Assessing Vietnam's green export potential to the European Union (EU) market

The European Union (EU) is one of Vietnam's leading export partners. However, the EU's implementation of the European Green Deal (EGD) has posed significant challenges for many of Vietnam's key export products entering this market. Therefore, this study focuses on assessing Vietnam's green export potential to the EU market by utilizing trade indicators to classify Vietnam’s export sectors based on their itive advantage and specialization level. The study employs a Markov transition matrix to predict the trend of export market share shifts between EU countries with increasing and decreasing imports from Vietnam. The research findings indicate that Vietnam’s major export sectors need to innovate and adopt sustainable practices to maintain and expand access to the EU market and increase export value to this market in response to the challenges of meeting the EGD’s stringent environmental standards shortly . To achieve this, relevant export sectors in Vietnam must implement a comprehensive strategy that focuses on raising awareness and enhancing production capacity, while also requiring strong support from the government and related organizations to effectively and sustainably adapt to the EGD.