China’s Mesnac Union Technology (Cambodia) Co recently held a groundbreaking ceremony in the Qilu Cambodia Special Economic Zone, Svay Rieng Province, Cambodia, for the set up of its next factory. This marks another significant step forward in the globalisation strategy of Chinese tyre equipment company Mesnac in Southeast Asia, following the set-up of its Vietnamese factory.
With a total investment of ¥28 million, the Cambodia facility will enhance Mesnac’s production capacity and service network for tyre manufacturers across the region. General Manager Zhou Chuanhai stated that both projects align with Mesnac’s strategy, with a total investment cost of ¥135 million (EUR18 million) in the two Southeast Asian projects.
The formation of this “dual factory” structure is a well-thought-out strategic layout by Mesnac Union Technology, it adds. The Vietnamese factory has already taken the lead, accumulating valuable operational experience for the company in the Southeast Asian market. The launch of the Cambodian factory will create a synergistic effect between the north and south, greatly enhancing Mesnac’s production capacity, the company says.
Choosing the Qilu Special Economic Zone in Svay Rieng Province, Cambodia, is a precise strategic move by Mesnac based on a global perspective, it continued.
In recent years, with the accelerated trend of the global tire industry shifting to Southeast Asia, Cambodia, benefiting from its stable policy environment, labour cost advantages, and continuously improving industrial chain, is becoming a new investment hotspot. By establishing a production base here, Mesnace says it can not only be closer to its customers and reduce logistics costs, but also respond to customer needs in a timely manner and provide comprehensive support from equipment to services.