Share:
The Vietnamese government is accelerating policy reforms that are poised to transform the construction industry over the next decade, balancing ambitious growth with environmental sustainability and regulatory rigor.
The Vietnamese government is accelerating policy reforms that are poised to transform the construction industry over the next decade, balancing ambitious growth with environmental sustainability and regulatory rigor.

Figure 1. An aerial view of a construction site in HCMC – Photo: Le Vu
Vietnam’s Construction Industry Development Strategy to 2030, with a vision to 2045, aims to modernize the sector’s institutional framework and enforce transparent, environmentally conscious practices. The plan encourages investment in energy-efficient technologies and environmentally friendly materials while eliminating outdated, polluting manufacturing methods.
This dovetails with national commitments under the Paris Agreement and a broader pledge to reach net-zero emissions by 2050, which guides sector-wide actions in construction and beyond.
.jpg)
Figure 2. Hanoi was considered world's most polluted city for many days in 2025. Photo: Reuters
Government directives now require more frequent environmental inspections and detailed reporting from construction firms — particularly those with significant emissions. Stricter enforcement of site environmental management plans has become the norm, with punitive measures for non-compliance. The shift compels sustainability from theory to practice: it is no longer optional, but intrinsic to a company’s operational license. Sustainability moves from “nice-to-have” to “license to operate.”
And city governments are tightening dust control measures at construction sites to protect urban air quality — especially in polluted regions like Ho Chi Minh City — by mandating water spraying, proper material covering, and vehicle cleaning protocols.
One of the most pressing issues driving regulatory change is air pollution — especially PM2.5. National plans aim to reduce average PM2.5 levels significantly by 2030 and ensure year-on-year improvements, focusing on emissions from industrial processes, transport, and construction activities. Compliance with emissions standards is expected to become more rigorous, influencing how buildings are designed and operated.
Experts note that such standards will naturally favor ventilation-driven passive design and low-impact construction techniques that reduce dust and airborne contaminants — key components of healthier urban environments.
Vietnam is increasingly championing green building materials as central to sustainable development. Industry figures stress that construction consumes nearly 40% of energy resources and generates significant greenhouse gases. Government strategy documents and action plans promote the use of recycled materials, low-carbon cement alternatives, and high-energy-efficiency products to help meet national emission reduction targets.
.jpg)
Figure 3. Materials that have clear LCA and EPD documents will be more favoured in the future. Photo: Metsims
Regional media and industry observers have even highlighted plans to make green construction standards mandatory, particularly for large projects like residential high-rises and industrial parks — boosting demand for certified low-carbon materials.
.png)
Figure 4. Green roof tiles are widely used for many buildings in Vietnam. Photo: SCG
Despite increased regulatory demands, Vietnam’s construction industry is projected to maintain robust growth. Analysts forecast continued expansion driven by the government’s infrastructure investments and strategic development initiatives targeting transport networks and energy facilities. Annual growth rates approaching 7% are forecast from 2026 to 2029, supported by major projects including power plants and urban housing developments.
The sector’s growth will require a parallel evolution in workforce skills, digital adoption, and sustainability expertise — presenting both challenges and opportunities for domestic and foreign firms.
Vietnam’s evolving policy landscape creates a complex but promising environment for the construction industry. Regulatory reforms prioritizing environmental performance, technological modernization, and stricter enforcement align with global sustainability trends. At the same time, continued investment in infrastructure and urban development signals robust economic potential.
For investors, developers, and construction firms, success in Vietnam will depend on the ability to integrate environmental compliance with innovation — from green materials to digital project management — ensuring that the country’s built environment supports both economic growth and ecological resilience.
This guide outlines LEED credits and prerequisites that can be achieved with little to no major material or construction cost. These strategies focus on early planning, documentation, process alignment, and smart site selection, making them especially suitable for projects seeking cost-effective sustainability outcomes.
Hanoi / Ho Chi Minh City, 2026 — The year 2026 marks another decisive phase of transformation in Vietnam’s real estate market: “green” is no longer a marketing slogan but is becoming a criterion for financial risk assessment, capital access conditions, and project operation standards.
Every city carries fractures within it — remnants, vacant lots, abandoned structures, and layers of surplus infrastructure that fall outside the spotlight of official planning. These are spaces out of sync with urban order, yet they unexpectedly form the city’s “underside,” where seemingly continuous structures begin to rupture.
Vietnam is increasingly demonstrating strong commitment to reducing emissions and responding to climate change by placing “sustainable cooling” at the center of urban planning and development.
Urban nature isn’t a decorative layer. It cools streets, filters water, reduces floods, supports pollinators—and improves human wellbeing.
A resilient city is an urban area capable of absorbing, adapting to, and recovering from shocks and long-term stresses — from acute disasters such as storms, floods, and landslides, to chronic pressures such as rapid urbanization, ecosystem degradation, and supply-chain vulnerabilities.