Denmark eyes stronger trade ties, green energy future with Vietnam

Speaking in an exclusive interview with Tuoi Tre (Youth) newspaper in April, Hansen outlined Denmark's strategic vision for Vietnam as a key partner in the shifting global economic landscape.

She highlighted significant Danish investments, such as LEGO and Pandora, and emphasized opportunities in renewable energy – particularly offshore wind – as a priority sector.

Hansen also pointed to regulatory clarity as a crucial step for unlocking further Danish interest in Vietnam's energy market.

Amid concerns over global trade tensions, she stressed the importance of strategic alliances and rules-based trade, positioning Vietnam as a potential manufacturing and logistics hub for Danish companies seeking to diversify.

The EU-Vietnam Free Trade Agreement (EVFTA) and Investment Protection Agreement (EVIPA), she noted, are powerful tools that can be further leveraged to support both sides.

Looking ahead to Denmark's upcoming presidency of the Council of the European Union in July, Hansen said trade expansion, green transition, and resolving the EU's 'yellow card' warning on Vietnam's seafood exports will be among the country's priorities, underscoring Denmark's intent to deepen cooperation with Vietnam across multiple fronts.

This is your third visit to Vietnam in the past two and a half years. What are your expectations for this visit?

I am here to promote trade and investment between Denmark and Vietnam, and to support Danish companies to further develop in the S-shaped land. In addition to attending the Partnership for Green Growth (P4G) Summit and the global development goals, I also met with the Vietnamese Ministry of Agriculture and Environment on sustainable development and green transition in the agricultural sector.

I also met with the Ministry of Finance to discuss our bilateral economic relations, in particular investments from the private sector that we want to increase. I also met with Deputy Prime Minister Bui Thanh Son and senior representatives of Danish companies to discuss how Danish investments can contribute to sustainable development in Vietnam.

And last but not least, I met with Vietnam National Industry and Energy Group - Petrovietnam to promote cooperation opportunities in the renewable energy sector, especially offshore wind power.

When it comes to Danish investment in Vietnam, we have Lego and Pandora as great examples, but our bilateral trade is leaning more toward Vietnam. Are there any obstacles for Danish businesses in general?

Vietnam has been emerging as an industrial hub and I believe the country will attract even more investment, especially in the context of current geopolitical tensions. Trade is trending positively, with Danish exports to Vietnam in 2025 already reaching 184.9 million kroner [US$17.75 million], up 27.4 percent year on year.

In terms of obstacles, I think that Danish companies are actually characterized by a high level of risk-taking. However, like companies from most other countries, transparency and a strong regulatory framework are of great importance to companies. Among many sectors, Danish companies can provide both technology and equipment that contribute to efficient growth and green transition.

As a country with many of the world's leading wind turbine manufacturers, how does Denmark assess the potential of the renewable energy market in Vietnam and what do Danish companies prefer Vietnam to improve?

Leading Danish companies are already present in Vietnam, such as Vestas, CIP, Maersk, Grundfos, and Rambøl. The Lego and Pandora groups are examples of large investments in setting up factories and are driving the demand for renewable energy investments because they want clean electricity. In other words, there is a strong interest from Danish companies in the Vietnamese energy sector, especially in wind power.

The regulatory framework remains a key challenge for Danish wind companies and developers looking to Vietnam. They want some clear legal guidelines and principles to move forward.

We have seen very good signals from the Vietnamese government. For example, the Power Development Plan 8 seems to keep the target of 6 gigawatts of offshore wind by 2030. A big step in the right direction is Decree 57, which allows direct power purchase agreements, allowing private renewable energy producers to actually sell electricity directly to large consumers.

On the government side, the energy partnership between Denmark and Vietnam has been an important part of the bilateral relationship since 2008 and remains an important part of the Green Strategic Partnership between the two countries.

With many years of experience in trade, how do you assess the current international trade environment? How can Vietnam and Denmark support each other amid concerns about a global trade war?

As a diplomat, I have been working on trade for the past 20 years and have always been careful when comparing different situations around the world. But I have to say that the current trade environment is very uncertain, especially with the potential U.S. tariffs and their implications.

For Denmark, we are a small, open economy, so we rely on the ability of our companies to do business with other countries. When I talk to Danish companies in Vietnam, the impact is still uncertain due to the level of access to the U.S. and the unstable context.

On the positive side, many Danish companies have already established businesses and invested in the Vietnamese or Southeast Asian markets. Politically, for Denmark, free, fair, and rules-based trade is very clear. We believe that this will help to counter the current global economic uncertainties.

That is also one of the many reasons why I am here because with the fragmented global economic landscape that we are seeing, there is a need for strategic economic links with all partners. That requires strong strategic and economic alliances with partners all around the world.

Vietnam is such a global partner for Denmark and will become a manufacturing and logistics hub for Danish companies looking to diversify. Denmark's strengths in high technology and green technology will be useful for Vietnam in its green transition to achieve its national development goals.

Vietnam and the EU have signed the EVFTA, and Denmark is one of the first countries to ratify the EVIPA. In your opinion, is the EVFTA effective for business activities between Danish and Vietnamese companies? And how can that effectiveness be further enhanced?

As I said, for Denmark, with our clear ambition for free and rules-based trade, the EVFTA and EVIPA are welcomed as powerful tools to ensure economic success for both sides. The EVFTA increases opportunities for exporting Vietnamese goods to the Danish market and vice versa. Danish investors have also increased their investment in Vietnam to diversify their supply chains. In short, Vietnam's attractiveness to European investors has been enhanced.

Looking ahead, there are still some challenges and it is important that we continue to work to ease the difficulties faced by European businesses, such as complex regulatory requirements and recognition of international standards. We want to make the most of the opportunities that the agreement brings, but we also want to work with our Vietnamese friends and partners to find solutions to the remaining challenges in a way that benefits both Vietnam and Europe.

Denmark will begin its presidency of the Council of the European Union in July this year. Can you share Denmark's priorities in this position? Will the ratification of the EVIPA and the removal of the IUU yellow card against Vietnamese seafood be achieved in the last six months of 2025?

The Presidency of the Council of the European Union comes to Denmark at a crucial time for the region and we are very excited about it. In this role, Denmark will address geopolitical realities, security and defence, as well as competitiveness, including the green and digital transitions.

If we focus solely on the priorities of EU trade policy, Denmark will work to build a more global and partnership-oriented Europe. And in a time of rising tariffs, Denmark's trade policy priority during the Presidency of the Council of the European Union will be to expand the EU's network of FTAs.

Regarding the yellow card, we hope that the EU and Vietnam can work together better to combat illegal, unreported and unregulated (IUU) fishing. We support a close and ongoing dialogue between the European Commission and Vietnam on how to follow up on the recommendations to improve the situation and from that lift the yellow card.

And last but not least, I would like to mention our desire to strengthen our trade and investment relations with Vietnam. Denmark is honored to be one of the first EU countries to ratify the EVIPA early and may be when I come back next time, we will have even more enhanced investment and trade between our two countries.