Prime Minister Hun Sen invited Chinese investors to explore investment opportunities that use raw materials and bring new high-end technology into Cambodia. He said that this would be in line with the county’s Industrial Policy Program.
The premier made these calls while presiding over the official inauguration ceremony of a Chinese-owned $300 million tire factory at Sihanoukville Special Economic Zone in Preah Sihanouk province.
Mr Hun Sen said that the factory is a good example of how Cambodia’s raw materials can be used to generate economic growth.
“Cambodia’s industrial policy is to add value to the national economy and people’s incomes by developing the country’s existing raw material processing industry, such as cashew, rubber, and rice. We welcome investment in this sector, especially if it uses high technology,” he said.
The aim of the IDP is to transform and modernise Cambodia’s industrial structure from a labour-intensive industry to a skill-based one by 2025, linking with the global value chain, integrating into regional production networks and developing clusters, while strengthening competitiveness and improving the productivity of domestic industries. It is also aimed at developing modern technology and knowledge-based industry.
The 10th anniversary of China’s Belt and Road Initiative (BRI) was celebrated on the same day and was attended by a delegation of Chinese investors from Jiangsu province.
The premier asked Chinese Ambassador to Cambodia Wang Wentian and a Chinese investor delegation to consider the possibility of investing in the country.
Wang said that the SSEZ, the largest industrial zone in Cambodia in terms of size and occupancy, is a model project of practical cooperation between China and Cambodia under the Belt and Road Initiative (BRI).
“This special economic zone has become the locomotive of economic growth in Sihanoukville province and provided ‘golden rice bowl’ jobs for local residents,” he said.
The $300-million tire factory was inaugurated with a production capacity of about 1.3 million tires per year, generating jobs for around 1,100 local people.
Invested by General Tyre Technology (Cambodia) Co., Ltd., the factory is equipped with modern technology in accordance with the industrial development policy of Cambodia.
In addition to selling its products overseas, the factory will also supply its products to the local market, as the number of vehicles in the country is increasing significantly.
The General Tyre Technology (Cambodia) is the second tire factory in Cambodia while the first one is at Bavet city in Svay Rieng province. The third tire factory has recently broken ground in Kratie province.
Currently, about 175 factories that created more than 30,000 jobs are operating in the zone.
Most of the factories are owned by investors from China, Southeast Asia, Europe and the United States.
Speaking at the ceremony, Minister of Labor and Vocational Training Ith Samheng said Sihanoukville made a significant contribution to improving the lives of Cambodians by creating jobs and income for families and growing the economy.
This article was first published in Khmer Times. All contents and images are copyright to their respective owners and sources.
