Tyre exports rise to $370 million, MoC says
Tyre exports rise to $370 million, MoC says
Cambodia’s car tyre exports reached a staggering $370 million in the first half of 2024, an increase of 188 percent compared to the $127 million during the same period last year, according to the Ministry of Commerce.
Penn Sovicheat, Secretary of State and spokesman of the ministry. expressed optimism about the sector’s continued success, citing that car tyre export is relatively new to Cambodia and its growth reflected the country’s export diversification.
“This impressive growth could be attributed to the increasing presence of car tyre factories in Cambodia and it reflects the diversification of Cambodia’s exports,” Sovicheat told Khmer Times.
Cambodia currently has three operational car tyre manufacturing facilities, with more investment projects in the pipeline awaiting approval. These new ventures are poised to further propel Cambodia’s position as a key car tyre exporter in the region.
The three factories operating now are in Svay Rieng, Preah Sihanouk and Kratie provinces.
Cambodia’s burgeoning rubber industry plays a key role in the economy as the country is home to several big plantations. This readily available domestic source of raw material allows tyre manufacturers to keep production costs competitive.
Cambodia’s free trade agreements with several regional partners, including ASEAN member states, have also opened doors to new export markets, further propelling the industry.
Cambodia exported 69,322 tonnes of dry rubber in the first quarter of 2024, an increase of 5.1 percent from 65,921 tonnes during the same period in 2023, said a General Directorate of Rubber report.
The country exports the commodity mainly to Malaysia, Vietnam, Singapore and China.
According to the report, Cambodia has so far planted rubber trees on 407,172 hectares and the trees on 320,184 hectares, or 79 percent, have now been tapped.
