With over 14.8 million hectares of forests and a forest coverage rate of 42.03%, Vietnam possesses a rich forest resource base—an essential foundation for developing a green economy and fostering international cooperation in sustainable forestry, especially in forest environmental services and carbon credits.
In 2024, Vietnam's wood and forest product exports reached more than USD 17.2 billion, up nearly 19% from the previous year, far exceeding the target. In the first four months of 2025 alone, export turnover climbed, reaching USD 5.2 billion. Thanks to stable supplies from planted forests and increasingly modern processing capabilities, Vietnamese wood products have successfully penetrated major markets such as the United States and Europe.
In addition, revenues from forest environmental services (FES) also showed impressive results, totaling over VND 3.76 trillion in 2024. Notably, with the potential to generate VND 50-70 million surplus carbon credits from forests, Vietnam is facing a significant opportunity to cooperate with international partners in carbon credit exports. However, this process still faces legal obstacles due to the lack of a clear institutional framework regarding credit ownership and benefit-sharing mechanisms.
In response to new demands, the Ministry of Agriculture and Environment is drafting an amendment to Decree 156/2018/ND-CP to allow the leasing of forest environments to develop medicinal plants and tap into the economic potential of the forest understory. This is a direction many provinces are adopting to link forestry development with community livelihoods.
According to experts, to realize the economic potential of forests, Vietnam needs to continue improving policies and enhancing international cooperation in forestry, environmental protection, and carbon finance. Establishing a carbon credit trading platform and specific guidance on FES payments will pave the way for green investment flows, contributing to forest protection and increasing income for forest-dependent communities.