Subaru enters SUV market in Cambodia

Motor Image Group entered Cambodia's SUV market Monday, announcing it would sell two models of the Subaru Forester to compete in the Kingdom's growing automobile market.

Motor Image is the exclusive distributor of the Japanese-made vehicle in Cambodia, marking the company's expansion into 10 Asian countries, Glenn Tan, executive director of Tan Chong International Ltd, parent company of Motor Image, told the Post Monday.

"I'm not concerned about anything to open a business here," Tan said. "Cambodia is one of the countries with very good potential for growth in the economy."

An increasing number of international investors are entering the country, he said, "so that's why I decided to invest in Cambodia".

Motor Image will sell the 2.0X and 2.5XT models of the Forester, which won Motor Trend's 2009 Sport Utility Vehicle of the Year award.

"After we build up our brand name here for the next year, we will expand our business," Tan said. "I think the Cambodian market will be going up."

Tan said the Forester would compete with the SUV market here through its design, safety and quality.

Several vehicle dealers said Monday that they were unafraid of the competition.

"We are not worrying about a new car coming because we have different kinds of models, quality and price," said Peang Mann, CEO of World Wide Garage, which distributes six models of Chinese-made automobiles, including Great Wall Motor's Wingle truck.

"We focus on middle-class customers," he said.

"We are not worried about anything because we have strong points, such as quality and a large international company," said Lim Visal, director of finance administration at Camko Motor, which sells South Korean-made Hyundai.

Cambodia's automobile market is expanding each year and was contributing to a growing private sector, Kem Sithan, secretary of state for the Ministry of Commerce, said Monday.

Nevertheless, Hyundai has stalled a Koh Kong province assembly plant due to plummeting demand last year as the economic crisis hit.