Green standards become essential for Vietnam's property sector to secure FDI: experts

The panel discussion ‘Not green, not filled – The new rules of Vietnam's real estate market,’ took place as part of Solar & Storage Live Vietnam 2026, a renewable energy exhibition held from Wednesday to Thursday.

Speakers emphasized that construction accounts for nearly 40 percent of global greenhouse gas emissions, making it a prime target for stricter environmental regulations.

The market is shifting from ‘awareness’ to ‘standardization,’ with legal and financial obligations tied to green compliance.

William Badger, strategy and operations director at the Vietnam Green Building Council, said green requirements are now binding conditions for foreign direct investment (FDI).

He cautioned that Vietnamese businesses failing to adopt proper green building standards could lose access to FDI, while also missing opportunities to participate in global sustainable production networks.

International tenants leasing office buildings and factories increasingly demand facilities that meet environmental, social, and governance (ESG) standards and allow manufacturers to trace the carbon footprint of products from the production stage.

Dao Ngoc Long, managing director of Greenpan, said that clients now prioritize independent certifications, circularity, and energy efficiency over price.

Nguyen Trinh Thuy Trang, deputy CEO of Coteccons Construction JSC, warned that companies delaying green adoption could face retrofitting costs up to ten times higher in the next 5-10 years when Vietnam tightens regulations to fulfil its net-zero commitments.

Trang stressed that early design and construction integration is seen as the most cost-effective solution.

Luu Thi Thanh Mau, vice-chairwoman of the Ho Chi Minh City Green Business Association and CEO of Phuc Khang Corporation, said data from green projects show electricity and water savings of over 50 percent, with operating costs about 30 percent lower than traditional buildings. This enhances asset liquidity and long-term value.

Panelists stressed that transparency in data, from measuring carbon emissions and energy use, is essential to prove genuine sustainability and avoid ‘greenwashing.’