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Chinese investors explore expanding textile opportunities in Cambodia

BTJ News Desk
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Chinese investors explore expanding textile opportunities in Cambodia

A delegation of Chinese investors recently visited Cambodia to study its investment climate, with a strong focus on opportunities in the textile and garment sector, as well as the plantation wood industry. The visit highlighted Chinese interest in moving beyond garment assembly into upstream segments such as fabric and yarn production, which remain underdeveloped in Cambodia.

During the meeting, Lim Visal, deputy secretary general of the Cambodia Investment Board (CIB) under the Council for the Development of Cambodia (CDC), briefed the investors on Cambodia’s investment incentives, regulatory framework, and trade facilitation policies. He emphasized compliance with Cambodian laws and urged investors to prioritize the recruitment of local workers, particularly those returning from Thailand.

Cambodia’s textile and garment sector, a backbone of its export economy, has been evolving with the support of strategic Chinese investments, favorable government initiatives, and growing regional trade integration. According to MRTS Consulting’s Cambodia Market Entry division, Chinese participation has already brought technology transfer, improved production efficiency, and enhanced supply chain linkages, positioning Cambodia as a competitive manufacturing hub within ASEAN.

Industry experts note that Cambodia’s access to regional free trade agreements (FTAs), including the Regional Comprehensive Economic Partnership (RCEP) and preferential trade terms with key markets, makes the country increasingly attractive for Chinese investors seeking to diversify production bases amid global trade shifts.

The CDC has assured Chinese investors of its continued support in facilitating new projects, while encouraging them to align with Cambodia’s long-term industrial development strategy, which emphasizes sustainability, skill development, and higher value-added manufacturing.

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