Logo of Phnom Penh Post newspaper Phnom Penh Post - Japan auto parts firm seeks plant in PPSEZ

Japan auto parts firm seeks plant in PPSEZ

Japan auto parts firm seeks plant in PPSEZ

Auto parts manufacturer Denso Cambodia, which has rented space in the Phnom Penh Special Economic Zone (PPSEZ) since July, will expand operations by building its own factory, according to a company representative.

Administrative manager Seng Chanthy said yesterday that the factory will cover 10 hectares and require $10 million in investment before it is slated to begin work in 2015.

“Since we started operations [in July], we have been able to produce products with acceptable quality to send to Denso in Thailand,” he said. “With the new factory [we will be able to] gradually produce other products.”

Since July, Denso Cambodia has been producing sensor components for ignition devices and shipping them back to Denso Thailand, where they are assembled into bigger automobile parts.

Denso Cambodia is a subsidiary of Japan-based Denso Corporation, a global automotive supplier of advanced technology systems and components.

The corporation has over 200 subsidiaries worldwide and affiliates in 35 countries.

According to a company statement in January, Sojiro Tsuchiya, Denso’s executive vice president responsible for the region, said the company had decided to establish a production company in Cambodia to support the increased production of motorcycles and automobiles in the 10 countries that make up ASEAN.

“This will enhance our production needs for customers in the region,” he said.

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