VIET NAM FACES A RARE OPPORTUNITY TO “LEAPFROG” IN THE GLOBAL LOW-EMISSIONS HYDROGEN RACE
Ho Chi Minh City, December 19, 2025 – At a time when the world is producing only 1% low-emissions hydrogen out of a total global output of nearly 100 million tonnes, Viet Nam is presented with a rare opportunity to position itself early in the global low-emissions hydrogen supply chain, while the market is still in its formative stage.
This assessment was presented during the keynote presentation entitled “Business Opportunities and Supply Chain Diversification for Low-Emissions Hydrogen in Viet Nam” at the Second Workshop on “Experiences and Solutions for Promoting the Application of Hydrogen Energy in Key Vietnamese Industries”, held under the National Program on Energy Efficiency and Conservation.
The presentation was jointly delivered by Mr. Le Ngoc Anh Minh, Chairman of the Vietnam ASEAN Hydrogen Club (VAHC), and Dr. Cao Thuy Oanh, representative of the VAHC Research and Development Division.
The workshop was chaired by the Department of Innovation, Green Transition and Industrial Promotion under the Ministry of Industry and Trade (MOIT), and co-organized by the Industry and Trade Information Center in coordination with the Department of Oil, Gas and Coal (MOIT). The event gathered policymakers, scientists, industry leaders, enterprises, and media representatives.
A MASSIVE MARKET WAITING TO BE UNLOCKED
According to the latest report by the International Energy Agency (IEA), global hydrogen production in 2024 reached nearly 100 million tonnes, yet only around 1 million tonnes (approximately 1%) qualified as low-emissions hydrogen.
This stark imbalance highlights the scale of an enormous untapped market.
Mr. Le Ngoc Anh Minh, Chairman of VAHC, emphasized:
“The 99% gap between demand and actual low-emissions hydrogen production is not a challenge — it is a golden opportunity for Vietnamese enterprises. If we leverage our comparative advantages correctly, Viet Nam can truly leapfrog in this emerging industry.”
EIGHT STRATEGIC BUILDING BLOCKS FOR VIET NAM’S HYDROGEN ECONOMY
During the presentation, Dr. Cao Thuy Oanh outlined eight strategic pathways for Vietnamese enterprises to participate in and shape the low-emissions hydrogen ecosystem:
1. Policy and Certification Consulting Services
Consulting firms have significant opportunities to support the development of low-emissions hydrogen standards aligned with international benchmarks. Notably, Viet Nam has not yet joined the COP28 Joint Declaration on Mutual Recognition of Hydrogen Certification, leaving a critical policy gap that must be addressed.
2. Industrial Hydrogen Production
Major players in power generation, oil and gas, chemicals, and steel can leverage hydrogen for deep decarbonization, particularly as Power Development Plan VIII and the National Hydrogen Strategy are being implemented.
3. Equipment Manufacturing – Opportunity from Trade Barriers
A unique window of opportunity has emerged following European Commission restrictions on electrolyser imports from China.
“This is a genuine ‘window of opportunity’ for third-country manufacturers such as Viet Nam,” Mr. Minh noted.
Vietnamese firms such as LILAMA and HB-Green possess the capability to manufacture electrolysers and hydrogen components for export markets.
4. Transportation Applications
In July 2025, PV Gas, together with partners, successfully tested hydrogen injection technology in diesel engines in Ha Tinh province, demonstrating potential reductions in fuel consumption and emissions for heavy-duty trucks.
5. Natural Hydrogen Exploration
With estimated production costs of below USD 1/kg, natural hydrogen is emerging as a new “energy gold rush.” Viet Nam shows strong geological potential in the Phu Khanh and Cuu Long sedimentary basins, as well as along East Sea fault zones.
6. Agricultural Applications
Hydrogen can be used in agriculture to increase yields, reduce pests and diseases, improve soil quality, preserve agricultural and aquatic products, and open up high-value niche markets.
7. Sustainable Water Supply
Approximately 40% of global hydrogen projects are located in water-stressed regions. Integrating hydrogen production with seawater desalination systems offers a dual solution: clean energy generation and freshwater supply.
8. Medical and Wellness Industries
Drawing on Japanese experience, hydrogen is increasingly used in spa therapy, beauty treatments, health protection, and disease prevention, offering new commercial applications.
EARLY MOVERS HAVE ALREADY LEFT THE STARTING LINE
Several Vietnamese and international enterprises have already begun concrete hydrogen initiatives.
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Obayashi Corporation, a founding member of VAHC, is advancing a solar-powered hydrogen production project, funded by NEDO (Japan), to develop a low-emissions hydrogen plant in Tay Ninh Province from September 2024 to September 2028.
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PV Gas is developing a 1 MW hydrogen production plant in Long Hai, Ho Chi Minh City.
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Partners such as Nippon Koei are working with Japan’s Ministry of the Environment to establish a carbon-neutral society model in Phu My, Ho Chi Minh City (former Ba Ria–Vung Tau Province).
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THDV is promoting a large-scale green hydrogen complex in Hai Phong.
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Startups such as HB-Green are manufacturing hydrogen gas welding equipment.
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Ikonomy, a Vietnamese technology firm, is integrating hydrogen injection systems into fishing vessel engines to reduce fuel consumption and emissions, while applying blockchain and IoT technologies to manage hydrogen injection ecosystems and fishing fleets.
Dr. Cao Thuy Oanh, representing VAHC’s R&D Division, stated:
“We are developing a detailed roadmap to turn these opportunities into reality. The model of ‘technology from Japan/Korea/EU + manufacturing in Viet Nam + exports to the EU and North America’ is entirely feasible.”
A CALL TO ACTION
To seize this historic opportunity, VAHC proposes a coordinated set of solutions, including:
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Establishing a National Hydrogen Roadmap with clear support mechanisms
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Strengthening public–private partnerships
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Investing in high-quality human resource development
“Viet Nam should not be a latecomer in the global hydrogen race. With strategic vision and decisive action, we can become a critical and diversified link in the world’s hydrogen supply chain,” affirmed Mr. Le Ngoc Anh Minh.
The presentation concluded with a strong message: the 99% gap in global low-emissions hydrogen production represents the space for innovation and breakthrough by Vietnamese enterprises. The time to act is now, while the world is still taking its first steps in this historic energy transition.
VAHC RECOMMENDATIONS TO THE MINISTRY OF INDUSTRY AND TRADE
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Integrate natural hydrogen exploration and production into the National Hydrogen Strategy
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Expand hydrogen applications into everyday life and business, including agriculture, healthcare, health protection, and disease prevention
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Diversify hydrogen production pathways, including hydrogen from natural gas with carbon capture and storage (CCS), biogas, biomass, waste, geothermal sources, natural hydrogen, and non-electrolysis-based hydrogen, rather than defaulting exclusively to water electrolysis
