Japanese Companies Accelerate Major Investments in Cambodia, Green SEZ Proposed

Numerous major Japanese companies are continuing to expand their investments and successfully operate their businesses in Cambodia. This was highlighted by H.E. Sun Chanthol, Deputy Prime Minister and First Vice-Chairman of the Council for the Development of Cambodia (CDC), during the recent inauguration ceremony of Toyota Tsusho Manufacturing Cambodia's new model assembly plant (Toyota Hilux) in the Phnom Penh Special Economic Zone. H.E. Sun Chanthol, who is responsible for leading investment attraction efforts, mentioned Japanese companies achieving remarkable progress in Cambodia, including Aeon Mall, Sunrise Hospital, Minebea, Toyota, and Denso. As 2026 marks the 73rd anniversary of diplomatic relations and the comprehensive strategic partnership between the two countries, bilateral trade is projected to reach approximately 2.5 billion US dollars in 2025, a 17% increase from 2024. By the first quarter of 2026, trade volume has already exceeded 1.2 billion US dollars. The Cambodian government, under the initiative of Prime Minister Hun Manet, is promoting the establishment of a "Cambodia-Japan Green Special Economic Zone (Green SEZ).". H.E. Sun Chanthol stated that this project is currently under study to meet the standards required by Japanese companies and attract further new investments. MinebeaMitsumi is considered one of the largest Japanese investors in Cambodia, having invested a total of approximately 1.9 billion US dollars over 15 years. The company began its operations in Cambodia in 2011, producing products such as small motors, fan motors, automotive parts, optical components for mobile phones, electronic buzzers, vibration devices for gaming, electronic circuit boards, LED backlight panels, blood glucose meters, and smart street lighting systems. In 2024, the company began constructing its second factory in Krakor district, Pursat province, on a 50-hectare site with an investment of over 650 million US dollars, expected to create approximately 8,000 jobs. During a meeting with Prime Minister Hun Manet on May 28, 2025, during his official visit to Japan, Mr. Yoshihisa Kainuma, President and CEO of MinebeaMitsumi, affirmed that Cambodia is a highly potential investment location and an excellent choice for the company's future business expansion. He also expressed plans to further expand operations and continue creating numerous new job opportunities for the Cambodian people in response to the company's growth in the country.