Green Logistics and Net Zero: A Decarbonization Roadmap for Vietnam’s Logistics Industry

According to the Ministry of Transport, the sector accounts for about 18 percent of the country’s total greenhouse gas emissions, and without strong measures, this could rise to over 88 million tons of CO₂ by 2030. At the same time, logistics costs are estimated at 16–18 percent of GDP – notably higher than the global average of 10–12 percent – while the sector contributes roughly 8–10 percent of national CO₂ emissions. As major trading partners tighten carbon-related requirements, “green logistics” is no longer a buzzword but a competitive imperative.

Net Zero pressure: a turning point for Vietnam’s logistics

Globally, transport is responsible for about 16 percent of total CO₂ emissions and nearly 37 percent of emissions from end-use sectors, making logistics a critical battleground for the 45 percent reduction target by 2030 and net zero by 2050. In maritime transport, IMO member states have adopted a revised greenhouse gas strategy that targets net-zero emissions from international shipping by or around 2050, backed by new fuel standards, emission-intensity limits and a global carbon pricing framework expected to start in 2027. As these rules take effect, ships calling at Vietnamese ports will increasingly face carbon-related costs, which will ultimately be passed along the supply chain to shippers and logistics providers.

Domestically, reports underscore that transport accounts for around 60 percent of total logistics costs, with road freight both the backbone of supply chains and the single largest source of sectoral emissions. Vietnam’s updated climate and transport strategies promote fuel-efficient vehicles, a progressive shift to electric and low-carbon fleets, and a stronger role for rail and inland waterways in multimodal freight corridors. For Vietnamese logistics firms, this is a double-edged turning point: it requires significant investment and operational change, yet it also opens the door to repositioning their brands and winning global customers who are under heavy pressure to decarbonize their supply chains.

Mapping the carbon footprint across the logistics chain

To avoid getting lost in the Net Zero transition, companies must start with a step that is simple in theory but rarely done rigorously in practice: measuring and understanding their own carbon footprint. For most logistics firms, emissions cluster around three main pillars: road transport (own fleets or subcontracted carriers), international shipping and air freight (purchased from carriers), and warehousing/terminal operations (electricity, refrigeration, handling equipment). A World Bank study on Vietnam’s trucking sector estimates that road freight alone accounts for about 4 percent of national greenhouse gas emissions, while also representing a prime target for both cost and emission reductions.

At the same time, mechanisms such as the EU’s Carbon Border Adjustment Mechanism (CBAM) are already affecting heavy industries and may gradually expand to other sectors, while major buyers increasingly demand disclosure of Scope 3 emissions, including outsourced logistics. As carriers roll out carbon surcharges and publish route-specific emission factors, Vietnamese logistics companies – who sit in the middle of the chain, buying and reselling transport services – will need solid tools to calculate, allocate and optimise their “emission basket” per shipment, lane and customer.

From quick wins to ecosystem-wide transformation

In the short term, there are many low-cost, high-impact “quick wins” that companies can pursue: route optimisation, reducing empty backhauls, deploying fleet management systems to minimise idling and unnecessary stops, preventive maintenance to keep engines and tyres efficient, switching to LED lighting and more efficient cooling systems in warehouses. Such measures alone can cut fuel consumption by 5–10 percent without major capital expenditure.

Over the medium term, a serious Net Zero roadmap requires higher-impact steps: redesigning network flows to increase the share of rail and inland waterways, using “green corridors” to major seaports; gradually renewing truck fleets with cleaner technologies (Euro 5–6, LNG, electric), and favouring shipping and airline partners with clear decarbonization strategies; developing logistics hubs, bonded and cold warehouses closer to ports and cargo sources to shorten road legs.

In the long run, green logistics becomes an ecosystem challenge rather than a company-by-company endeavour. This calls for close coordination between government, businesses and financiers: green credit schemes, technical standards for vehicles and facilities, tax and fee incentives for low-carbon fuels, and large-scale infrastructure projects – railways, inland waterways, deep-sea ports, ICDs and logistics parks – that are designed from the outset with Net Zero in mind. In such a landscape, Vietnamese logistics firms that move early and invest decisively in green capabilities will be well-placed to become preferred partners for global shippers forced to decarbonize their supply chains.

In the Net Zero era, logistics shifts from being a “mandatory cost” to a strategic criterion in partner selection. The clearer a company’s commitment and roadmap to emission reductions, the easier it becomes to access global value chains, green finance and long-term contracts. Conversely, those that delay the transition will see carbon costs – from carrier surcharges to import-market compliance – gradually erode already thin margins. Green logistics is thus not optional branding; it is a core driver of future competitiveness.

Greening logistics is not a passing trend; it is the entry ticket for Vietnamese businesses in a reconfigured global supply chain, where price, speed and carbon footprint are assessed together. With Vietnam committed to Net Zero by 2050, the logistics sector must move from “following the rules” to “actively shaping the roadmap”: measuring emissions, capturing quick efficiency gains, progressively redesigning networks and investing in green technologies. Those who view Net Zero as a burden will remain on the defensive as new rules roll out; those who treat it as an opportunity can turn green logistics into a durable competitive edge in regional and global markets.

By Phong Le