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Vietnam's accelerated pathway to a low-carbon aviation future
Vietnam Investment Review
|May 18, 2026
Vietnam’s aviation industry is on a pathway to a low-carbon landscape. Francesca Nardini, deputy resident representative of the United Nations Development Programme in Vietnam, writes about how to turn the country’s commitment into action in this industry.
Vietnam has demonstrated strong commitment to climate action in aviation, including its decision to participate in the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA). However, commitment alone is not enough. Without sufficient operational readiness, participation risks increasing compliance costs and exposing airlines to carbon market volatility, rather than creating a strategic advantage.
As the global community intensifies efforts to address climate change, the aviation sector faces a defining challenge: how to decarbonise while continuing to support economic growth, trade, and connectivity. For Vietnam, aviation is an engine of trade, tourism, investment and regional integration. As demand for air travel continues to grow, ensuring that this expansion is environmentally sustainable is not a climate imperative and strategic economic choice.
At the same time, the direction is clear. CORSIA, established by the International Civil Aviation Organization, marks an important milestone. It is the first global market-based mechanism designed to address emissions from international aviation, reflecting a collective commitment to achieving carbon-neutral growth and aligning the sector with global climate goals.
For Vietnam, participation in CORSIA will directly shape the competitiveness of its airlines, their exposure to carbon costs, and the country’s positioning in emerging carbon markets. How effectively Vietnam prepares for CORSIA will determine whether it absorbs rising compliance costs passively or actively manages them as part of a broader low-carbon transition strategy.
This story is from the May 18, 2026 edition of Vietnam Investment Review.
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