Promoting ESG practices among businesses

From cutting emissions and saving energy to managing raw material sourcing, working conditions and corporate governance, ESG (Environmental, Social and Governance) practices are increasingly becoming part of business operations and production processes.

Eco Polymers Co., Ltd., based at Ho Nai Industrial Park, is promoting ESG practices, starting with product recycling.

In Dong Nai, ESG practices are not only a concern for individual businesses but are also being integrated into the transformation of industrial parks (IPs) toward green and eco-industrial models, helping improve the quality of investment attraction and enhance businesses’ competitiveness in supply chains.

Shifting from investment attraction to green projects

Export markets are paying increasing attention to the carbon footprints of products. Multinational corporations are also setting requirements for suppliers regarding environmental protection, energy use, raw material sourcing and corporate governance. For businesses participating in global supply chains, ESG is therefore no longer confined to a separate report but directly affects investment decisions and production processes.

At the seminar themed “ESG practices in manufacturing: Solutions to reduce energy costs through drive systems and measure actual emission reductions,” held on September 22, Phi Thi Thu Hien, Head of the High-Tech Management Division under Dong Nai Industrial Parks and Economic Zones Authority (DNIEZA), said green production was moving from being encouraged to becoming a practical requirement. Carbon emissions are increasingly becoming a technical criterion in trade, requiring businesses to reconsider their use of energy and raw materials as well as their waste treatment practices.

According to Phi Thi Thu Hien, Dong Nai is changing its approach to investment attraction, shifting from prioritizing the number of projects to focusing on project quality, technology, resource-use efficiency and sustainable development potential. This direction is aligned with the transformation of existing IPs into green and eco-industrial parks.

Dong Nai’s Plan No. 76/KH-UBND, dated February 9, 2026, on transforming existing IPs into green and eco-industrial parks through 2030, with a vision to 2050, has set out a specific roadmap for the transition. The city is implementing requirements related to cleaner production, industrial symbiosis, the circular economy, energy audits, greenhouse gas inventories and renewable energy use.

When greening helps reduce costs, meet customer requirements and expand opportunities to participate in supply chains, ESG will no longer be viewed as a mandatory expense but as part of a business’s competitiveness.

Dong Nai currently has 44 operational IPs, with nearly 2,800 projects. As green criteria are incorporated into IP infrastructure development, ESG is no longer merely a matter for individual businesses. It also concerns how IPs supply energy, treat wastewater, manage waste and connect businesses within the same ecosystem.

The experience of Amata IP shows that this approach can deliver tangible economic benefits. Under the eco-industrial park model, businesses are encouraged to adopt cleaner production solutions, save energy and water, and increase resource exchanges among production facilities.

The DNIEZA is continuing to promote this model. Its 2026 implementation plan requires infrastructure developers to review their transformation roadmaps and coordinate with authorities to guide businesses in cleaner production, industrial symbiosis, the circular economy and greenhouse gas inventories.

From ESG requirements to business cost considerations

ESG practices can start with specific investments that deliver measurable results. Energy efficiency, for example, can be addressed directly as part of a business’s operating costs.

Hoang Dinh Bieu, an expert from ABB Automation and Electrification Vietnam Co., Ltd. in Ho Chi Minh City, which provides energy-saving solutions, said ESG did not necessarily have to begin with large investments. Businesses could review each production stage, measure energy consumption, identify inefficient equipment and then select appropriate solutions. Once the savings are quantified, investment in green transformation becomes a financial calculation rather than merely an environmental requirement.

For businesses deeply integrated into supply chains, these requirements are also directly linked to their ability to retain existing orders and secure new ones. Vu Manh Hung, Chairman and General Director of Hung Nhon Group, based in Thuan Loi Commune, Dong Nai City, said the group had invested in solutions to reduce emissions, improve energy efficiency, reuse water and apply technology in agricultural production.

In 2026, Hung Nhon Group and De Heus signed a cooperation agreement for green transformation during the 2026-2036 period, focusing on green energy, emissions reduction and the development of a circular agricultural value chain, with the goal of achieving net zero by 2050. Standardizing processes in line with international standards is also intended to facilitate connections with foreign partners. Domestic businesses will find it increasingly difficult to remain outside this process if they want to participate more deeply in global value chains.

However, experts said small and medium-sized enterprises still faced obstacles in implementing ESG. Initial investment costs for green technologies remain high, while there is a shortage of personnel with expertise in production, technology and environmental management. Several issues related to industrial symbiosis, including the exchange and reuse of waste, wastewater and other resources among businesses, also require further improvements to the legal framework.

In addition, there is still no unified ESG approach suited to the scale and characteristics of each industry. Large businesses can establish their own governance systems, emissions inventories and reporting mechanisms, while smaller businesses need simpler guidance on where to start and which areas to prioritize for investment.

By V. The – Translated by M.Nguyet, Minho