PHNOM PENH โ South Korean automotive supplier Yura Harness Cambodia is planning to expand its investment in the Kingdom as Cambodia continues its push to become a regional hub for automotive parts manufacturing.
The expansion plan was discussed during a meeting on May 28 between H.E. Chea Vuthy, Secretary General of the Cambodia Investment Board at the Council for the Development of Cambodia (CDC), and a delegation from Yura Harness Cambodia led by its Chief Executive Officer, Mr. DooYeun Lee.
Quick Facts
| Item | Detail |
|---|---|
| Company | Yura Harness Cambodia (subsidiary of South Korean Yura Harness) |
| Product | Automotive wiring harnesses |
| Operations since | 2022 |
| Current workforce | ~1,100 workers |
| Planned | Expansion (additional jobs, local raw material sourcing) |
| Key government body | Council for the Development of Cambodia (CDC) |
| Supporting analyst | Mr. Seun Sam, Royal Academy of Cambodia |
Strong Growth Since 2022
Yura Harness Cambodia, a Republic of Koreaโbased company specializing in automotive wiring harness production, has operated in Cambodia since 2022 and currently employs around 1,100 workers. The company supplies essential components to major automotive manufacturers, positioning Cambodia within regional supply chains.
During the meeting, Mr. DooYeun Lee said the companyโs investment activities in Cambodia had continued to improve and outlined plans to expand operations. The expansion is expected to create additional employment opportunities and increase demand for locally sourced raw materials.
Workforce Development is a Priority
Mr. Lee also raised the importance of skills development for Cambodian workers, noting that the company was consulting on training programs to strengthen workforce capabilities in the automotive sector. A skilled local workforce is critical for attracting higherโvalue manufacturing and reducing reliance on foreign technicians.
Drawing on his experience working in Cambodiaโs automotive industry over the past several years, Mr. Lee said Cambodia holds significant potential for automotive parts manufacturing. He also shared practical recommendations aimed at further improving the countryโs investment climate.
CDC Welcomes Expansion
H.E. Chea Vuthy welcomed the companyโs continued commitment to Cambodia and expressed full support for both the investment expansion and worker training initiatives.
He highlighted the royal government’s ongoing efforts to improve the investment environment through infrastructure upgradesโincluding transport and electricity reliabilityโand targeted support measures for the private sector. These initiatives aim to strengthen Cambodiaโs competitiveness amid global economic uncertainty and shifting supply chains.
Analyst’s View: Deepening Cambodia-Korea Ties
Mr. Seun Sam, policy analyst at the Royal Academy of Cambodia, welcomed the expansion plan, saying that Cambodia and South Korea should continue strengthening trade and investment ties.
“Regional competition to attract foreign investment is increasing, so strengthening investment cooperation is important for mutual benefit,” he said.
His remarks reflect a broader trend of growing economic cooperation between Cambodia and Korea, underpinned by the CambodiaโKorea Free Trade Agreement (CKFTA) and the Regional Comprehensive Economic Partnership (RCEP).
Context
Yura Harness is among a growing number of Korean manufacturers establishing or expanding operations in Cambodia. The automotive parts sector is seen as a strategic priority for the Cambodian government, which aims to move beyond garment manufacturing and into higherโvalue industrial production.
In the first four months of 2026, bilateral trade between Cambodia and South Korea reached $357 million, up 23% yearโonโyear, with Cambodian exports surging 33.8%. Korea is consistently among Cambodiaโs top five foreign investors.
Outlook
The expansion of Yura Harness Cambodia is expected to proceed in phases. While specific capital figures and job creation targets were not disclosed, the companyโs commitment signals confidence in Cambodiaโs longโterm industrial potential. The CDC continues to offer Qualified Investment Project (QIP) incentives, including tax holidays and dutyโfree equipment imports, to attract highโquality foreign investment.