry will implement many activities to promote green exports. Currently, the trend of green exports is becoming increasingly important for Vietnam as regulations and standards related to green factors are gradually being systematized in our major export markets.

According to Mr. Phu, it is evident that green exports bring many benefits, especially higher profits for products that meet green standards and have carbon certificates. This helps increase the sales value multiple times compared to conventional products.

Another advantage is that to meet green standards, businesses must enhance their production capabilities. This not only helps reduce carbon fees but also increases competitiveness compared to products from other countries that have not met similar standards.

Moreover, for Vietnam, export businesses are often small and medium-sized, making it easier and more cost-effective for them to adapt to new standards compared to large international corporations with complex supply chains.

Previously, in 2022, the Ministry of Industry and Trade proposed to the Prime Minister to coordinate with ministries, sectors, and foreign representative agencies to provide timely information, requirements, and guidance from the European Union on agreements and green transition, helping Vietnamese businesses adapt quickly and effectively to these new requirements. In addition to supporting access to information and enhancing capacity to meet new standards for businesses, ministries also quickly supplement and complete the legal framework, issuing regulations and standards to determine environmental friendliness levels. In trade promotion, the Ministry has developed an index of trade promotion capacity, and in the near future, will add green transition indicators in trade promotion and export.

Nhan Ha Phan