Chinese electric vehicle manufacturer BYD has broken ground on a new assembly plant in Cambodia, marking an expansion of its production capabilities in Southeast Asia.
The firm is investing around $32m for the initial phase of constructing a Completely Knocked Down (CKD) vehicle assembly facility, reported Phnom Penh Post.
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Spanning 12ha, the facility is located in the Sihanoukville Special Economic Zone. It will assemble both pure electric vehicles (EVs) and plug-in hybrid electric vehicles (PHEVs).
The facility is expected to commence production in November this year and will have an anticipated annual production capacity of 10,000 vehicles.
The construction of the BYD assembly plant is expected to be completed by October.
Chinese ambassador to Cambodia Wang Wenbin and first vice-president of the Council for the Development of Cambodia (CDC) Sun Chanthol were present at the groundbreaking event.
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By GlobalDataChanthol was quoted by the publication as saying: “BYD’s investment reflects the confidence foreign investors have in the Cambodian government, thanks to the smart and capable leadership across generations. Under the CDC’s leadership, we continue to improve the business and investment environment through promoting investment laws, outreach abroad and simplifying related procedures.”
Cambodia’s EV sector is experiencing a small but rapid growth.
Registrations of EVs soared to 2,253 units in 2024, an increase from the 313 recorded in 2023.
The new plant in Cambodia represents BYD’s second venture in Southeast Asia, following the establishment of a facility in Thailand in July 2024, which boasts an annual production capacity of 150,000 vehicles.
Further expansion in the region includes BYD’s plans to complete its $1bn Indonesian plant by the end of 2025, according to a January report of Reuters.
BYD’s Indonesia president director Eagle Zhao had stated that the plant’s long-term strategy is focused on the export market.
The Indonesia plant is being constructed at an industrial complex in Subang, West Java. It will have an annual production capacity of 150,000 EV units.
This month, BYD reported a 100.4% year-on-year increase in net profit attributable to shareholders for the first quarter of the 2025 financial year. Its net profits reached 9.15bn yuan ($1.3bn).
