The application of IoT, AI, and Big Data is laying the foundation for the smart green factory model in Vietnam, emerging as a key development direction for the manufacturing sector.
With a strong pool of information technology engineers and a high capacity to quickly adapt to technological innovation, Vietnam is well positioned to expand this type of factory model.
In the following article, KTG Industrial will highlight key projects and development orientations for smart green factories in Vietnam.
Vietnamese enterprises pioneering the application of Smart Factory
Vinamilk (Mega Factory)
Vinamilk dairy factory
Vinamilk has promoted the Mega Factory model as part of its automation strategy and production system modernization, with factories put into operation since the early 2010s across multiple provinces, most notably the dairy factory cluster in Binh Duong [1].
This model applies automated production lines, integrated management systems, and real-time data monitoring platforms to standardize processes and optimize productivity, while leveraging smart software for data analysis and rapid decision support.
Alongside manufacturing modernization, the enterprise also places strong emphasis on emission reduction targets.
According to Mr. Le Hoang Minh, Executive Director and Head of the Net Zero Strategy, Vinamilk has established a roadmap toward Net Zero by 2050, including milestones of reducing emissions by 15 percent by 2027 and 55 percent by 2035.
To date, three units have achieved carbon neutrality certification under PAS 2060:2014, including the Nghe An Dairy Factory, the Nghe An Dairy Farm, and the Vietnam Beverage Factory.
The company continues to strengthen greenhouse gas inventory activities, expand the use of green energy, improve production processes, and integrate energy monitoring software across its entire system of 13 internationally certified factories, with the goal of minimizing losses and enhancing operational efficiency.
VinFast (Vingroup)
VinFast is one of the pioneering enterprises in Vietnam in developing large-scale smart factory models, located in the Dinh Vu Cat Hai Economic Zone in Hai Phong and operational since 2019.
The production system is operated based on IoT, autonomous robots, and data analytics platforms, enabling real-time control of every production stage and maintaining high transparency across the entire value chain [2].
Alongside smart manufacturing, VinFast also promotes the greening of its factories by expanding the use of clean energy and increasing automation to reduce errors and minimize raw material waste.
In the electric vehicle segment, the enterprise prioritizes clean operational standards and energy optimization to reduce indirect emissions during production.
THACO
Thaco factory
On August 28, 2025, THACO Group successfully held the groundbreaking ceremony for the expanded Chu Lai Truong Hai Mechanical and Automotive Industrial Park.
In Chu Lai, THACO had already developed smart factories many years earlier, with workshops applying robotics, centralized control systems, and integrated production management platforms, enabling automation across stamping, welding, painting, and assembly, as well as real-time process monitoring.
In terms of technology, THACO Industries deploys the Industry 4.0 smart factory model, integrating SCADA, MES, and ERP to monitor equipment, coordinate production processes, and optimize the management of resources, costs, workforce, and supply chains. Synchronized connectivity among these systems enhances data traceability, predictive maintenance, and rapid decision-making.
The green factory dimension is reflected through energy-saving solutions, the use of high-efficiency equipment, and data-driven operational management to reduce losses.
THACO is also moving toward the integration of AI, IoT, smart warehousing, and collaborative robots, optimizing energy use and processes to achieve manufacturing that is both smart and sustainable [3].
POSTEF (VNPT)
POSTEF, a member of VNPT, is a pioneering enterprise in automation within the electrical and telecommunications equipment sector. The optical fiber factory in Bac Ninh was initiated in 2017 and officially inaugurated in August 2019 [4].
The POSTEF optical fiber factory is assessed as highly automated, equipped with modern machinery, and constructed in accordance with international cleanroom standards level 6. This represents a key step toward the smart factory model within VNPT’s digital transformation strategy.
In terms of green factors, POSTEF focuses on energy optimization, technological improvement, and operational management to reduce losses, while aiming to manufacture sustainable equipment, minimize waste throughout the entire product life cycle, and combine automation to enhance efficiency and environmental friendliness [5].
Foreign companies leading the development of smart factories in Vietnam
American and European enterprise group
Coca-Cola
Coca-Cola factory in Long An
Coca-Cola Vietnam is developing in the direction of green and sustainable factories. The new factory in Tay Ninh province, with a total investment of USD 136 million, was recognized as a green building meeting LEED Gold standards in 2025 [6].
In addition, the company places strong emphasis on water management and resource conservation, committing to balancing the volume of water used and returned to the community, along with wastewater treatment solutions prior to discharge. These efforts reflect Coca-Cola’s sustainable and environmentally friendly operational orientation in Vietnam [7].
GE (General Electric)
In 2010, GE operated manufacturing facilities and technical centers in Hai Phong, focusing on wind turbines and industrial equipment.
The factory was built according to a high-tech, modern model, applying digital solutions and lean manufacturing processes to enhance precision, quality, and efficiency [8].
In terms of green factors, GE Hai Phong stands out with clean energy products, contributing to the development of wind power sources in Vietnam. The factory also applies lean manufacturing methods, optimizes operational efficiency, and enhances product sustainability.
BOSCH
BOSCH in Dong Nai is one of the pioneering factories applying Industry 4.0 technology in Vietnam.
Since 2019, automated production lines, real-time measurement systems, data analytics, and predictive maintenance solutions have been deployed, helping improve operational efficiency and product quality [9].
At the same time, the factory actively uses renewable energy from rooftop solar power systems and optimizes production processes to reduce energy consumption per unit of product [10].
These efforts contribute to enhancing sustainability and environmental friendliness in BOSCH’s manufacturing operations in Vietnam.
BOSCH Long Thanh factory
ABB
ABB not only provides automation and robotics solutions, but also actively develops energy solutions and smart electrical systems toward sustainable and energy-efficient operations.
For example, in 2025, ABB in Vietnam launched energy management solutions such as power monitoring and control systems, helping improve electricity efficiency and reduce energy losses [11].
In addition, ABB previously announced a production center for “sustainable power distribution solutions” that meets green building standards, with the goal of supporting more efficient energy distribution and reducing environmental impact. This clearly demonstrates the company’s commitment to the “green plus high-tech” direction [12].
SIEMENS
Siemens in Vietnam is promoting digital transformation and smart factory development for domestic enterprises.
According to 2024 news, Siemens and the Vietnam National Innovation Center (NIC) signed a Memorandum of Understanding on smart factories, under which Siemens provides design and simulation software to support Vietnamese enterprises in developing smart factories.
At the same time, Siemens Smart Infrastructure solutions include energy management, automation, and digital transformation, helping factories optimize energy use, reduce resource consumption, and enhance operational efficiency, toward green and sustainable development goals [13].
Henkel
Henkel Vietnam operates its manufacturing facility in Bien Hoa, Dong Nai based on an Industry 4.0 technology platform, toward the smart factory model.
The enterprise also positions sustainable development as one of its core values, committing to technological innovation, production improvement, reduced resource use, and environmental protection.
According to its global strategy in 2020, Henkel set targets to reduce emissions, save energy, improve resource efficiency, and move toward carbon neutrality [14].
Korean Enterprise Group
Samsung Electronics
A corner of Samsung operations in Vietnam
Samsung in Vietnam does not directly declare all of its factories as smart factories, but in practice, it is actively supporting the development of this model for many domestic enterprises.
According to the 2025 announcement, Samsung coordinated with the Ministry of Industry and Trade of Vietnam to initiate the “Smart Factory Development Project” to provide consulting and support for Vietnamese enterprises in digitalization, automation, and operational optimization [15].
The supported enterprises have initially deployed IoT systems, real-time data collection and analysis, and automation across multiple processes, helping improve efficiency and reduce errors [16].
LG Electronics
LG Electronics in Vietnam applies energy management solutions and resource-saving technologies to reduce emissions and enhance operational efficiency, while also using environmentally friendly materials and increasing recycling rates in production.
In addition, LG Innotek received a sustainability-linked loan from IFC to expand production under ESG standards, helping promote green activities [17].
KTG Industrial – Green Factory Developer in Vietnam
KTG Industrial is one of the industrial real estate developers applying smart green factory standards, in line with the growing trend in Vietnam.
Its projects are designed with integrated energy-saving solutions, environmental friendliness, and infrastructure that supports enterprises in the digitalization of production.
Many new projects are targeting international certifications such as LEED Gold, contributing to the development of a modern and sustainable factory ecosystem.
With a large factory portfolio and professional property management services, KTG Industrial supports enterprises in the transition toward efficient production models and optimized resource utilization.
KTG Industrial VSIP Bac Ninh II Phase 1 project
Conclusion
Smart green factories are becoming a critical foundation for the manufacturing sector in Vietnam. From domestic enterprises to international corporations, the trends of automation, digitalization, and improved energy efficiency are becoming increasingly evident.
With the emergence of pioneering models and a modern industrial ecosystem, Vietnam is assessed as having strong potential for rapid expansion in the coming period.
References
[1] Hoang Hao (2013). Vinamilk rushes to complete the two largest milk processing factories in Asia in Binh Duong. Bao va Phat thanh, Truyen hinh Nghe An.
https://baonghean.vn/en/vinamilk-gap-rut-hoan-thanh-2-nha-may-che-bien-sua-lon-nhat-chau-a-tai-binh-duong-10007930.html
[2] Vinfast (2019). Nha may o to VinFast khanh thanh vao thang 6/2019.
https://vinfastauto.com/vn_vi/nha-may-o-to-vinfast-khanh-thanh-vao-thang-62019
[3] THACO INDUSTRIES (2025). THACO INDUSTRIES day manh chuyen doi so, don dau cong nghiep 4.0.
THACO INDUSTRIES đẩy mạnh chuyển đổi số, đón đầu công nghiệp 4.0
[4] VNPT (2019). VNPT khanh thanh Nha may san xuat soi quang dau tien khu vuc Dong Nam A.
https://vnpt.vn/gioi-thieu/tin-tuc/vnpt-khanh-thanh-nha-may-san-xuat-soi-quang-dau-tien-khu-vuc-dong-nam-a.html
[5] POSTEF (2019). VNPT khanh thanh Nha may san xuat soi quang dau tien khu vuc Dong Nam A.
VNPT khánh thành Nhà máy sản xuất sợi quang đầu tiên khu vực Đông Nam Á
[6] Coca-Cola (2025). COCA-COLA KHANH THANH NHA MAY 136 TRIEU USD TAI TAY NINH: KHANG DINH CAM KET DAU TU VA PHAT TRIEN TAI VIET NAM.
https://www.coca-cola.com/vn/vi/media-center/coca-cola-khanh-thanh-nha-may-136-trieu-usd-tai-tay-ninh
[7] Coca-Cola. Phat trien ben vung.
https://www.coca-cola.com/vn/vi/sustainability/phat-trien-ben-vung
[8] GE (2010). Supporting Global Growth in Power Generation, GE Inaugurates New Wind Generator Manufacturing Facility in Vietnam.
https://www.ge.com/news/press-releases/supporting-global-growth-power-generation-ge-inaugurates-new-wind-generator-0
[9] Huong Giang (2019). BOSCH Viet Nam se dua cong nghe 4.0 vao Dong Nai. Bao Dong Nai.
https://baodongnai.com.vn/phongvan/201910/ong-mallikarjuna-guru-tong-giam-doc-cong-ty-tnhh-bosch-viet-nam-bosch-viet-nam-se-dua-cong-nghe-40-vao-dong-nai-2969430/
[10] BOSCH. Nha may BOSCH Viet Nam khanh thanh He thong dien Nang luong mat troi nham cung cap nang luong xanh cho qua trinh san xuat.
https://www.bosch.com.vn/news-and-stories/bosch-vietnam-plant-unveils-rooftop-solar-system-for-sustainable-energy-production/
[11] Tuan Vu (2025). Giai phap thong minh cua ABB tai Ngay Doi moi cong nghe dien 2025. Bao VnExpress.
https://vnexpress.net/giai-phap-thong-minh-cua-abb-tai-ngay-doi-moi-cong-nghe-dien-2025-4923011.html
[12] ABB (2022). Trung tam san xuat giai phap phan phoi dien ben vung – Ky vong thuc day phat trien kinh te tai khu vuc Chau A – Thai Binh Duong.
https://new.abb.com/news/detail/93833/trung-tam-san-xuat-giai-phap-phan-phoi-dien-ben-vung-ky-vong-thuc-day-phat-trien-kinh-te-tai-khu-vuc-chau-a-thai-binh-duong
[13] Siemens. Co so ha tang Thong minh.
https://www.siemens.com/vn/vi/company/about/businesses/smart-infrastructure.html
[14] Tin tuc Thong tan xa Viet Nam (2020). Henkel dat ra cac muc tieu moi trong cac linh vuc dong goi, bao bi ben vung va bao ve moi truong.
https://baotintuc.vn/tin-tuc/henkel-dat-ra-cac-muc-tieu-moi-trong-cac-linh-vuc-dong-goi-bao-bi-ben-vung-va-bao-ve-moi-truong-20200315135512186.htm
[15] Samsung Newsroom Viet Nam (2025). Samsung Viet Nam tong ket Du an Ho tro phat trien nha may thong minh nam 2025 tai khu vuc mien Bac.
https://news.samsung.com/vn/samsung-viet-nam-tong-ket-du-an-ho-tro-phat-trien-nha-may-thong-minh-nam-2025-tai-khu-vuc-mien-bac
[16] Tuan Pham Chau (2025). Bo Cong Thuong va Samsung tong ket Du an Nha may thong minh 2025. So Cong thuong tinh Dong Nai.
[17] LG Newsroom (2025). LG’s Latest Sustainability Report Highlights Progress Toward 2030 Environmental Goals.
LG’s Latest Sustainability Report Highlights Progress Toward 2030 Environmental Goals
