A container lifting gantry crane stacks containers at the Sihanoukville Autonomous Port. Post Staff
A delegation representing 18 large Chinese companies has expressed interest in investment opportunities in Cambodia, noting that the Kingdom requires foreign capital in several sectors, particularly for planting, producing, and processing goods to meet both domestic and export demand.
The Council for the Development of Cambodia (CDC) headquarters hosted a February 17 meeting between Chea Vuthy, secretary-general of the council’s investment board, and Pong Kheav Se, chairman of the board of Canada PLC Bank, along with representatives from several companies from Ningbo, Zhejiang Province, China, led by Lu Zhiqiong, general manager of Ningbo Bank.
Vuthy welcomed the delegation and shared the value he placed on previous Chinese investment. He also highlighted the future investment potential of several Cambodian industries.
He noted that with numerous incentives provided by the Cambodian government, he hoped to see more investors come to Cambodia.
Investment in industrial sectors, manufacturing, product processing, the establishment of Special Economic Zones, and investment in agriculture (especially rice, cassava and cashew nuts) are all areas that Cambodia is keen to attract.
“I encourage and urge investors to consider establishing supply chains in the agricultural sector, especially the processing of cashew nuts, which is an idea initiated by Prime Minister Hun Manet,” he said.
He informed the Chinese delegation about Cambodia’s investment climate, laws and regulations, noting that they are open, transparent and predictable, along with numerous incentives.
Zhiqiong believed that the meeting would strengthen the interest of the 18 companies in considering direct investments in Cambodia.
According to the CDC, the 18 companies come from various sectors, including rubber processing, medical equipment production, smart household products, clothing and banking.
In addition to the CDC meeting, on February 17, Prime Minister Hun Manet met with Zhang Chaomin, chairman of Infinite Capital Holding Company (ICAP), a company which specialises in AI, semiconductors and carbon fibre production.
Chaomin informed the prime minister that his company is seeking investment opportunities in Cambodia in the clean energy vehicle (electric cars) sector and the production of electric vehicle parts.
“The reason our company is interested in investing in Cambodia is due to the country’s peace, political stability and its continued high economic growth and resilience in the 6% range, even though Cambodia is still facing the impacts of the Covid-19 pandemic and the uncertainties of the global economy,” he explained.
Manet expressed his appreciation for the company’s interest. He also emphasised the importance and necessity of encouraging investment in the automotive parts sector and supply chain networks to meet domestic, regional and global markets.
The General Department of Customs and Excise of Cambodia (GDCE) reported that total trade between the two countries in January reached $1.55 billion, up 34.7% compared to January 2024.
Cambodia exported $103.07 million worth of goods to China, a decrease of 15.3%, while imports from China totalled $1.35 billion, an increase of 40.5%.
Hong Vanak, an economist at the Royal Academy of Cambodia, told The Post on February 18 that the strong relationship between the Cambodian and Chinese governments – as well as the lack of confrontation between China and the US – is one of the strong driving forces encouraging Chinese investors to come to Cambodia.
He expected this trend to continue growing in the coming years, as the Kingdom maintains favourable internal and external factors.
“Cambodia’s geographical location, skilled labour force, agreeable investment laws and export tax system are all favourable conditions for investors. Cambodia offers a great business environment for them,” he said.
In 2024, the trade between Cambodia and China amounted to $15.19 billion, a 23.8% increase compared to 2023.
Of this, Chinese imports totalled $13.44 billion, up 24.6%, while exports to China reached $1.75 billion, an increase of 18.4%.
