The consultation workshop "The recommendation for a carbon tax to mitigate the impact of the EU's carbon border adjustment mechanism (CBAM) on Vietnam" was recently organized by the Southeast Asia Energy Transition Partnership Program on August 30.

“Green economy” is simply defined as an economy with low emissions and efficient and economical use of natural resources.

The coffee industry must take action immediately to prevent forest loss and avoid another “yellow card” warning from the EU as with the fisheries sector over illegal, unreported and unregulated (IUU) fishing, said Director of the National Agricultural Extension Centre (NAEC) Le Quoc Thanh.

The European Union will soon require EU importers of certain carbon-intensive products-specifically, iron and steel, aluminum, fertilizer, cement, electricity, and hydrogen-to declare greenhouse gas emissions (GHGs) embedded in their imports and pay import taxes that mirror domestic EU carbon prices.

The EU's ban on deforestation-linked imports are causing concern among Vietnamese producers as the requirements to trace commodities back to their origin can push up costs and entail finding alternative suppliers.

Coffee prices are soaring in the domestic market. However, producers and exporters are worried as the EU has adopted the EU Deforestation Regulation (EUDR) which may affects Vietnam’s exports to the market.

In mid-May 2023, the European Commission issued regulations on the establishment of a Carbon Border Adjustment Mechanism (CBAM) in the EU, requiring businesses to adapt so as not to lose their competitive advantage.

Vietnamese exporters must foster “sustainable and responsible corporate behaviour” throughout their global value chains to boost exports to the EU, experts have said.

"Green goals" require huge investments, which will be a challenge not only for Vietnam but also for Europe.

The European Green Deal will likely affect several Vietnamese industries, depending on the nature of the industry and the specific measures introduced under the deal, a senior trade official has said.