Cambodia’s Factory Clusters: A Sourcing Map for 2025

In 2025, Cambodia continues its evolution into a prominent manufacturing destination in Southeast Asia. Strategic factory clustering has played a crucial role in this transformation. For companies evaluating sourcing opportunities in the region, understanding the geography and capabilities of Cambodia’s manufacturing clusters is essential. These clusters offer efficiency, access to skilled labor, and proximity to critical infrastructure.

Global businesses exploring production in Cambodia frequently rely on localized expertise to navigate the fragmented supplier landscape. A bestsourcing agent Cambodia offers deep insight into these zones, helping brands pinpoint the best partners for textiles, electronics, footwear, or food processing. Rather than sourcing randomly across provinces, working with an agent who understands the spatial distribution of factories yields tangible advantages.

Phnom Penh: The Capital’s Industrial Belt

As Cambodia’s political and economic center, Phnom Penh remains a vital hub for garment production. Several special economic zones (SEZs), including Phnom Penh SEZ, house export-ready factories. These zones benefit from proximity to logistics hubs, international freight services, and high population density, which helps stabilize labor supply.

Factories in the Phnom Penh cluster are typically geared toward apparel, accessories, and small electronics. A bestsourcing agent Asia may prioritize this location when rapid shipment timelines and infrastructure access are required. Additionally, the availability of bonded warehouses and customs services simplifies export procedures for U.S. and European buyers.

Kampong Speu: Footwear and Assembly Excellence

West of Phnom Penh lies Kampong Speu, a rising star in Cambodia’s manufacturing portfolio. This area has developed into a major footwear production cluster, supplying some of the world’s largest sportswear and lifestyle brands. Labor costs remain competitive, and its location offers logistical convenience to the capital.

A sourcing agent active in Kampong Speu helps buyers connect with suppliers specializing in mass production and assembly. The factories here tend to follow standardized output models, which makes them suitable for high-volume product runs with minimal customization.

Sihanoukville: Coastal Access and Industrial Growth

As home to Cambodia’s only deep-sea port, Sihanoukville is crucial for export-driven manufacturing. Its SEZ is home to diversified industries, from electronics to food processing. Given its ocean access, manufacturers in Sihanoukville can minimize inland transport, reducing lead times and freight costs.

For U.S. firms importing electronics, tools, or furniture, this location offers clear cost efficiencies. By leveraging a bestsourcing agent Cambodia, importers can access vetted suppliers in this zone while ensuring quality control processes are in place at the source.

Kandal Province: The Expansion Belt

Kandal, surrounding Phnom Penh, is rapidly industrializing. It hosts a mixture of garment manufacturers, packaging producers, and light machinery assemblers. Many businesses see it as an extension of Phnom Penh’s capacity, offering lower land and labor costs while retaining connectivity to the capital.

The area has become increasingly attractive for companies shifting away from Vietnam or China in search of leaner operating structures. Agents operating in Kandal are often tasked with helping mid-size firms establish longer-term production partnerships in emerging factory districts.

Bavet City (Svay Rieng): Border-Driven Advantage

Located on the Vietnam-Cambodia border, Bavet City serves as a strategic sourcing location due to its cross-border logistics. This cluster facilitates hybrid production models where raw materials can be sourced from Vietnam and assembled in Cambodian factories.

This zone excels in producing textiles, garments, and components for electronics. A bestsourcing agent Asia plays an important role here by coordinating compliance between cross-border suppliers and managing export documentation. This is particularly valuable for clients who face U.S. restrictions on sourcing from high-risk regions.

Poipet and Battambang: Northern Gateways

Poipet, near the Thai border, is emerging as a logistics and production cluster. With improved roads and trade agreements between Cambodia and Thailand, it allows efficient goods movement between the two countries. The zone’s factories focus on agricultural processing, light manufacturing, and plastics.

Battambang complements Poipet with a focus on agro-processing, especially rice, cassava, and packaged food products. U.S. importers sourcing organic or sustainable food ingredients increasingly look to these areas. Using a bestsourcing agent Cambodia is vital for ensuring sanitary certifications, handling food safety protocols, and auditing supplier practices.

Why Factory Clusters Matter for Sourcing Strategy

The spatial organization of factories into zones isn’t random. It’s a deliberate response to infrastructure availability, labor mobility, and government policy. When companies select sourcing partners based on cluster specialization, they gain:

• Shorter supply chains between component suppliers and assemblers

• Access to relevant labor skills and machinery

• Reduced inland transportation and logistics complexity

Agents serve as critical navigators in this sourcing ecosystem. Without local context, foreign businesses risk engaging the wrong supplier for their product type, timeline, or market requirement.

The 2025 Outlook for Cambodia’s Clusters

In the coming years, Cambodia is expected to double down on industrial policy that favors SEZ growth. Investment in logistics corridors, energy reliability, and vocational training will further strengthen manufacturing hubs. Several new industrial parks are being developed through foreign investment, including from Japan, South Korea, and Singapore.

Additionally, U.S. brands are now actively seeking sourcing partners outside of China. Cambodia’s growing reputation as a low-risk, cost-effective alternative positions it well to absorb this demand—especially in factory clusters already optimized for international trade.

Final Thoughts

Mapping Cambodia’s factory clusters is more than a logistical exercise—it’s a strategic necessity. Each region offers unique advantages, and no two suppliers are alike. To extract full value, companies need local insight, on-the-ground coordination, and strong supplier relationships.

That’s where working with a bestsourcing agent Cambodia becomes a competitive advantage. They connect brands with the right suppliers, in the right clusters, with the right capabilities. As manufacturing in Cambodia matures, this agent-facilitated sourcing model will define how global businesses successfully scale in Southeast Asia.