Start your production in Cambodia
Unlocking the potential of Cambodia’s manufacturing industry.
Since 2000, the CSJSEZ team has successfully understood the needs of the industry and assisted manufacturers in establishing various production facilities in Cambodia.
With over two decades of experience, we have a deep understanding of the country’s strengths and challenges, as well as the needs of the industry.
Enter the program
2-3 month process
Facility Survey
Accompanied by a specialist, we will provide you with comprehensive information on location advantages, prices and other relevant details through on-site consultation.
CDC/CIB Review
Upon confirmation of acceptance by the CIB (Investment Review Board), a "Conditional Registration Certificate" will be issued.
Contract Enforcement
Both the investor and the CSJSEZ shall perform the rights and obligations stipulated in the agreement and provide the necessary documents, including the lease certificate or hard card transfer, to execute the agreement.
Enter completion
Start the process of establishing the business in a standard factory building or subsequently build the necessary factory building according to specific requirements
Tips and Guidelines
Analysis and evaluation
You need to conduct a comprehensive analysis of the investment environment, including the availability of raw materials, infrastructure and production costs.
You will also need to assess the suitability and cost-effectiveness of the investment product and Cambodian policies.
Finally, you will need to identify potential investment sites and conduct on-site inspections of the production location and environment to determine its suitability.
Unrivaled Quality
Newly established businesses must register with the Ministry of Commerce (MoC) of Cambodia. If all documents meet the requirements, the registration permit will be issued within approximately 10 working days. Businesses in Cambodia generally have the following forms.
A company established in Cambodia. A subsidiary of an overseas company in Cambodia. A representative office of an overseas company in Cambodia.
Ministry of Commerce Online Business Registration The Ministry of Commerce launched the online business registration service since January 4, 2016.
Please visit KPMG's Cambodia investment fact sheet.
Investment Preparation
You need to prepare the necessary documents for your investment application.
For individual investment, consult with the Cambodia Investment Review Committee (CDC) to find suitable land and factories, and then prepare the materials according to the CDC regulations.
For joint ventures. Find Cambodian partners, negotiate and sign a memorandum of understanding.
FAQ
Land and Factory
What are the models for land leasing and procurement in the LRD?
There are currently three land leasing and purchasing methods in the Yangtze River Delta Special Economic Zone:
1. Short-term rental, the price varies depending on the rental period and site area
2.50-year long lease (customer-selected)
3. Land transfer
Can the land be transferred to the buyer?
The property can be transferred, but the buyer needs to pay a stamp duty of 4% and have a local Cambodian household registration. The specific amount is based on the real-time requirements of the Cambodian government.
Methods for non-Cambodians to own land;
Method 1: Trust (Canada Trust is recommended)
Method 2: Invest more than 200,000 US dollars to obtain Cambodian identity Method 3: Cambodian legal person company
Land, factory rentals Lease rental unit price?
Land unit price: US$28 for the first phase, planned to increase by 10% every quarter, lease term 50 years.
Factory rental unit price: US$2.5-3.5/square/month, depending on the age of the factory and the length of the lease.
What are the advantages of the SAR?
1. The Yangtze River Delta Special Economic Zone has invested more in infrastructure than the surrounding industrial zones, such as double-lane main roads, dedicated power grids, gardening and greening, as well as fire trucks and one-stop offices.
2. The Yangtze River Delta Special Economic Zone has a superior geographical location, only 30 kilometers away from the Mupai Checkpoint and 15 kilometers away from the Longan Checkpoint, saving import and export freight.
Can land that has been leased be used for loans?
Land with a 50-year lease; the lessee can apply for a local loan with the Long Term Lease Certificate.
What are the charges for management fees, electricity, etc. in the LRD?
Management fee: 0.05 USD/m2/month Electricity fee: 0.137 USD/KWH (For details, please refer to Appendix 1: Charges in the Yangtze River Delta Special Economic Zone)
electricity
Is there enough electricity in Cambodia?
The Yangtze River Delta Special Economic Zone receives electricity from a special line connected to Vietnam from the Zhibu Power Supply Station, so there is no problem of power outage or electricity shortage.
Environmental friendly
Is there an occupancy threshold for polluting industries, Cambodian government, Yangtze River Delta Special Economic Zone?
Cambodia has a relaxed policy on polluting industries, and there are no laws restricting polluting industries. A sewage treatment plant is set up in the Yangtze River Delta Special Economic Zone to ensure that sewage discharge meets the standards, and rainwater and sewage separation are planned in advance. At the same time, the Yangtze River Delta Special Economic Zone has outsourced companies with solid waste treatment qualifications to handle solid waste in the special zone in compliance with regulations.
Entry threshold: The Yangtze River Delta Special Economic Zone will assess the CDC regulations and the actual conditions of the manufacturers, and is also relatively relaxed.
Human Resources and Taxation
How is the labor market in Cambodia? Are general laborers, clerks, and translators easy to recruit?
1. General workers: The median age of Cambodians is 25.6 years old (the median age of China is 38.4 years old), and the population under 40 years old accounts for 75% of the total population. (Appendix 2: Cambodia's population structure in 2022,).
2. Clerks: Svay Rieng University is 20 kilometers away from the Yangtze River Delta Special Economic Zone and has close cooperation with the zone, making it the main source of office clerks.
3. Translation: There are currently more than 100 Chinese education institutions in Cambodia, with more than 100,000 students enrolled (the Yangtze River Delta Special Economic Zone can provide recruitment service support).
How are employee pay, benefits, social security, and overtime calculated?
Compensation: Base salary of $200 in 2023 and $204 in 2024 (increase of only 2% per year)
Welfare: 26 USD = 13 USD transportation allowance + 13 USD lunch allowance Some factories: 10 USD full attendance + 5 USD health allowance Social security: 10 USD per person per month Overtime pay: 1.5 times the salary for overtime on weekdays, 2 times the salary for overtime on Sundays, and 3 times the salary for overtime on statutory holidays (Cambodia has only one day off on Sundays)
What are the types and rates of taxes in Cambodia? What benefits are available to investors?
1. In the Sino-US trade war, the United States increased tariffs on Chinese exports by 25%, while Cambodia did not.
2. Cambodia exports to China, South Korea and Japan and enjoys zero tariff or tax treatment lower than the most-favored-nation tax treatment.
3. Cambodia exports to Europe and the United States and enjoys quota exemption and tariff reduction. The above can be checked by the client based on the product HS Code for specific import tariffs.
4. Cambodia has 0 import and export tariffs and is exempt from business tax for 6-9 years. (See Appendix 3: Cambodia’s main taxes and tax rates for details).
Freight and trade
The total cost of the factory's import and export trailer fees, customs clearance fees, etc. through the port of Ho Chi Minh?
The Yangtze River Delta Special Economic Zone provides one-stop services, including customs declaration, customs clearance, towing and other services.
Cambodia's trade advantage?
Cambodia is a TAA designated country (China, Vietnam and Thailand are not included) (See Appendix 4 for details)
According to the Trade Agreements Act (TAA), products supplied to the U.S. government by qualified suppliers in the GSA Schedule must be U.S.-made or end products manufactured in a designated country.
Registration and Planning
What is the cycle and process of business registration in Cambodia? How to remit investment capital from mainland China to Cambodia?
Enterprises submit registration applications to the Council for the Development of Cambodia, which will accept the application through one-stop service and complete it within 45 days.
For details of the registration process, please refer to Attachment 5: Enterprise Registration Process. For details of investment remittance, please refer to Attachment 6: Cambodia Company Registration Overseas Investment Record Processing
Future plans for the park?
Create the Yangtze River Delta Special Economic Zone 2.0, covering commercial, residential, medical, and educational centers, as well as a new high-tech enterprise park based on ESG principles and carbon reduction goals.
