Cambodia’s First Car Tire Factory Under Construction, Using Over 150,000 Tons Local Rubber in Next 5 Years

• Sommana Yan
• 2 July 2021
• Uncategorized
• 11302 Views

The construction of US$350-million car tire production factory in Svay Rieng, an investment by Chinese firm Cart Tire Co., Ltd, is on track, with the company promising to buy 100% local rubber products estimated to be 150,000 tons in the next five years.

This information was revealed during a construction site inspection by H.E. Sok Chanda Sophea, Minister attached to Prime Minister and Secretary-General of the Council for the Development of Cambodia (CDC) on 1 July.

The project is currently being built on over 50 hectares of land in the Bavet special economic zone in Svay Rieng province and will help create more than 4,000 jobs.

According to the company, in the first year, production will need approximately 50,000 tons of rubber, and the amount will triple in the next five years, or equivalent to almost half of rubber yield registered in 2020.

HE Sok Chenda Sophea stated that the tire factory in Cambodia will help boost the demand for rubber and maintain price stability, as currently, Cambodia exports almost 100% of rubber products to foreign markets.

Figures from the Ministry of Agriculture, Forestry, and Fisheries showed that the rubber yield reached 133,367 tons in the first semester this year, a 5.77% increase compared to the same period last year.

On the same day, HE Sok Chenda Sophea also inspected a US$47-million furniture factory, an investment by Shane (Cambodia) Furniture Co., Ltd,. in the Sin Bavet Economic Zone.

HE Sok Chanda Sophea urged both companies as well as all companies to use local products as much as possible, properly control their waste and protect the environment, and help create jobs for locals.

In June, China-based Jiangsu General Science also revealed plans to build a US$200 million tire plant in Sihanoukville with the capacity to produce 6 million units of passenger car tires annually. (Read more)

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