Logo of Phnom Penh Post newspaper Phnom Penh Post - Building, auto sectors fuel gains for Bosch

Building, auto sectors fuel gains for Bosch

Content image - Phnom Penh Post
Bosch researchers perform product testing at the Bosch Asia-Pacific Center for Corporate Research and Advance Engineering in Singapore. Photo supplied

Building, auto sectors fuel gains for Bosch

Bosch (Cambodia) Co Ltd, the local subsidiary of German electronics and engineering giant Bosch Group, saw continued strong growth in 2016 on the back of the Kingdom’s rapidly expanding construction sector and automobile sales, a company executive said yesterday.

With 29 percent year-on-year growth for the local Bosch subsidiary, Andre de Jong, managing director of Bosch for Cambodia, Laos and Myanmar, said the company maintained its track record of double-digit annual growth in the Kingdom since first entering the market in 2010.

“Cambodia is growing as a country [where] the key sectors remain construction, and the automotive development is also growing,” he said.

According to De Jong, increased automobile sales in the country led to significant growth for the company’s aftermarket automotive care division, which grew by over 100 percent last year and was the main contributor to the company’s positive performance in 2016.

“Registered vehicles in Cambodia grew 16.4 percent to 3.7 million vehicles, out of which most is motorbikes and about 12 percent is trucks and cars,” he said.

Construction activity in Cambodia led to continued good performances for both the company’s power tools and security systems divisions, he added.

“Construction is booming,” he said. “We have security systems and we have power tools – all products that go into these growing areas, so we see a very positive outlook with the seven percent yearly growth of GDP.”

Investment in construction projects grew by over 140 percent to reach $8.5 billion in 2016, according to a Bosch press release.

Bosch is now looking to further its activity in Cambodia by offering advanced technology solutions, particularly in the manufacturing sector, De Jong explained. He said a primary objective for the company is to help the country adopt “Industry 4.0,” a term to describe manufacturing activity powered by technologically advanced and inter-connected machinery.

Failing to do so would leave the country lagging behind advancing regional economies, he added.

“Cambodia has to leapfrog into the technology in order to be on par with those other countries,” he said. “Otherwise, people decide to put the new factory not in Cambodia, but in Malaysia or in Vietnam, so you miss out.”

MOST VIEWED

  • ‘Kingdom one of safest to visit in Covid-19 era’

    The Ministry of Tourism on January 12 proclaimed Cambodia as one of the safest countries to visit in light of the Kingdom having been ranked number one in the world by the Senegalese Economic Prospective Bureau for its success in handling the Covid-19 pandemic. In rankings

  • Ministry mulls ASEAN+3 travel bubble

    The Ministry of Tourism plans to launch a travel bubble allowing transit between Cambodia and 12 other regional countries in a bid to resuscitate the tourism sector amid crushing impact of the ongoing spread of Covid-19, Ministry of Tourism spokesman Top Sopheak told The Post on

  • Kingdom accepts Chinese vaccine, PM first to get jab

    Prime Minister Hun Sen said China would offer Cambodia an immediate donation of one million doses of the Covid-19 vaccine produced by the Sinopharm company. In an audio message addressing the public on the night of January 15, he said Cambodia has accepted the offer and

  • Reeling in Cambodia’s real estate sector

    A new norm sets the scene but risks continue to play out in the background A cold wind sweeps through the streets of Boeung Trabek on an early January morning as buyers and traders engage in commerce under bright blue skies. From a distance, the

  • Quarantine site in north Phnom Penh inaugurated

    A four-building quarantine centre in Phnom Penh’s Prek Pnov district was formally inaugurated on January 6. The centre can house up to 500 people, according to Phnom Penh municipal governor Khuong Sreng. At the inauguration ceremony, Sreng said the municipal hall had cooperated with the Ministry

  • ‘Beware of WhatsApp fraudsters’

    The Ministry of Posts and Telecommunications warned members of the public who use WhatsApp to vigilantly guard against a new trick employed by hackers that involves the use of six-digit codes sent to potential victims via the popular messaging app. The ministry said hackers could