PROMOTING ESG THROUGH THE REGIONAL COMPREHENSIVE ECONOMIC PARTNERSHIP (RCEP): OPPORTUNITIES AND CHALLENGES FOR VIETNAMESE ENTERPRISES
DOI:
https://doi.org/10.51453/3093-3706/2025/1404Keywords:
RCEP, ESG, Sustainable, Development, Vietnamese enterprises, Free trade agreementAbstract
In the era of deep globalization and sustainability-driven trade, integrating Environmental, Social, and Governance (ESG) standards has become a strategic necessity for Vietnamese enterprises. The Regional Comprehensive Economic Partnership (RCEP) the world’s largest free trade agreement offers both opportunities and challenges for advancing ESG practices in Vietnam. This study examines how RCEP commitments can facilitate ESG mainstreaming in Vietnamese enterprises, grounded in sustainable development theory, corporate social responsibility, and institutional perspectives. Employing a mixed-methods approach combining policy analysis, secondary data, and a survey of 250 firms across key sectors, the research identifies three primary opportunities: market expansion to economies with stringent ESG standards, enhanced technology transfer through FDI, and strengthened regional cooperation toward responsible supply chains. However, findings reveal major barriers including regulatory inconsistency, limited SME capacity, and low ESG awareness. The study proposes harmonized ESG regulations, financial incentives, and capacity-building programs to enhance enterprise adaptability. Academically, it contributes to understanding the “FTA-driven ESG mainstreaming” mechanism, highlighting RCEP’s catalytic role in aligning corporate governance with sustainability imperatives. Practically, the research underscores that ESG integration is not only a compliance obligation but a pathway to improved competitiveness and sustainable growth for Vietnamese enterprises.
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