While these rules directly target European companies, they have a major impact on Vietnamese suppliers. Economic experts stress that proactive adaptation will determine the ability of businesses to maintain and expand exports to the EU.

According to Dau Anh Tuan, Vice Secretary-General and Head of the Legal Affairs Department at the Vietnam Chamber of Commerce and Industry (VCCI), Germany’s Corporate Supply Chain Due Diligence Act and the EU’s Corporate Sustainability Due Diligence Directive represent the most comprehensive and stringent supply chain rules globally to date.

Although Vietnamese businesses are not direct targets, suppliers of raw materials, manufacturers, logistics providers, and transport companies must comply with transparency, environmental, and human rights requirements to sustain partnerships with European clients.

Failure to provide information or meet standards can result in order rejections, removal from supply chains, or lost market opportunities. Yet a VCCI survey conducted in July-August 2025 found that 59.3% of Vietnamese enterprises had never heard of these regulations, while 36.6% had only a vague understanding, highlighting a significant gap between evolving EU policies and local business readiness.

Statistics from the General Statistics Office show that between 2015 and 2024, the EU accounted for an average of 15.3% of Vietnam’s total exports. Key sectors such as textiles and footwear, representing 20.8% of exports to the EU, feature extensive supply chains and are likely to face stringent scrutiny under the new rules.

Pham Thi Thanh Xuan, Vice Chair and Secretary-General of the Vietnam Leather and Footwear Association, noted that domestic firms’ awareness has improved in recent years. Many are now taking initiative, conducting self-assessments, participating in certification programs, and undergoing independent audits to enhance capacity and credibility. However, small and medium-sized enterprises still struggle due to limited resources for compliance teams and international standards adherence.

Hoang Manh Cam, Chief of Office at Vietnam National Textile and Garment Group (Vinatex), emphasized that the government should align national technical standards with international practices to create a unified framework for businesses.

While initial investment in quality management systems and certification may be challenging, meeting these requirements enables companies to secure long-term contracts, strengthen competitiveness, and achieve sustainable growth. Cam added, “Compliance with import market standards is vital. Every company must take responsibility, actively seek guidance, and adopt solutions suited to their clients.”

Vanessa Steinmetz, Director of the Friedrich Naumann Foundation (FNF) in Vietnam, highlighted that timely support to help businesses understand and implement global supply chain rules will shape Vietnam’s export strategy to Europe.

Experts recommend that companies and associations enhance supply chain due diligence capacity, coordinate with European partners, and strictly comply with domestic labor and environmental laws. Associations should integrate due diligence support into regular plans, offering continuous advice, while state agencies overseeing labor, environment, production, export, and trade should assist businesses in risk assessment, certification, and compliance verification.

Ultimately, meeting EU supply chain due diligence requirements builds trust between producers and consumers, opens new opportunities, and strengthens Vietnamese enterprises’ competitiveness in the international market.

EU, Vietnam to promote green economy at GEF 2025

VOV.VN - The European Chamber of Commerce in Vietnam (EuroCham) is set to host the Green Economy Forum (GEF) 2025 themed “Shaping Changes, Building Futures” in Hanoi on November 27 and the event is expected to bring together policymakers, business leaders, and innovators to turn climate ambitions into actionable solutions.