Vietnam targets logistics restructuring to reduce costs and emissions

Vietnam is focusing on restructuring its logistics sector to reduce high costs and improve global supply chain integration. At the 7th Regional Logistics Forum, Deputy Prime Minister Ho Quoc Dung emphasized shifting logistics development from administrative boundaries to economic corridors and supply chains.

Currently, Vietnam's logistics industry grows at 14–16% annually, contributing 4.5–5% to the GDP. However, logistics costs remain high at 16–17% of GDP. A major bottleneck is the heavy reliance on road transport, which handles 70–85% of goods and generates 85% of the sector's greenhouse gas emissions, while rail accounts for less than 2%.

To address this, there is a strategic push to shift freight from roads to inland waterways. Data shows that a 96 TEU barge transporting a 20-foot container consumes approximately 10 liters of fuel, compared to 45 liters for a road tractor, resulting in an 80% reduction in CO2 emissions.

Additionally, the Vietnam Logistics Forum 2026 is scheduled for November 6-7 in Gia Lai. Organized by the Ministry of Industry and Trade, the event aims to connect the Central Highlands to global value chains and will include site visits to Quy Nhon Port and the Becamex-VSIP Industrial Park.