Ho Chi Minh City (HCMC) is strategically positioning itself as a vital node in the global green supply chain by planning the establishment of an electric vehicle (EV) battery recycling center. Speaking at the “Green Transformation and Recycling Day 2025” Forum, Nguyen Van Duoc, Chairman of the municipal People’s Committee, underscored that this initiative, alongside broader green transformation efforts, is critical for ensuring economic security, attracting foreign investment, and bolstering the city's competitiveness as Vietnam's primary economic engine. The move signifies a proactive shift in HCMC's industrial policy towards sustainable manufacturing and resource management.

Chairman Duoc emphasized that HCMC's approach extends beyond isolated green projects, advocating for strategic initiatives integrated into a comprehensive sustainable development framework. He highlighted the necessity of transitioning from a traditional construction focus to building a smart, sustainable ecosystem with green energy at its core. As an example, he cited Metro Line 1, asserting it must serve as the backbone for a multi-modal public transport network, incorporating electric buses, waterway systems, and eco-friendly personal mobility solutions to facilitate the city’s green transition.

Further elaborating on the city's vision, Duoc called for a paradigm shift in waste management, viewing waste as a valuable resource rather than merely a pollutant. He stressed the importance of reducing waste, promoting reuse, and implementing source-level waste sorting as foundational practices. Waste-to-energy plants, he noted, are envisioned not just for pollution treatment but also for power generation, thereby laying the groundwork for a modern recycling industry. The proposed EV battery recycling center is a direct manifestation of this strategy, aiming to embed HCMC firmly within the international circular economy.

To support this ambitious vision, HCMC plans to prioritize investment in international-standard research centers (Centers of Excellence) and foster startups focused on environmental protection, energy, and new materials technologies. Duoc urged the business community to embrace environmental regulations and green standards as opportunities for innovation, market expansion, and enhanced brand reputation, rather than perceiving them as burdens.

Despite the clear strategic direction, significant challenges remain. Dinh Hong Ky, Chairman of the HCMC Green Business Association (HGBA), highlighted the increasing stringency of international regulations, such as the EU’s Carbon Border Adjustment Mechanism (CBAM), ESG standards, and supply chain transparency requirements from major economies. These pose considerable obstacles for Vietnamese businesses. Ky also warned against “greenwashing,” which distorts markets, erodes consumer and investor confidence, and undermines the integrity of the green transformation process.

Ky further noted that while advanced technologies like AI, IoT, and blockchain are crucial for green initiatives, their high upfront costs present significant barriers, particularly for small and medium-sized enterprises (SMEs). He cautioned that AI, despite its efficiency benefits, carries risks like job displacement and data misuse if not properly integrated. Most critically, Ky estimated that up to 90% of domestic enterprises are currently unprepared for the green transition, struggling with limited capital, a shortage of skilled professionals, and inadequate data collection and analytics capabilities essential for meeting ESG compliance.