Vietnam's Decree 112, in effect since May 2026, allows international transfers of greenhouse gas emission reduction outcomes and carbon credits. The forestry sector sees this as a new way to earn revenue from forest conservation and raise the value of standing forests. Under the new rules, forestry projects in Vietnam can potentially sell verified carbon credits to international buyers, tapping into global carbon markets. The decree clarifies how emission mitigation outcomes can be transferred, which was previously uncertain. This could create a financial incentive to protect and expand forest cover. For buyers, the move adds Vietnam as a potential source of carbon credits, particularly from nature-based solutions. However, the practical impact will depend on the verification system, baseline data, and how revenue is shared between project developers and the state.
