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GAC starts KD assembly in Cambodia, shifting from vehicle exports to local production
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GAC Group has started production at its knocked-down (KD) assembly facility in Cambodia's Kampong Chhnang province, shifting from complete vehicle exports to local manufacturing. The plant, built in partnership with TH Group, has a designed annual capacity of approximately 10,000 units. GAC has been present in Cambodia for seven years, progressing from distribution to brand-building and now local production. The project launched in 2024 and has now finished construction. The formal opening ceremony was attended by Cambodian Prime Minister Hun Manet and Chinese Ambassador to Cambodia Wang Wenbin. Hun Manet described the plant's launch as a 'significant achievement' for Cambodia's industrial transformation, helping upgrade from labour-intensive to capital- and technology-driven sectors. GAC's Trumpchi brand has posted an average annual compound growth rate of over 300% in Cambodia over the past three years since 2024. The article also notes GAC confirmed last week it signed a letter of intent with FAW Group to acquire part of its stake in a joint venture with Toyota.
Source report
GlobalData Tue, September 22, 2026 at 3:00 AM PDT 2 min read
GAC Group has commenced production at its knocked-down (KD) assembly facility in Cambodia's Kampong Chhnang province, marking a strategic shift from complete vehicle exports to local manufacturing.
Under the arrangement, TH Group—GAC's partner in Cambodia—is responsible for investment, construction, and assembly of the plant, while GAC supplies complete knocked-down (CKD) kits along with technical standards and support.
The plant has a designed annual capacity of approximately 10,000 units.
Background and Development
GAC has been present in the Cambodian market for seven years, progressing through three phases:
- Vehicle distribution
- Brand building
- Local production
The project was launched in 2024 and has now completed construction and entered production.
In a statement, the Chinese company said: "Over the past seven years, from channel development to product rollout, from brand establishment to manufacturing upgrading, GAC has been sharing development opportunities with the Cambodian people through tangible capacity, employment and technology."
Official Opening Ceremony
The facility's formal opening ceremony was attended by:
- Cambodian Prime Minister Hun Manet
- Chinese Ambassador to Cambodia Wang Wenbin
Hun Manet described the plant's launch as a "significant achievement" for the Cambodian government's industrial transformation, stating it is "helping Cambodia upgrade from labour-intensive industries to capital-, advanced-technology- and high-skill-driven sectors, spurring local industrial development, raising the added value of the national economy, and cultivating new sources of economic growth."
Market Performance
GAC reported that its Trumpchi brand has posted an average annual compound growth rate of over 300% in Cambodia over the past three years since 2024.
Related Developments
GAC confirmed last week that it had signed a letter of intent with FAW Group to acquire part of its stake in an as-yet-unnamed joint venture with a foreign automaker, understood to be Japan's Toyota Motor.
- GAC's joint venture with Toyota – GAC Toyota Motor Company, established in Guangzhou in 2004, with each side holding a 50% stake.
- FAW Group's joint venture with Toyota – Tianjin-based FAW Toyota Motor Company, formed in 2000, also on a 50-50 equity split.
"GAC begins local vehicle assembly in Cambodia with new KD plant" was originally created and published by Just Auto, a GlobalData owned brand.
Source
Yahoo FinanceNeutral / independent
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GAC Group opens KD assembly plant in Cambodia, shifting from exports to local manufacturing