VUKimNganNGUYENNgocHaHOANGThiMinhHangTRANPhuongNgocTRANDucPhuLEThiThanhTamSeptember2024©2024InternationalInstituteforSustainableDevelopment|IISD.orgBorderCarbonAdjustmentMechanismsandImpactsonVietnamIISDREPORT©2024InternationalInstituteforSustainableDevelopmentPublishedbytheInternationalInstituteforSustainableDevelopmentThispublicationislicensedunderaCreativeCommonsAttribution-NonCommercial-ShareAlike4.0InternationalLicense.InternationalInstituteforSustainableDevelopmentTheInternationalInstituteforSustainableDevelopment(IISD)isanaward-winning,independentthinktankworkingtoacceleratesolutionsforastableclimate,sustainableresourcemanagement,andfaireconomies.Ourworkinspiresbetterdecisionsandsparksmeaningfulactiontohelppeopleandtheplanetthrive.Weshinealightonwhatcanbeachievedwhengovernments,businesses,non-profits,andcommunitiescometogether.IISD’sstaffofmorethan200peoplecomefromacrosstheglobeandfrommanydisciplines.WithofficesinWinnipeg,Geneva,Ottawa,andToronto,ourworkaffectslivesinmorethan100countries.IISDisaregisteredcharitableorganizationinCanadaandhas501(c)(3)statusintheUnitedStates.IISDreceivescoreoperatingsupportfromtheProvinceofManitobaandprojectfundingfromgovernmentsinsideandoutsideCanada,UnitedNationsagencies,foundations,theprivatesector,andindividuals.BorderCarbonAdjustmentMechanismsandImpactsonVietnamSeptember2024WrittenbyVUKimNgan(editor/chiefauthor),NGUYENNgocHa,HOANGThiMinhHang,TRANPhuongNgoc,TRANDucPhu,andLEThiThanhTamPhoto:iStockHeadOffice111LombardAvenue,Suite325Winnipeg,ManitobaCanadaR3B0T4Tel:+1(204)958-7700Website:iisd.orgX-TWITTER:@IISD_newsIISD.orgiiiBorderCarbonAdjustmentMechanismsandImpactsonVietnamTableofContents1.0IntroductiontoBorderCarbonAdjustments.................................................................................................11.1WhatAreBCAs?..........................................................................................................................................................................11.2ChallengesofBCAsandInternationalCooperation.......................................................................................32.0ImpactsofBCAsonVietnam................................................................................................................................62.1TheContextofVietnam.........................................................................................................................................................62.2ImpactsonSectorsCurrentlyExposedtoBCAs...............................................................................................62.3ImpactsonOtherSectorsPotentiallyExposedtoBCAs.........................................................................113.0ResponsestoBCAsbyVietnameseStakeholders...................................................................................143.1FromtheGovernment...........................................................................................................................................................143.2FromIndustry...............................................................................................................................................................................183.4FromAcademia..................................................................................................................