Vietnam textile industry to pilot first steam-generating heat pump

H&M Group is amongst the partners in the project.

Vietnam’s textile and apparel sector will begin transitioning to electric thermal technology later this year with the installation of the country’s first steam-generating heat pump at a garment factory near Hanoi.

The project is a collaboration between the Apparel Impact Institute (Aii), WWF, H&M Group, and textile manufacturer Bangjie, whose Hung Yen facility supplies products to the Swedish fashion giant.

The pilot marks the first electrification effort in Vietnam’s textile industry, which is one of the largest contributors to the country’s economy and carbon footprint. The electric heat pump will replace coal-fired boilers to provide the facility’s full steam and heat requirements, offering a cleaner and more efficient alternative.

The initiative also supports H&M Group’s goal to cut supply chain emissions by 56% by 2030.

Textile manufacturing is highly dependent on thermal energy, which accounts for more than half of its total energy demand. Steam and hot water are critical for dyeing, washing, bleaching, and drying processes.

The new system will harness waste heat from factory operations to power dyeing, drying, and setting, while also improving indoor working conditions through air cooling.

The project is part of Aii’s Low Carbon Thermal Energy Roadmap, which focuses on early-stage electrification pilots to accelerate adoption and reduce costs over time.