The March 24 discussions between the CDC leadership and a Chinese delegation from Jiangsu Province. CDC
Investment capital from Chinese investors has increased this year. In the first two months of 2025, nearly 80% of the total investment capital in Cambodia came from China, with Special Economic Zones (SEZs) becoming a key driving force in attracting Chinese investors.
Jin Sangjin, deputy director of the Foreign Affairs Department of Jiangsu province, China, met with Chea Vuthy, secretary-general of the Cambodia Investment Board, at the Council for the Development of Cambodia (CDC) headquarters on March 24.
During the meeting, Vuthy highlighted the longstanding and close relationship between Cambodia and China. He also noted that the Chinese government has consistently supported the Kingdom’s socio-economic development.
Vuthy noted that more and more investors from Jiangsu province have been bringing capital to Cambodia, particularly in the Sihanoukville SEZ, which currently hosts nearly 200 companies. Additionally, investors from the province have invested in creating another SEZ, in Kampong Cham province.
“Investment in Cambodia is growing from year to year, with Chinese capital consistently ranking as the first or second largest source of investment over the past decade,” he said.
“Specifically, in the first two months of 2025, the CDC approved 112 investment projects worth over a billion US dollars, with Chinese investment contributing nearly 80% of the total investment capital,” he added.
Vuthy urged the Jiangsu official and his delegation to consider creating an agricultural-industrial zone to produce raw materials or semi-finished products to supply domestic industries for export, especially in the furniture and automotive tire manufacturing sectors.
He pointed out that Cambodia is rich in natural resources, but the technology for production and processing still needs development.
The Chinese official praised Cambodia’s rapid progress and applauded the growth of Chinese investment in Cambodia, particularly from Jiangsu province.
He added that the Cambodian government’s efforts to implement attractive policies for investors have undoubtedly increased foreign investment, especially from China.
Hong Vanak, an economist at the Royal Academy of Cambodia, told The Post on March 25 that over the past decade, many foreign investors, especially from China, have injected direct capital into Cambodia for the manufacturer of export goods.
He believed that the growing investment from Chinese investors is largely due to the strong bilateral relationship between the two governments.
Additionally, he noted that investing in the Kingdom can be profitable, due to the government’s supportive policies, as well as the country’s large export market and customs duty exemptions for certain imported goods.
“I believe Chinese investors will continue to lead in investing in Cambodia for many years to come, as the political dynamics between major economic powers are pushing foreign investors to move out of certain countries and set up factories in places like Cambodia, which offer favourable conditions,” he said.
