Foreign Direct Investment (FDI) plays a crucial role in economic growth, particularly in emerging economies such as Vietnam. Among the different types of FDI, Green FDI—investments aimed at promoting environmental sustainability—has gained attention for its potential to align economic development with environmental protection. This study explores the relationship between Green FDI and Corporate Social Responsibility (CSR) in Vietnam through a qualitative case study approach. The research examines how multinational corporations (MNCs) implement CSR initiatives in line with sustainable business practices, regulatory frameworks, and local community expectations. The findings indicate that Green FDI can enhance CSR commitments, fostering environmental conservation, social welfare, and sustainable economic growth. However, challenges such as weak regulatory enforcement, limited stakeholder engagement, and financial constraints hinder effective CSR implementation. This study contributes to the understanding of the interplay between foreign investments and sustainable business practices in Vietnam, offering insights for policymakers, businesses, and scholars. The study concludes with recommendations for improving regulatory frameworks, encouraging stakeholder collaboration, and enhancing corporate accountability to ensure that Green FDI aligns with Vietnam’s sustainable development goals.