A team from the Japanese Chamber of Commerce and Industry recently expressed their interest in bolstering investments in Cambodia, particularly focusing on the Original Equipment Manufacturers (OEMs) within the textile industry. Yoshihisa Suzuki, leading the Japan-Mekong Business Cooperation Committee, presented this investment proposition during a discussion with Cambodian Prime Minister Hun Manet at Phnom Penh’s Peace Palace.
The Japan-Mekong Business Cooperation Committee, an extension of the Japanese Chamber of Commerce and Industry, is dedicated to analyzing the investment and business climate across the Mekong region through comprehensive surveys and research. Suzuki’s visit aimed at identifying opportunities for Japan to invest in Cambodia’s burgeoning textile sector, emphasizing the potential for producing OEM materials locally.
OEMs are companies recognized for manufacturing components and products that other companies rebrand and sell. Suzuki also highlighted Japan’s current investments in Cambodia, spanning the textile, gas supply, and agricultural sectors.
Prime Minister Hun Manet warmly welcomed Suzuki’s intentions, expressing his appreciation for the Japanese Chamber of Commerce and Industry’s contributions to Cambodia’s economic landscape. He emphasized that such visits are pivotal in amplifying Japanese investments in the nation, positioning Cambodia as a prime investment locus and a regional nexus.
Manet underscored Cambodia’s economic resurgence and resilience, attributing it to an investment-friendly environment fostered by the new Law on Investment and various free trade agreements. Japan’s investment footprint in Cambodia is significant, with ventures in auto parts, agro-industry, food processing, hospitality, tourism, healthcare, and retail, as documented by the Council for the Development of Cambodia (CDC).
To date, the CDC has sanctioned 210 Japanese investment projects since 1994, cumulatively valued at $3.1 billion, placing Japan as Cambodia’s fifth-largest trading partner. Despite a 7.2% decline in the total trade volume between Cambodia and Japan in 2023, which stood at $1.79 billion, Cambodia’s exports to Japan slightly increased by 0.1% year-on-year to $1.17 billion. Conversely, imports from Japan saw an 18.5% decrease, totaling $623 million, as per the General Department of Customs and Excise of Cambodia.
Source: Khmer Times
