In the context of ESG becoming the “common language” of global trade, the capacity to standardize and protect sustainability data will be the decisive factor determining the ability of Vietnamese businesses to participate in international value chains.
ESG Is Becoming the “Laissez-Passer” of Global Trade
On July 29, the Global Reporting Initiative (GRI) officially announced the GRI Sustainability Reporting Standards tailored to the conditions of Vietnamese enterprises.
This announcement not only helps businesses, especially the SME sector, access ESG more easily, but also opens up a common data standard to meet the requirements of multinational corporations, investment funds, and export markets.
Representatives of entities sign cooperation agreements to support Vietnamese businesses in implementing sustainability reporting.
In the context where ESG is becoming a “common language” and major markets such as the EU, North America, along with many multinational corporations, continuously elevate environmental, social, and governance (ESG) requirements, the set of standards is seen as a tool helping Vietnamese enterprises standardize data in an international language.
According to data from the Ministry of Industry and Trade, as of July 15, Vietnam’s export turnover reached 290.5 billion USD, up 21.4% over the same period last year. Behind this positive growth rate is escalating pressure from “green barriers,” as many importers no longer evaluate product quality alone, but also require enterprises to verify raw material origins, carbon emissions, labor conditions, and governance systems.
According to Mr. Tran Cong Minh Bao, GRI Country Manager in Vietnam, small and medium enterprises account for about 98% of the total number of businesses nationwide, yet still face numerous limitations regarding financial resources, personnel, and governance capacity.
Mr. Nguyen Cong Minh Bao, GRI Country Manager in Vietnam, shares information about the implementation process of the GRI Standards.
For many years, preparing sustainability reports according to international standards was almost exclusively reserved for listed enterprises or large corporations with dedicated teams. Most SMEs lacked both data collection systems and report compilation methodologies.
“This causes many enterprises, despite having quality products, to face difficulties when seeking to participate in the supply chains of global brands,” Mr. Bao said.
A “Soft Roadmap” to Standardize ESG Data
Unlike an approach that imposes a rigid set of criteria, the Vietnamese version of the GRI Standards is designed hierarchically, allowing enterprises to select a roadmap suitable for their scale, resources, and governance maturity. Instead of having to fulfill all requirements simultaneously from the beginning, enterprises can progressively build a sustainability reporting foundation through core indicators.
In the initial stage, businesses can prioritize measuring electricity and fuel consumption; collecting greenhouse gas emissions data; standardizing information on labor conditions and welfare policies; and establishing internal processes for data collection, storage, and governance. These are foundational datasets serving operational performance assessments and meeting partners’ transparency demands.
Deploying across distinct levels helps enterprises systematically build governance capacity, avoiding significant investment pressure during the initial phase. More importantly, this standardization process will form a structured data system, ensuring consistency and verifiability, establishing the foundation for enterprises to meet requirements regarding auditing, traceability, ESG ratings, as well as deeper participation in global supply chains.
According to Mr. Werner Bardill, Consul General of Switzerland in Ho Chi Minh City, sustainability reporting has become a key criterion in the supplier selection decisions of international corporations.
Mr. Werner Bardill, Consul General of Switzerland in Ho Chi Minh City.
“Partners do not merely examine the final product; they evaluate the entire supply chain, from working conditions of laborers and environmental impacts to corporate governance capacity,” Mr. Werner Bardill suggested.
From a financial perspective, adopting GRI standards also helps enterprises enhance credibility with credit institutions and sustainable development investment funds, thereby expanding access to green capital sources at more reasonable costs.
Standardizing Data to Participate in the Global Playing Field
At the event, experts and managers concurred that the process of collecting, digitizing, and sharing ESG data implies that enterprises must disclose substantial vital information regarding supply chains, energy consumption, production processes, personnel, and internal governance.
These are all valuable datasets for business operations and could become targets for theft or unauthorized exploitation if not adequately protected.
In that context, enterprises must address two concurrent requirements.
First is ensuring data integrity. ESG indicators must be collected from credible, verifiable sources and be prepared for independent audits. This not only mitigates the risk of “greenwashing” but also safeguards corporate reputation before partners and investors.
Standardization roadmap according to GRI (AI-generated image).
Second is ensuring information security. When ESG data is connected to global rating platforms or shared with partners, enterprises require mechanisms for access delegation, encryption, access control, and cybersecurity monitoring to prevent the leakage of business trade secrets and employees’ personal data.
The launch of the GRI Sustainability Reporting Standards for Vietnamese enterprises carries significance far beyond a mere reporting instrument. This represents a crucial step toward establishing a common data standard, helping Vietnamese enterprises speak the same “language” as international partners.
However, standards only yield effectiveness when accompanied by data governance capacity and information security infrastructure. In the digital economy era, enterprises compete not only through products or price, but also through data quality, transparency levels, and the capability to protect that data.
The announced GRI Standards serve as the essential institutional and governance “passport.” Yet, for this passport to achieve maximum validity, Vietnamese enterprises, particularly the SME sector, must promptly raise awareness, proactively standardize data, and make systematic investments in information security infrastructure, remaining poised to enter the global playing field along a green and sustainable trajectory.
Phạm Quyền
