Chinese garment manufacturer Shenzhou International Group Holdings has commenced work on a US$150m production facility in Cambodia.
The ceremony at the Phnom Penh Special Economic Zone took place last week and was attended by Lieutenant General Hun Manet, deputy commander-in-chief of the Royal Cambodian Armed Forces, and Chinese Ambassador to Cambodia Wang Wentian.
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According to the Chinese Embassy to Cambodia, the facility – Marvel Garment Co – will employ 17,000 and will become the largest garment enterprise in Cambodia.
In an earlier announcement, Ma Jianrong, the chairman of Shenzhou International Group Holdings Limited, said the investment would be into a downstream garment production facility in Cambodia for processes include cutting, sewing, printing, embroidering, packaging, and washing.
He added: “The board believes that the construction of a downstream garment production facility in Cambodia will help enhance the overall production capacity of the company and alleviate the production capacity constraint currently experienced by the company.”
Chinese news agency Xinhuanet cited Lieutenant General Manet as saying the expansion “truly reflected” Shenzhou’s confidence in Cambodia, following its success as a base for the company to produce garments for US sportswear giant Nike.
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By GlobalDataThe report also quoted Nike vice president Mark Griffie as remarking Shenzhou has “grown to be one of Nike’s largest and most important apparel suppliers.”
“Cambodia has been an important country for Shenzhou and for Nike. With the new factory that will be built on this site, we look forward to continued growth together in Cambodia for many years to come,” he added.
Shenzhou said the facility is scheduled to be complete in March 2021.
