Why is Cambodia an ideal location to set up a factory?
The first phase of the CSJSEZ covers an area of 300 hectares, and the second phase covers an area of 450 hectares. It is one of the largest special economic zones in Cambodia.
Cambodia is a popular location for production facilities due to its relatively low labor costs, favorable government policies and trade agreements, and proximity to major markets such as China and the United States. In addition, the country has a large and growing young workforce, as well as a large number of workers with experience in the manufacturing industry. Cambodia is also a member of various trade agreements, such as those of ASEAN, the World Trade Organization, and the European Union, which allow for quota-free exports to these markets and enjoy customer tariff reductions. These factors make it an attractive location to establish and operate production facilities.
Cambodia Information Overview
181,000 square kilometers
Land Area
17 million
population
25 years old
Average age
2.5%
Inflation rate
87.9 billion
GDP 2022
200$
Minimum wage
Investment advantages of Cambodia
Tax Benefits
Special economic zone policy: enterprises investing in special economic zones can enjoy tax exemption on import and export of production-related materials.
Tariff preferences
EBA policy: Exports to the EU enjoy zero tariffs, covering most goods (such as textiles, agricultural products].
ASEAN Free Trade Area, exports to ASEAN member countries enjoy low or zero tariffs.
Land Policy
Long-term leases: Foreign investors can lease land for a maximum period of 50 years, which can be renewed.
Labor force advantage
Low-cost labor, low labor costs, and 70% of the population is under the age of 35, suitable for manufacturing and processing industries.
Foreign exchange liberalization
Foreign exchange can flow in and out freely, there is no foreign exchange control, and enterprises can freely remit profits and capital.
Investment protection
Investment Protection Agreement: Sign bilateral investment protection agreements with many countries to safeguard the rights and interests of foreign-invested enterprises.
Legal support: Provide legal protection and preferential policies for foreign-invested enterprises through the Investment Law.
Cambodia Investment Environment
Cambodia Policy and Law