As Vietnam’s ambitious renewable energy goals face significant setbacks, major European renewable energy companies are withdrawing from the market, citing challenges such as unclear regulations, insufficient infrastructure, and an unattractive investment climate. The lack of a stable regulatory framework and the inability of the national grid to integrate new renewable sources have created a troubling environment for foreign investors. If these issues are not addressed, Vietnam risks falling behind in the global race toward sustainable energy production. However, there are concrete solutions available, including developing clear regulations, upgrading grid infrastructure, securing innovative funding, and improving the overall investment climate. By implementing these strategies, Vietnam can create a favorable environment for foreign investment and secure a sustainable energy future.