PHNOM PENH: YKK Canada Inc., a world-renowned manufacturer of garment accessories (zippers), has reportedly expressed strong interest in direct investment in the Kingdom, following a meeting with the leadership of the Council for the Development of Cambodia (CDC).
Sun Chanthol, CDC first vice-chairman, met with YKK president Hugues Charbonneau at a YKK factory in Montreal, Canada, on October 31.
Chanthol was leading a Cambodian delegation on a Canadian mission to explore the expansion of economic ties with the North American nation.
Joining him at the YKK meeting were representatives from the CDC, the Ministry of Commerce, the Ministry of Industry, Science, Technology and Innovation and the Cambodian Oknha Association, as well as the Honorary Consulate General of Cambodia in Montreal.
According to the CDC, the purpose of this visit was to learn about YKK Canada’s large-scale management systems and production chain, with the goal of encouraging the company to consider the feasibility of expanding its manufacturing base to Cambodia. This would help strengthen the supply chain for Cambodia’s textile and garment industry — one of the country’s largest and most promising sectors.
During the meeting, Chanthol highlighted the potential of Cambodia’s textile and garment industry, reflected in the rapid growth of the garment, footwear and travel goods sectors, which has driven high demand for quality components such as zippers and fasteners.
He added that, thanks to Cambodia’s investor-friendly legal framework and access to many major export markets, this presents an excellent opportunity for YKK Canada Inc. to establish direct operations in the country.
“The Investment Law provides numerous incentives to manufacturers of accessories and raw materials (backward linkages) to invest in Cambodia. YKK’s investment would not only meet domestic demand but also enhance Cambodia’s competitiveness in the global apparel export market,” he explained.
Charbonneau expressed interest in the information he shared and also praised the rapid development achieved by the Royal Government of Cambodia.
“YKK Canada is always seeking opportunities to expand its operations in regions with potential. We are keen to further examine and conduct an in-depth feasibility study on establishing zipper and other accessory manufacturing facilities in Cambodia in the near future,” he noted.
According to the General Department of Customs and Excise, January to September trade between Cambodia and Canada grew 14.4 per cent year-on-year, totalling US$1.02 billion. Exports equalled US$972.92 million (up 14.6 per cent), while imports were US$52.51 million (up 11 per cent). – The Phnom Penh Post/ANN