PM Hun Manet Warns Against 'Opening and Closing' of International Firms in Cambodia Affecting Investment Climate

Prime Minister Hun Manet has warned that the tendency for international companies to 'open and close' their operations in Cambodia will negatively impact the country's investment environment and market. Speaking at the official inauguration of the TH Auto Motive Manufacturing vehicle assembly plant and GAC brand production line in Kampong Chhnang province on September 17, 2026, Prime Minister Hun Manet stated, 'Licenses are very important for helping them survive. We don't want them to say they 'open and close.' If 100 companies open, but only 50 remain after five years, it means failure in business in Cambodia. This then becomes a risk for doing business in Cambodia. When companies come to do business, they assess the situation. How difficult are the opportunities for success? If they frequently open and close, it is dangerous. Even international brands, if they frequently open and close and withdraw one by one, it will affect Cambodia. It affects the investment environment and the market.' The Prime Minister further stated that the Council for the Development of Cambodia (CDC) has already considered several sectors, such as cement. The cement association has requested a halt to further licensing. Currently, eight companies are in operation with a production capacity of 10 million tons per year, making additional licenses unnecessary. He also explained that beer companies are only allowed to produce for the domestic market, with exports restricted. He noted that there are already many companies in the domestic market and it is necessary to support existing ones to survive and ensure their quality. 'Excessive competition leads to a decline in quality and price wars. We need to establish standards and ensure they can compete within a certain level,' he added.