Cambodia News (Japan): On the morning of 28 September 2022, in less than an hour before Prime Minister HE left Tokyo for Cambodia, Japanese Prime Minister Kishida Fumio has confirmed that Japan's Toyota manufacturer will establish a car assembly plant in Cambodia soon.

The announcement of the big car business was made during a working meeting between Prime Minister HE and Japanese Prime Minister Kishida Fumio after attending Shinzo Abe’s national funeral. Mr. Kishida Fumio told Prime Minister HE that Japan is always happy to work with Cambodia to strengthen economic cooperation between the two countries.
The Japanese Prime Minister also asked Prime Minister HE to support Japanese companies that are already doing business in Cambodia and also facilitate others which are planning to invest in Cambodia particularly Toyota which is preparing to enter Cambodia soon.

According to a report by the Council for the Development of Cambodia (CDC), Toyota has decided to invest USD 36.7 million in establishing a Toyota assembly plant in the Phnom Penh Special Economic Zone to meet the demand for cars in Cambodia.
This investment project was announced by the CDC on 8 September 2022 and it is projected to create about 150 jobs.
As of August 2022, the CDC has approved 149 Japanese investment projects with a total investment capital of approximately USD 2.9 billion, which will be traded in Cambodia to help boost the Cambodian economy and bring strong recovery.

I wonder, will they be cheaper to buy in Cambodia if they’re made here (no import tax/duty)?

Chad Sexington wrote: ↑Thu Sep 29, 2022 1:46 pm I wonder, will they be cheaper to buy in Cambodia if they’re made here (no import tax/duty)?

My thoughts too. they are being made in a special economic zone though so probably not

Isn’t the Ford Ranger made here, still expensive.

MOU Signed by Toyota and Cambodian Government
Toyota Tsusho Corporation signed an important MOU with the Cambodian government to establish its car installation company in the country.


Cambodia News, (Phnom Penh): On November 12, 2022, during a bilateral meeting between the Government of Cambodia and the Government of Japan, Toyota Tsusho signed a Memorandum of Understanding with the Royal Government of Cambodia. The MoU was signed by HE Dr. Aun Porn Moniroth, Deputy Prime Minister and Minister of Economy and Finance, and Mr. Toshimitsu Imai, Vice President of the Company. Toyota Tsusho.

The signing ceremony was presided over by Samdech Akka Moha Sena Padei Techo HE, Prime Minister of the Kingdom of Cambodia and Prime Minister of Japan Fumio Kishida. The event is also part of the 40-41 ASEAN Summit and related summits held in Phnom Penh from November 8 to 13, 2022.

The signing ceremony took place shortly after Toyota Tsusho formed a new car assembly company called Toyota Tsusho Manufacturing (Cambodia) Co. , Ltd. ("TTMC") in the Kingdom of Cambodia in August 2022. The new company has an investment capital of approximately US $ 36.8 million and is located in the Phnom Penh Special Economic Zone. The company will install pick-ups and SUVs such as the TOYOTA HILUX and TOYOTA FORTUNER.

I'm sure the workers back in Japan are not to pleased to be losing thier jobs to cheap labor in Cambodia.

mannanman wrote: ↑Thu Sep 29, 2022 4:17 pm Isn’t the Ford Ranger made here, still expensive.

The issue at the moment is that the factory is assembling SKD/CKD kits. There is basically zero local content. SKD/CKD kits are subject to duty/tax on import at very similar levels to complete cars, the idea being to stop evasion by taking cars apart, importing them as spares/parts and then putting them back together again.
I believe that both Ford/RMA and Toyota are discussing this with Customs.

Bluenose wrote: ↑Sun Nov 13, 2022 5:27 pm

mannanman wrote: ↑Thu Sep 29, 2022 4:17 pm Isn’t the Ford Ranger made here, still expensive.

The issue at the moment is that the factory is assembling SKD/CKD kits. There is basically zero local content. SKD/CKD kits are subject to duty/tax on import at very similar levels to complete cars, the idea being to stop evasion by taking cars apart, importing them as spares/parts and then putting them back together again.
I believe that both Ford/RMA and Toyota are discussing this with Customs.

Interesting. I’ve always wondered if they actually had a production line of just an assembly plant.

It’s ironic that SKD/CKDs are attracting tax as that was partly the point, plus simplicity.

atst wrote: ↑Sun Nov 13, 2022 4:49 pm I'm sure the workers back in Japan are not to pleased to be losing thier jobs to cheap labor in Cambodia.

I doubt they have much to worry about