Sumitronics Manufacturing (Cambodia), a subsidiary of Japanese electronics manufacturing giant Sumitronics Corp, held the official opening ceremony for its facility in the Poipet Special Economic Zone (PPSEZ) for production expansion in the region.
Sumitronics Manufacturing (Cambodia), with total investment worth around $11 million, on Monday launched its 4,800sqm factory, which sits on 10,000sqm of land leased in PPSEZ and employs 120 workers.
Noriya Mifune, the director of Sumitronics Manufacturing (Cambodia), said at the opening ceremony that registration to start manufacturing electronic components and equipment had been approved in August 2016.
He said that after three years of construction the facility was now ready for full production.
“We completed the factory in May this year and manufacturing started in June. It has been three years since we entered Poipet, and we have finally completed our factory. We are now engaged in manufacturing fully fledged electronics components and electronic equipment.
“With the cooperation of the local community, I hope this will contribute to the development of society and the manufacturing industry in Cambodia and Japan,” Mifune said.
Japanese Ambassador Masahiro Mikami, who attended the opening ceremony, said that Cambodia, with its strong economic growth of seven percent over recent years and strategic location along the Southern Economic Corridor connecting Bangkok and Ho Chi Minh City, was proving attractive to foreign investors.
“From the perspective of geographical advantage, foreign companies are increasingly interested in investing [in Cambodia]. It is therefore considered a potential investment destination for Japanese companies,” Mikami said.
He said that with Sumitronics located in the PPSEZ as part of the “Thailand plus one” strategy, other Japanese companies would expand there.
“There will be more factories entering from Thailand as high added-value manufacturing industries expand their businesses into Cambodia. The business model is a win-win model for both Japanese companies and Cambodia,” Mikami said.