Jiangsu, China , Nov. 1 – Hodo Group, China’s largest investment firm and the investor of Sihanoukville Special Economic Zone, said that the withdrawal of EU’s preferential scheme (EBA) from Cambodia will not affect Chinese investment in Sihanoukville Special Economic Zone (SSEZ).
Jack Chen, managing director of SSEZ, said there are three factors attracting Chinese companies and other countries to invest in Cambodia – low-cost labor, tax policy, and incentives policy, addressing to Cambodian media delegates in a visit to his company in Jaingsu, China.
“The withdrawal of EBA from Cambodia will have some effects, but not serious. We have variety of markets, not only Europe but markets in China, USA, and Japan,” Jack Chen told the delegates.
Hodo Group is a firm investing on textiles, construction, bicycles and pharmaceuticals. HODO Group earns more than 60 billion yuan (US$ 8.7 billion) in revenue per annum and currently employs more than 20,000 people. The company started to invest in Sihanoukville Special Economic Zone in 2007, covering an area of over 13 square kilometers. According to Jack Chan, the investment capital of SSEZ district has now reached $500 million. SSEZ comprises of 130 factories, and employs about 21,000 Cambodians with suitable salary.
Jack Chan pledged to attract more investors from the United States, France and Italy. With the geographical advantage of Sihanoukville, Jack is optimistic to bring SSEZ to Shanghai Securities Exchange to attract more investors to Cambodia.
Chen Peihua, representative of the Chinese embassy in Cambodia and program coordinator, stated that Hodo Group has contributed to the resilience of Cambodian-Chinese relations, and also provided employments to Cambodians.