PHNOM PENH: Cambodia has encouraged the leadership of giant Japanese automotive supplier Yazaki group to explore the possibility of investing in special economic zones (SEZ) to help attract more Japanese investors to the kingdom.
In the first four months of 2025, trade between the two nations equalled more than us$832 million.
Yoshimoto Ito, deputy CEO of Yazaki, met with Chea Vuthy (pic), secretary-general of the Cambodian Investment Board (CIB) under the Council for the Development of Cambodia (CDC), on May 12.
The delegation led by Yoshimoto, also included representatives from Guangdong Dongfang Investment Co., Ltd., a joint investment partner in the group’s production base, in China’s Guangdong province.
Vuthy expressed his appreciation to the company for its existing operations in Cambodia and its intentions to further expand its investment. He recommended that the company identify a suitable location for its investment expansion and consider establishing an SEZ to attract more Japanese investors to the kingdom.
“I would like to encourage the company's leadership to consider investing in the development of an SEZ to help draw more Japanese investment to Cambodia,” he said.
Yoshimoto shared his gratitude for the CDC's support of Yazaki’s investment expansion plans in Cambodia and committed to exploring the feasibility of establishing an SEZ.
According to the CDC, Yazaki has operating an electric wire component factory in the Neang Kok Koh Kong SEZ, in Koh Kong province, for more than 10 years, and has had a presence in Guangdong, China, for about 40 years.
The General Department of Customs and Excise (GDCE) reported that from January to April, trade between Cambodia and Japan totalled $832.29 million, an increase of 29.7% over the same period last year.
Cambodia exported $523.49 million to Japan (up 19.8%), while imports stood at $308.8 million (up 50.6%). Based on these figures, Cambodia has a trade surplus of $214.69 million, compared to $231.81 million in the same period of 2024.
Sam Soknoeun, chairman of the Board of SAM SN Group, told The Post on May 13 that SEZs play a vital role in attracting more investment to the kingdom.
Japanese investors, he explained, usually conduct thorough studies before deciding where to invest and prefer locations where fellow Japanese nationals are already present. Therefore, if Yazaki, led by Japanese executives, invests in a new location, it would help encourage other Japanese investors to follow.
“If Japanese companies or investors come to SEZs in Cambodia, I believe it will attract even more Japanese investment into the country,” he said.
He added that investing in Cambodia offers high potential returns due to the country’s political stability, investor-friendly laws, strong transport infrastructure and access to international markets.
According to Soknoeun, Japanese investment in Cambodia currently spans several sectors, including construction, real estate, hotels, tourism, automotive assembly, agricultural product processing, agro-industry, food, crop cultivation, electronic and electrical components, and supermarkets.
The Ministry of Commerce stated that from January to November 2024, 88 Japanese companies/enterprises registered in Cambodia — an increase of 20.55% compared to the same period in 2023. - The Phnom Penh Post/ANN
