Abstract: In recent years, rapid industrial development has led to an increase in various types of industrial waste generation in Vietnam. Potentially toxic elements (PTEs) can contaminate water resources when waste is not properly treated and/or stored in confined disposal facilities. This study characterizes the occurrence and leaching behavior of PTEs from industrial sludge under the influence of oxidation and pH with implications for open dump disposal. Environmental issues related to possible management options are also addressed. Sludge samples from industrial parks at Binh Duong and Dong Nai, Southern Vietnam, were oxidized under atmospheric conditions. The results indicate that Fe and Mn (both samples) and Cu, Ni, and Zn (Binh Duong sample) may pose a potential threat to the water quality for sludge dumped near water bodies. Therefore, we recommend avoiding uncontrolled upland disposal of such sludge. Some preliminary treatment to immobilize PTEs should be applied to the sludge originating from Binh Duong prior to upland disposal. A recovery of Ni and Zn from this sludge could be considered. For the less contaminated sludge from Dong Nai, beneficial use, such as land application for agricultural purposes, is a possible option. [wiley].