Japan Collaborates with Cambodia to Explore Green Special Economic Zone Locations

 

In a significant development for Cambodia’s economic landscape, Japan has initiated discussions to establish a green special economic zone (SEZ) in the country. Following a presentation from the Economic Research Institute of ASEAN and East Asia (ERIA), a delegation from the Business Research Institute of Cambodia (BRIC) is set to explore two potential locations for this project.

The delegation, led by Mr. Yasuhiro Yamada, Senior Mekong Policy Officer at ERIA, met with Ms. Sovann Vannarat, Permanent Secretary of State at the Ministry of Labor and Vocational Training, on June 17, 2025. During the meeting, they outlined the proposal and presented two potential sites: one near Phnom Penh and the other in Pursat province.

In addition to discussing location options, the delegation emphasized the importance of workforce development, requesting assistance from the Ministry of Labor and Vocational Training to supply and train labor in support of the green SEZ initiative.

In response, Ms. Sovann Vannarat assured the delegation that the Ministry would review the requests and explore ways to enhance the project’s appeal to Japanese investors.

This initiative follows an earlier discussion during Prime Minister Hun Manet’s official visit to Tokyo from May 28-31, 2025, where Mr. Tetsuya Watanabe, ERIA’s President, first revealed the investment plan. (Read more)

Furthermore, the Japan Development Institute (JDI) has also announced its intentions to develop a special economic zone in Cambodia, highlighting its commitment to adapting the project to meet specific industry needs in the country. (Read more)

As Cambodia moves forward with these plans, the collaboration with Japan could pave the way for sustainable economic growth and enhanced investment opportunities.

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