Nearly 3,000 Chinese firms register in Kingdom this year
Nearly 3,000 Chinese firms register in Kingdom this year
Some 3,000 Chinese enterprises were registered in Cambodia in 2024, marking a 20.65 percent increase compared to the previous year, a report released recently by the Ministry of Commerce (MoC) showed.
According to the report, 2,921 Chinese enterprises were registered with MoC in 2024, up 20.65 percent compared to the previous year. This growth coincided with bilateral trade volume between Cambodia and China reaching nearly $14 billion this year.
Meanwhile, bilateral trade between the two nations totalled $13.76 billion, a 24.23 percent rise from the previous year, it added. Of this, Cambodia’s exports accounted for $1.6 billion, an increase of 22.27 percent.
The report on the achievements and bilateral trade in 2024 said that MoC held discussions with delegations from the provincial administration and the private sector of the People’s Republic of China. “The meetings focused on attracting businesspeople to invest in Cambodia, promoting Cambodia’s potential products to regional customers, and sharing information on trade policies and investment opportunities.”
Speaking to Khmer Times, Lor Vichet, vice president of the Cambodia Chinese Commerce Association (CCCA), said yesterday that the increase in the registration of Chinese enterprises in Cambodia is due to tensions between China and the United States, prompting many Chinese companies to seek favourable locations for investment.
“Cambodia offers a favourable location and tax incentives for investment,” he said, adding, “In particular, the country benefits from numerous trade agreements, and companies that choose to invest here receive significant incentives from the government.”
“To reduce international trade pressure and mitigate risks, Chinese companies have relocated some of their manufacturing plants to Cambodia to avoid rising tariffs imposed on Chinese goods entering the United States.
“The current trade trends and status quo are expected to persist in the foreseeable future as Cambodia maintains its open trade policy to the world, including China, to navigate the complexities of the ongoing international trade war between the United States and China,” he added.
Chea Vuthy, secretary general of the CDC’s Cambodian Investment Board, said last week that China has remained at the top in the list of investors in Cambodia for over a decade, in terms of foreign direct investment (FDI).
“Many large Chinese companies are also investing in new areas in Cambodia, such as tyre manufacturing, electronic equipment assembly, and furniture manufacturing.
These investments are creating higher added value through the use of modern technology, in addition to the traditional garment and footwear sectors,” he said.
Zhong Jie, Economic and Trade Adviser of the Embassy of the People’s Republic of China in Cambodia said recently that China and Cambodia are steadfast partners who support each other and share a common destiny.
In recent years, under the strategic guidance of the leaders of the two nations, the building of the China-Cambodia Community of Shared Future has deepened steadily, she added.
“The ‘Diamond Hexagon’ cooperation framework has become more robust, and significant progress has been made in the development of the ‘Industrial Development Corridor’ and the ‘Fish and Rice Corridor’, bringing tangible benefits to both countries,” Zhong said.
“China has remained Cambodia’s largest trading partner for 12 consecutive years.
“Cambodian statistics also show that China has been Cambodia’s largest source of foreign investment for many years,” she added.
From January to October this year, Chinese enterprises signed investment agreements in Cambodia worth nearly $3 billion, according to Zhong.
