Cambodia Pushes High‑Tech Industrial Transformation as Factory Investment Surges 25%

PHNOM PENH, July 17, 2026 (KPT) – Cambodia is accelerating its transition toward a technology‑driven manufacturing sector as investment in its industrial base surged more than 25% year on year, with the government urging businesses to embrace artificial intelligence, automation and digital technologies to sharpen global competitiveness, officials said Friday.

Industry Minister Hem Vanndy delivered the message at the opening of the Cambodia Industrial Development Conference and Industrial Expo 2026, a two‑day event organized by the Cambodia Industrial Economy Promotion Association (CIEPA).

The expo brings together manufacturers, investors, technology firms and business associations to promote partnerships, showcase advanced technologies and support industrial modernization.

Vanndy said Cambodia is moving beyond competing on low production costs toward an industrial model driven by innovation, productivity and quality, enabling local industries to climb regional and global value chains.

“Cambodia’s industrial development is entering a new stage, marked by a growing number of factories, investment, employment and industrial production value, reflecting investors’ confidence in the stability, potential and future of Cambodia’s industrial sector,” he said.

As of June 2026, Cambodia had 3,319 large‑scale factories employing more than 1.3 million workers and attracting US$27.8 billion in total investment, up more than 25% from a year earlier. Vanndy stressed that advances in AI, robotics and digital technologies are reshaping global manufacturing and must be embraced to boost productivity, reduce costs and improve product quality.

This year’s expo features 162 companies, including 36 from China and 118 operating in Cambodia, across 199 booths. Guan Wei, representing the Chinese Embassy, said the event provides a platform to strengthen Cambodia‑China industrial cooperation.

CIEPA President Lee Allen pledged to develop the conference into a long‑term platform, expanding its scale and influence to drive Cambodia’s industrial transformation.

Held July 17‑18, the event includes exhibitions, business matching and networking aimed at promoting investment, technology transfer and stronger collaboration between Cambodian and international enterprises.