Green Labels, Eco-labels & Anti-greenwashing for SMEs: Which Claim Is Real (2026)
The three ISO environmental label types (I/II/III), Vietnam's Green Label under the 2020 Environmental Protection Law & Decree 08/2022, and the legal line against greenwashing under Consumer Rights Law 2023 plus EU rules for exporters. Which "green" claims hold up, which are a liability.
July 15, 2026 · 12 phút

Photo: MADEINEGYPT.CA / Pexels (free license)
Quick summary
Not every "green" label carries the same legal weight. Under the ISO 14020 series there are three types of environmental label/declaration: Type I (ISO 14024) — an ecolabel awarded by an independent third party against life-cycle criteria (e.g. EU Ecolabel, Vietnam Green Label); Type II (ISO 14021) — a company's self-declared claim that must be substantiated with data; Type III (ISO 14025) — an EPD based on third-party-verified Life Cycle Assessment. In Vietnam, the Vietnam Green Label is a Type I label, running since 2009 (Decision 253/QĐ-BTNMT dated 5 March 2009), now grounded in the Environmental Protection Law 2020 (Article 145) and Decree 08/2022/NĐ-CP. Every SME "green" claim already falls under the Law on Protection of Consumer Rights 2023 (prohibiting false, incomplete or misleading information), the Advertising Law 2012 and the Environmental Protection Law 2020; EU-exporting SMEs must also watch the EU rules tightening environmental claims. This article confirms no specific product as "green" — every claim must be substantiated by the business with real data.
Not every "green" label carries the same weight
On a shelf, a product may bear the words "eco-friendly," a self-drawn leaf icon, or a seal from an independent certifier — and those three do not carry the same legal weight. For an SME differentiating on sustainability, misreading this leads to two risks: (1) paying for a certification you don't need, or (2) slapping on a "green" claim with no basis — and running into the law.
The framework already exists: the international standard series ISO 14020 splits environmental labels and declarations into three types (Type I, II, III), differing in who verifies and on what evidence (Hedgehog).
CP TRẠM NĂNG LƯỢNG SỐ view: for an SME the right question is not "which fancy green label to get" but "how far can I actually back up my claim." Claim exactly as far as your evidence reaches — that is both brand ethics and legal armor.

The three ISO environmental label types
| Type | Standard | Verified by | Based on | Example / used for |
|---|---|---|---|---|
| Type I — Ecolabel | ISO 14024 | Independent third party | Pass–fail criteria across the product life cycle | EU Ecolabel, Vietnam Green Label; consumer goods needing simple guidance |
| Type II — Self-declared claim | ISO 14021 | The company itself (no third party required) | Company's own responsibility; must substantiate with data on request | "Made from 100% recycled plastic"; single claims on packaging/ads |
| Type III — Product declaration (EPD) | ISO 14025 | Third-party-verified LCA | Quantified Life Cycle Assessment per Product Category Rules | Building-material EPDs; B2B contexts needing detailed data |
The crux: Type I says "this product beats a criterion"; Type III just reports numbers without judging good/bad; Type II is the company talking about itself (Hedgehog; Agoria). A third-party Type I seal therefore carries far more weight with consumers than a self-applied Type II claim.
What Vietnam's Green Label is, and who issues it
Vietnam runs an official eco-labelling programme called "Nhãn xanh Việt Nam" (Vietnam Green Label) — essentially a Type I label (third-party, life-cycle criteria):
| Item | Detail |
|---|---|
| Origin | Approved in 2009 via Decision 253/QĐ-BTNMT dated 5 March 2009 (Ministry of Natural Resources & Environment, MONRE) |
| Current legal basis | Environmental Protection Law 2020 (Article 145) — environmentally-friendly products/services; detailed by Decree 08/2022/NĐ-CP |
| Who certifies | The competent authority (MONRE / environment agency) — i.e. a state third party, not the company self-labelling |
| Criteria basis | Assesses the full life cycle: raw-material extraction → production → distribution → use → disposal/recycling, causing less environmental harm than similar products |
| Certificate validity | 36 months from date of issuance |
| Processing time (reference) | Checks the dossier's completeness within 05 days; assesses and certifies within 30 days of receiving a complete, valid dossier (Decree 08/2022, Article 147) |
Sources: legal basis & definition per Luật Môi Trường — Article 145 (Decree 08/2022); procedure & processing time (05 days to check the dossier, 30 days to assess) per Decree 08/2022 — Article 147; the 253/QĐ-BTNMT (5 Mar 2009) origin per Kinh tế Môi trường; 36-month certificate validity per VnEconomy.

Type II — the trap of the "self-declared" claim
Most SME "green" claims on packaging and ads are Type II — self-declared. ISO 14021 permits this but places the burden of proof on the company: the claim must be specific, unambiguous, and backed by verifiable data when an authority or customer asks (Hedgehog).
Claims that easily become greenwashing: vague "eco/environmentally friendly" with no scope; "carbon neutral"/"net zero" with no boundary or method; fake third-party-looking seals; and half-true claims that hide the rest. In Vietnam, legal practitioners warn that even without a dedicated anti-greenwashing law, such claims can already be pursued under the Advertising Law, Competition Law and Consumer Rights Protection Law (Russin & Vecchi).
The anti-greenwashing legal frame — Vietnam & EU
| Instrument | Applies in | Key point |
|---|---|---|
| Consumer Rights Protection Law 2023 (No. 19/2023/QH15) | Vietnam | Passed 20 Jun 2023, effective 1 Jul 2024. Prohibits false, incomplete or misleading information; businesses must ensure complete, accurate info (Art. 10, Art. 21) — LuatVietnam |
| Advertising Law 2012 + Competition Law 2018 | Vietnam | Prohibit misleading advertising about features/effects; the basis for pursuing false "green" claims absent a dedicated greenwashing law — Russin & Vecchi |
| Environmental Protection Law 2020 + Decree 08/2022 | Vietnam | Defines environmentally-friendly products/services & the eco-label certified by the competent authority (Art. 145) — "environmentally friendly" must be recognised, not self-proclaimed — Luật Môi Trường |
| EU — "Empowering Consumers for the Green Transition" | Exports to the EU | Adopted early 2024, applies from 27 Sep 2026; bans generic "eco-friendly" and "climate neutral"/"net zero" claims unless substantiated — ClimatePartner |
| EU — Green Claims Directive (proposal) | Exports to the EU | Proposed Mar 2023 (ex-ante verification). Jun 2025 the Commission announced intent to withdraw, talks cancelled 23 Jun 2025 — status uncertain, but the EmpCo frame above still stands — Latham & Watkins |
Even while the EU debates the Green Claims Directive, the tightening of environmental claims does not disappear — the "Empowering Consumers" directive is locked in from 27 Sep 2026. EU-exporting SMEs should build evidence for every "green" claim now.
Which certification for which SME
- B2C retail SME whose product has a Green Label criteria set → pursue Vietnam Green Label (Type I) for a credible third-party seal.
- SME with no criteria set yet, or making one specific attribute claim (e.g. recycled content) → use a Type II claim — but write it specifically, with scope, and keep the substantiating data on file.
- B2B / industrial SME (construction, packaging, components) → consider an EPD (Type III, ISO 14025) since business buyers need LCA numbers to compare.
- EU-exporting SME → align to the EU "Empowering Consumers" rules (from 27 Sep 2026): drop generic claims, standardise evidence.
Five rules to keep a "green" claim lawful
- Be specific and scoped — say which stage, which attribute, versus what; avoid bare "eco / environmentally friendly."
- Keep filed evidence — every Type II claim needs data/method producible on request.
- Never fake a third-party seal — use a certification logo only if actually granted (Vietnam Green Label, EU Ecolabel…).
- Keep marketing consistent with reality — ad claims must match the technical file and product label; a mismatch is a liability under the Consumer Rights Law 2023.
- Handle "carbon neutral"/"net zero" carefully — claim only with a stated boundary and method; this is the most tightly regulated claim in both Vietnam and the EU.
For that reason this article asserts no specific product to be "green" or Green-Label-eligible — that depends on each product group's criteria and on real data supplied by the business and assessed by the competent authority.
Frequently asked questions
How many environmental label types are there, and how do they differ?
Under ISO 14020 there are three: Type I (ISO 14024) — an ecolabel awarded by a third party against life-cycle criteria (e.g. Vietnam Green Label, EU Ecolabel); Type II (ISO 14021) — a company's self-declared claim that it must substantiate; Type III (ISO 14025) — an EPD based on third-party-verified LCA.
Who issues the Vietnam Green Label and how long is it valid?
The competent authority (MONRE) certifies environmentally-friendly products/services against life-cycle criteria; the programme has run since 2009 (Decision 253/QĐ-BTNMT dated 5 March 2009), now under the Environmental Protection Law 2020 (Article 145) and Decree 08/2022. The certificate is valid for 36 months.
Can an SME just print "environmentally friendly" on its packaging?
Yes, if it is a specific Type II claim you can substantiate with data. But a vague, unscoped claim, or a fake certification seal, may breach the Advertising Law, Competition Law and Consumer Rights Protection Law 2023 (which prohibits false, incomplete or misleading information).
Does Vietnam have a dedicated greenwashing law yet?
Not yet — there is no dedicated law defining and sanctioning greenwashing specifically. "False green" claims are currently addressed indirectly through the Advertising Law 2012, Competition Law 2018, Consumer Rights Protection Law 2023 and related administrative-penalty rules.
What should EU-exporting SMEs watch on "green" claims?
The EU "Empowering Consumers for the Green Transition" directive applies from 27 Sep 2026, banning generic ("eco-friendly") and "climate neutral"/"net zero" claims without substantiation. The Green Claims Directive (proposed 2023, ex-ante verification) saw the Commission announce intent to withdraw in Jun 2025 — status uncertain, but the EmpCo frame still stands.
References
- Hedgehog — Types of Environmental Declarations
- Agoria — Environmental Product Labelling
- Luật Môi Trường — NĐ 08/2022 Điều 145 (sản phẩm, dịch vụ thân thiện môi trường)
- Luật Môi Trường — NĐ 08/2022 Điều 147 (trình tự, thủ tục: 05 ngày + 30 ngày)
- Kinh tế Môi trường — Quyết định 253/QĐ-BTNMT ngày 05/3/2009
- VnEconomy — Chứng nhận Nhãn sinh thái Việt Nam (hiệu lực 36 tháng)
- LuatVietnam — Law 19/2023/QH15 (Consumer Rights)
- Russin & Vecchi — Greenwashing ở Việt Nam
- QINN Law — Greenwashing & cạm bẫy pháp lý
- ClimatePartner — Green Claims / Empowering Consumers
- Latham & Watkins — EC intent to withdraw Green Claims Directive