Tokyo (FN), Dec. 19 – Cambodian Prime Minister Hun Manet highlighted successful stories of two Japanese companies, among other Japanese companies that have been investing in Cambodia.
The premier spoke on Tuesday (Dec. 19) at Cambodia Investment Seminar 2023 in Tokyo, Japan.
According to Samdech Thipadei, the two companies are as follow:
"First, AEON Mall Cambodia Co., Ltd. put in an initial investment capital of USD 200 million to build the first AEON Mall in Phnom Penh. Over a few years later, the company invested an additional USD 409 million to build the second and third AEON Mall, the company has also established another subsidiary called AEON Mall (Cambodia) Logi Plus Co., Ltd to contribute to addressing the logistics problem in Cambodia. The subsidiary was established under the cooperation of the Royal Government of Cambodia and the government of Japan under the Free Trade Board Council. The construction of the company's multifunctional logistics centre was completed in August 2023.
Second, Minebea Cambodia Co. Ltd, is a subsidiary of Minebea Mitsumi Company. Also, it continues to expand its operation in Cambodia founded in 2011. In just five years, the company inaugurated its third plan, expanded its production of fan motors, machine parts and gaming products. As of 2022, the company has a total of 6,630 employees, 14 business units and an investment capital of USD 614 million, up from initial investment of only USD 23 million in 2011."
In addition to the provision of official development assistance, Japan has always made substantial investment in Cambodia, creating numerous and wide range of employment opportunities and improving the livelihood of Cambodians. The invaluable closeness and trust between Cambodia and Japan form a solid foundation for instilling confidence among business people and investors of both countries. This is evident in increased presence of both small and large Japanese investment projects and business enterprises in Cambodia.
Regarding trade and investment in 2022, Japan was the sixth largest trading partner and the fourth largest source of XTI stock member in Cambodia. However, in the first 10 months of 2023, the trade volume between the two countries and Japanese investment in Cambodia seems to have decreased compared to previous years.
In this regard, Samdech Thipadei wished to encourage Japanese investors to continue investing and doing business and expanding their existing businesses in Cambodia, especially in Cambodia's high potential sectors, such as agriculture, agro-culture, agro-industry, automotive, electronics and digital industries. These are areas where major Japanese companies have established present and expertise in the regions. Cambodia can serve as an essential production base for the company's regional production chain, given its favourable geopolitical location in the centre of Asians, young and talented workforce, preferential access to major markets, generous fiscal and non-fiscal incentives, and most importantly, peace, political and macro-economics.
“Currently, there are numerous Japanese investment projects operating in Cambodia across sectors, such as banking and finance, tourism, house, shopping malls, restaurants and particularly non-textile industries like manufacturing or automotive, electrical and electronic components. Many Japanese companies have made profits and continued expanding their businesses in Cambodia. In fact, the 2022 survey on business condition of Japanese companies operating overseas, Asia and OZNs, conducted by Japanese External Trade Organization (JETRO) shows that more than half of the Japanese companies present in Cambodia expected their profit for 2023 to increase and had the intention to expand businesses in the next one or two years, which is a very good sign,” the premier added.
=FRESH NEWS
