Why Vietnam? As a top-performing Asian economy and a lower-middle-income country, the Vietnamese economy has been growing by 5 – 7% annually since 2000. Despite the COVID-19 pandemic, the country reached GDP growth rates of 2 – 3% throughout 2020 and 2021 and is expected to return to the 4 – 7% range in 2022. Further, the new free trade agreement between Vietnam and the European Union, which entered into force in August 2020, opens up new commercial opportunities. Denmark is considered a committed, innovative and stable partner for Vietnam. Vietnam constitutes an increasingly interesting market for Danish companies and a strategic partner for Denmark in the transition to a greener and more sustainable future. The growing demand in Vietnam for green solutions, especially within renewable energy and energy efficiency, provides considerable potential for further deepening of Danish-Vietnamese cooperation, trade, and export.

Why attend? Vietnam is making critical decisions on the green transition and energy investments – and constitutes an increasingly interesting market for Danish companies supporting the transition to a greener future.

Their Royal Highnesses The Crown Prince and The Crown Princess will visit Vietnam in November 2022 to celebrate the 50th anniversary of Danish-Vietnamese diplomatic relations established back in November 1971. On this very special occasion, an official Danish business delegation will travel to Vietnam.

Delegates will participate in an interesting programme of networking events, seminars and site visits. Delegates will meet customers and partners as well as gain insights into new market opportunities in Vietnam. The visit provides
an excellent opportunity for Danish companies to acquire and nurture business contacts in Vietnam and to meet with business representatives, organisations, public authorities and media.

Sector focus

The overall theme of the visit is renewable energy.

The activities and events during the visit will take place within two sector tracks (mentioned below):

  • Wind energy
  • Energy efficiency in the industry

Denmark has supported Vietnam’s energy efficiency agenda since 2009. In 2017, the Danish cooperation with Vietnam was consolidated under the Danish Energy Partnership Programme (DEPP), which aims to support Vietnam in achieving the national commitment under the Paris Agreement.

The programme has been instrumental in developing the capacity of Vietnamese authorities in energy planning, integration of renewable energy and energy efficiency in the industrial sector.

Clear messages were delivered in the Vietnam Energy Outlook Report 2021 (EOR21), which was developed in close collaboration between the Danish Energy Agency (DEA), the Embassy of Denmark and the Vietnamese Ministry of Industry and Trade and launched early June 2022. The report concluded that there is great potential for green transition in Vietnam, which by 2050 can become a net zero-carbon economy as set out by Vietnamese Prime Minister Pham Minh Chinh during COP26 in Glasgow.

Wind Energy

In the decade to come, Vietnam will need to supply the country’s growing economy with sufficient and reliable power sources to meet the country’s socio-economic goals, while at the same time reducing greenhouse gas emissions. According to the latest draft of Vietnam’s 8th Power Development Plan (PDP8) the total installed capacity for power production is about 120,995 – 145,930 MW in 2030 and 284,660 – 387,875 MW in 2045 compared to 56 GW in 2019.

A number of Danish original equipment manufacturers, wind developers and suppliers are already present in Vietnam, and in 2020, the majority of new onshore wind turbines deployed were delivered by Danish companies. According to the latest draft of PDP 8, total onshore and nearshore wind power capacity is about 10 – 13 MW by 2025, about 11 – 16 MW by 2030 and about 36 – 56 MW by 2045. Total offshore wind power capacity is about 7,000 MW or possibly higher in 2030 and about 30,000 – 64500 MW in 2045.

The Danish Energy Agency has provided technical input to an offshore wind roadmap suggesting a volume target of 10 GW in 2030 and continues to support the development of a necessary regulatory framework for offshore wind.

The sector programme will focus on the entire value chain of the wind industry.

Energy efficiency in the industry

Vietnam’s growth has been driven by industrialization, and the country is currently one of the most energy intensive economies not only in the ASEAN region but globally. According to the International Energy Agency (IEA), Vietnam’s use of energy holds great potential for optimization. Today, Vietnam has the highest energy consumption per produced unit of GDP in the ASEAN region. The industry accounts for 49% of the total national energy consumption. Consequently, Vietnam’s energy related CO2 emission intensity is among the highest in the world.

The Danish Energy Partnership Programme (DEPP) is providing technical input at central and provincial levels on enforcing compliance of the energy legislation. Efforts are focused on implementing necessary energy efficiency regulation in the energy intensive industrial sector in selected partner provinces and assisting 63 provinces in developing energy efficiency action plans. An incentive scheme and an ‘energy efficiency technology catalogue’ inspired by Danish experiences is planned within selected high-intensive energy industries in Vietnam. The cooperation creates an opening for Danish technologies and solutions to be further explored.

The sector programme will focus on energy efficiency in the manufacturing industry through technology, machinery and process optimization.

Tentative Programme

For more information about the sector-specific content, please visit www.mfa-events.dk/danishroyalvisittovietnam2022.

The latest version of the programme will be available on the website at all times.