Phnom Penh – A delegation of Japanese investors has recently visited Cambodia to explore new investment opportunities in the electric wire and cable industry, architecture and construction, and public infrastructure development. The visit underscores growing Japanese interest in Cambodia’s dynamic economy, where 90 Japanese companies registered businesses in 2024 alone.
The latest mission was led by Yajima Nobumasa, CEO of BARIKI Institute, and held discussions with officials of the Council for the Development of Cambodia (CDC) on August 19. The group was welcomed by Nut Unvoanra, Deputy Secretary-General of the Cambodian Investment Committee at CDC.
Unvoanra highlighted that Cambodia’s government continues to provide a supportive investment climate through tax and non-tax incentives, legal guarantees, macroeconomic stability, and rapid infrastructure growth. He emphasized that peace and security remain fundamental pillars, assuring long-term confidence for foreign investors.
Yajima acknowledged Cambodia’s strong potential, noting that Japanese companies were not only considering direct investment but also encouraging peers from other sectors to enter the Cambodian market. “Many Japanese businesses are already operating or conducting feasibility studies here, and we see tremendous opportunity for growth,” he said.
Growing Japanese Investment in Cambodia
Japanese interest in Cambodia has grown steadily in recent years. In 2024, about 90 Japanese companies registered in the country—an increase of 20.55% compared to 2023. Japanese investments now span manufacturing, agriculture, infrastructure, modern retail, and tourism services.
Economist Hong Vanak of the Royal Academy of Cambodia noted that the trend reflects the strength of bilateral relations and Cambodia’s strategic appeal. “Japan, with its advanced industries and high standards, presents Cambodia with an opportunity to not only attract investment but also boost re-exports to the Japanese market,” he explained.
Expanding Trade Ties
Trade between Cambodia and Japan has also witnessed robust growth. According to the General Department of Customs and Excise (GDCE), bilateral trade reached $1.44 billion in the first seven months of 2025, up 24.9% from the same period last year. Cambodian exports to Japan rose 15.4% to $882.66 million, while imports surged 43.5% to $558.17 million.
For 2024 as a whole, trade volume stood at $2.16 billion, marking a 20.1% increase compared to 2023. Exports to Japan reached $1.41 billion, while imports totaled $752.56 million.
Japan is now Cambodia’s fifth-largest trading partner, underscoring the country’s pivotal role in Cambodia’s economic diversification strategy.
Outlook
With Japanese companies showing rising interest in high-value industries such as electric wire, cable production, and infrastructure, Cambodia is positioning itself as a prime investment destination in Southeast Asia. Strong diplomatic ties, investor-friendly policies, and an expanding consumer market are expected to further enhance Japanese participation in Cambodia’s economic development.
