SEZ in Cambodia: Special Economic Zones
Tetra Consultants assists our international clients to set up companies in SEZ in Cambodia. SEZ (Special Economic Zones) are considered to be the most well-received and optimal choice for business owners and foreign investors when setting up a business in Cambodia. They are part of the Cambodian government’s economic diversification initiatives to attract foreign investors and business owners into Cambodia.
Introduction to SEZ in Cambodia
- Zone investors are eligible to conduct business activities inside SEZ in Cambodia upon receiving approval for a Qualified Investment Project (QIP) under the Council for the Development of Cambodia (CDC). As such, due to the long approval procedure, it takes on average 2-3 months to set up a SEZ in Cambodia.
- As of 2019, Cambodia has 54 Special Economic Zones covering mainly four zones, namely, the Phnom Penh Zone, Sihanoukville Zone, Manhattan Zone and Tai Seng Bavet Zone as per the Council for the Development of Cambodia. Furthermore, Cambodia’s Special Economic Zones are almost privately owned and managed. The Cambodian Special Economic Zones Board (CSEZB) is a government organisation established to facilitate registration of investment projects and export-import approvals for business owners.
- The primary purpose of a Cambodian Special Economic Zone is to initiate and form economic linkages between the urban and rural areas. As such, Special Economic Zones promote nationwide urbanisation through these economic linkages. With relaxed regulations and policies, Cambodia helps business owners increase export competitiveness and benefits international trade.
Phnom Penh Special Economic Zone
- The Phnom Penh Special Economic Zone manages the second largest number of Investment Projects among industrial parks in There are more than 100 international companies originating from 15 different nations invested in the Phnom Penh Zone, including a Coca Cola bottling plant worth USD$100 million.
- Other reputable subsidiaries of notable brands are located within the Phnom Penh Special Economic Zone, including Timberland, Apple, Sony and IBM, to name a few.
- With the approval of the Cambodian government, the Japanese-managed Phnom Penh Special Economic Zone was granted over 357 hectares in size. Furthermore, the Phnom Penh Special Economic Zone is a 15 minutes’ drive from the Phnom Penh International airport. With an optimal and strategic location, business owners are granted unprecedented access to reliable air transportation services.
- The Phnom Penh SEZ’s optimal location accompanied with widely available and cost-effective labour, reliable and modern infrastructure provides foreign investors with greater ease of doing business in Cambodia.
Sihanoukville Special Economic Zone
- The Sihanoukville Special Economic Zone manages the largest number of Investment Projects among the industrial parks in Cambodia. Additionally, the 1,113 hectares Special Economic Zone compromises of mainly Chinese and Cambodian enterprises.
- The Sihanoukville Special Economic Zone is, 12km from the Sihanoukville international deep seaport and 3 km from the Sihanoukville International Airport. The advantageous location allows foreign investors to gain access to reliable air and sea transportation services.
- Textiles and Garments, bags and leather manufacturing businesses serve as the leading business sectors within Sihanoukville Special Economic Zone. Furthermore, easy port access eases the procurement of manufacturing raw materials and machinery.
Manhattan Special Economic Zone
- The Manhattan Special Economic Zone manages a total of 31 factories situated within the 300 hectares Special Economic Zone. Just recently, the zone recorded trade volumes worth over USD$54 million as they observe a 19% increase compared to the trade volumes in 2019.
Tai Seng Bavet Special Economic Zone
- The Tai Seng Bavet Special Economic Zone is strategically located 5 km away from Moch Bai International Border Crossing and it is 80 km away from Ho Chi Minh international port. As a result, business owners and foreign investors can reduce transportation costs to Vietnam.
- With its prime location directly adjacent to the highway, Tai Seng Bavet Special Economic Zone is equipped with flexible and customized infrastructure and facilities. Additionally, foreign investors and business owners enjoy an approximately 40% lower utilities cost as compare to Phnom Penh Special Economic Zone.