Amid the media reports over the financial uncertainty surrounding the construction of the Funan Techno Canal (FTC) project, Shanghai Hantang Shipping Co Ltd, a Chinese company specialising in logistics and water transportation, has expressed its interest in investing in this megaproject and its associated logistics systems.
Noting the potential of the Kingdom’s colossal project, Jason Fan, Chairman of the Board of Directors and CEO of Shanghai Hantang Shipping Co Ltd, led a delegation to pay a courtesy visit to Sun Chanthol, Deputy Prime Minister and First Vice-Chairman of the Council for the Development of Cambodia (CDC), in Phnom Penh on November 28.
Addressing a meeting, Fan expressed his gratitude to the Deputy Prime Minister for the opportunity to learn more about Cambodia’s business environment and development policies, highlighting the significance of this engagement in exploring investment opportunities in the country’s growing sectors.
The Shanghai Hantang Chairman emphasised the company’s interest in exploring opportunities in the Kingdom’s key sectors, including ports and water transport, which are vital to the country’s growing infrastructure and regional connectivity.
During the discussion, Chanthol, also the Chairman of the Special Commission on the FTC construction project, provided the delegation with an update on the latest developments related to the project’s construction and its integrated logistics system.
The Deputy Prime Minister underlined that these projects are among the most attractive to investors, drawing significant interest due to their potential to transform Cambodia’s infrastructure and enhance regional trade connectivity.
Hoeurn Somnieng, Deputy Secretary General of the General Secretariat of CDC and Try Dalux, Deputy Secretary General of the Cambodian Investment Board of CDC, were present at the discussion table.
A day later, Chanthol spurned international media reports over the FTC funding crisis, affirming that this megaproject would be completed as planned or even ahead of schedule during the launch ceremony of the CDC Investment Project Management (cdcIPM).
Speaking to Khmer Times, Chea Chandara, President of the Logistics and Supply Chain Business Association in Cambodia (LOSCBA) said, “The logistics sector in Cambodia is experiencing significant growth, with the government spearheading several large-scale projects, including the Techo International Airport (TIA), the Kampot Logistics and Multipurpose Port, Sihanoukville Autonomous Port, and the FTC project.”
He acknowledged that while the government’s ambitious development initiatives are driving progress, some projects may face delays or challenges. However, he remains optimistic that the FTC project will be completed on schedule and will deliver substantial benefits once operational.
Chandara emphasised that Cambodia’s logistics and transportation sector plays a vital role in the national economy. He highlighted that cost-effective transportation is a key factor in attracting investors to establish factories and other businesses in the Kingdom.
“Therefore, the Royal Government of Cambodia (RGC) is giving priority to improving infrastructure to support the country’s economic future,” the LOSCBA President added.
It may be recalled that on November 21, Reuters reported that Beijing has expressed misgivings about the project and has not made definitive commitments on its funding.
Responding to an email from Reuters, China’s foreign ministry said that it is normal business practice for Chinese companies to assist Cambodia in exploring the construction of comprehensive water conservancy projects in accordance with market principles.
While the Chinese ministry did not respond to a direct question about the funding, it did say that the two countries are ‘ironclad friends’.
