Global biosolutions firm Novonesis Group (Lyngby, Denmark) and Nhà Xanh, Vietnam’s leading biofuel producer, have signed a Memorandum of Understanding (MoU) to boost domestic biofuels production and strengthen Viet Nam’s long-term energy security.
The agreement, signed at the Embassy of Denmark in Hanoi and witnessed by Ambassador Nicolai Prytz today, marks a new step in Danish-Vietnamese cooperation on sustainable energy solutions. The partnership brings together Danish biosolutions expertise and Vietnamese production capacity to support more efficient and competitive domestic biofuel production.
New Partnership for Viet Nam’s Bioethanol Industry, Powered by Biosolutions to Support E10 Rollout (Source: Novonesis)
As Vietnam advances its energy transition and expands the use of ethanol-blended fuels (E10), improving the efficiency and cost-competitiveness of domestic biofuel production has become increasingly important. Greater production capacity helps strengthen energy security and resilience, reduce reliance on imported fossil fuels, and create additional value from agricultural resources.
The MoU will enable Novonesis and Nhà Xanh Vietnam to explore opportunities to improve ethanol yields, lower production costs, and enhance the competitiveness of domestic biofuels by leveraging Novonesis’ technical expertise in corn and cassava-based biofuels production.
Beyond the energy sector, increased biofuel production could strengthen demand for locally grown cassava and corn, creating additional market opportunities for Vietnamese farmers and supporting more efficient use of agricultural resources.
“As Vietnam expands the use of biofuels, we believe domestic production will play an increasingly important role in strengthening energy security and reducing dependence on fossil fuels. Through our partnership with Novonesis, we are combining international biosolutions expertise with our production capabilities, building on our experience in applying yeast and enzyme solutions throughout the production process. We expect this collaboration to improve efficiency, strengthen supply autonomy, and increase the availability of domestic ethanol in support of Viet Nam’s biofuel transition”, says Đỗ Văn Tuấn, Chairman of Nhà Xanh Vietnam.
“Viet Nam has everything it needs to build a strong biofuels industry and reduce its dependence on fossil fuels. With our biosolutions, biofuel producers can achieve more with less: higher yields from the same feedstock, lower energy consumption, and reduced production costs. A more diversified energy mix will not only strengthen Viet Nam’s energy security but also support a more resilient and competitive economy. We’re excited to take this step with Nha Xanh Vietnam to help advance Vietnam’s energy transition,” says Xiaofeng Ye, Vice President of Planetary Health Biosolutions APAC, at Novonesis.
“Denmark is home to the world’s leading biosolutions company, Novonesis. And today it is particularly encouraging to see their expertise being applied in partnership with Vietnamese industry. By advancing domestic biofuel production and creating greater value from agricultural resources, this collaboration supports our shared priorities that are becoming increasingly important for Vietnam: energy security, resource efficiency, and sustainable growth,” shared H.E. Mr. Nicolai Prytz, Ambassador of Denmark to Viet Nam.
The Embassy of Denmark in Vietnam works to strengthen cooperation between Denmark and Viet Nam in areas including energy, sustainable food systems, green growth and innovation. Partnerships such as this demonstrate how Danish expertise and Vietnamese industry can come together to support energy security, resource efficiency and sustainable growth.