(Phnom Penh): Cambodian Prime Minister Hun Manet stated that Cambodia is also evolving to become ASEAN’s Green Manufacturing Hub, speaking on Wednesday (Mar. 4) during the opening of the ASEAN-Cambodia Business Summit 2026 at Sofitel Phnom Penh Phokeethra.

“Cambodia is also evolving to become ASEAN’s Green Manufacturing Hub. For multinational corporations, the pressure to meet EU Carbon Border Adjustment Mechanism (CBAM) and global Environmental, Social, and Governance (ESG) targets is no longer optional—it is a market requirement,” said the prime minister.

“Today, 62% of our power mix comes from renewable sources, and we are on track to reach 70% by 2030. By integrating this clean energy with our Special Economic Zone (SEZ) infrastructure, we provide a prime ecosystem for electronics and automotive clusters,” he added.

Samdech Thipadei continued that in 2025, the Council for the Development of Cambodia approved approximately USD 10 billion in new projects—a 45% year-on-year increase. The capital is shifting rapidly from garments toward high-end manufacturing, agro-industry, and infrastructure.

It should be noted that the Carbon Border Adjustment Mechanism (CBAM) is the EU's tool to put a fair price on carbon emitted during the production of carbon-intensive goods that are entering the EU, and to encourage cleaner industrial production in non-EU countries. Meanwhile, ESG stands for environmental, social and governance and refers to a set of standards used to measure an organization’s environmental and social impact.
=FRESH NEWS