Report: "The supply chain due diligence requirements of European markets and the impact on Viet Nam’s exports"
Time: October 2025
By: WTO and International Trade Group, Legal Department - VCCI
As the world’s second-largest consumer market, Europe has long been one of Viet Nam’s most important and promising export destinations, particularly in the context of the implementation of the EU - Viet Nam Free Trade Agreement (EVFTA). Amid escalating tariff tensions in the United States, Europe also plays a critical role in Viet Nam's strategy to diversify export markets for Vietnamese enterprises.
However, in recent years, the European Union (EU) as a whole, as well as several individual Member States (notably Germany, France, and the Netherlands), have introduced new legal frameworks aimed at monitoring and addressing human rights and/or environmental risks within the supply chains of large enterprises operating in their markets. These “supply chain due diligence” requirements are increasingly becoming an integral component of the sustainable trade development policies of European markets.
Although the scope of application of supply chain due diligence regulations formally targets large enterprises, their implementation effectively extends to all entities participating in the supply chains of these enterprises, in various roles such as suppliers of raw materials, components and parts, manufacturers and processors, logistics providers, and transport service operators. Accordingly, in order to maintain existing export orders and secure new ones from major European partners, Vietnamese enterprises need to understand these regulations and cooperate effectively with their counterparts to ensure compliance with supply chain due diligence requirements.
A rapid survey conducted by the Research Group of the WTO and International Trade Group, Legal Department - VCCI indicates that up to 59.3% of stakeholders involved in Viet Nam’s goods exports to the EU have never heard of supply chain due diligence regulations in this market, while another 36.6% have heard of them but lack concrete knowledge of their specific requirements. Only a very small number of respondents demonstrate an accurate and comprehensive understanding of supply chain control requirements in European markets.
The report entitled "The supply chain due diligence requirements of European markets and the impact on Viet Nam’s exports" has been prepared by VCCI with the objectives of: (i) providing information and raising awareness among Vietnamese enterprises, authorities, and relevant organizations about these new and significant regulatory developments in European markets, particularly at the EU level (supranational) and in Germany (Member State level); and (ii) identifying the specific requirements imposed on Vietnamese enterprises participating in supply chains serving these markets, especially in the textile and garment and footwear sectors, thereby proposing a number of recommendations to facilitate effective adaptation and compliance with the new regulations of this key export market.
VCCI sincerely acknowledges the support of Friedrich-Naumann-Stiftung für die Freiheit (FNF), Federal Republic of Germany in Viet Nam in the preparation and dissemination of this meaningful report.
Readers who want to see the entire report, please contact Ms Thuy Dung, WTO and International Trade Group, Legal Department – VCCI, Tel: 024-35771458 / 024-32216234 , Email: banthuky@trungtamwto.vn.
The table of contents and the summary of the publication are attached below:
Report: "The supply chain due diligence requirements of European markets and the impact on Viet Nam’s exports" - Table of contents (in Vietnamese)
Report: "The supply chain due diligence requirements of European markets and the impact on Viet Nam’s exports" - Summary