Cambodia: Gov’t sets plans to modernise heavy trucks businesses

The Ministry of Public Works and Transport (MPWT) has released a  strategic plan for 2022-2030 to modernise heavy-truck businesses in Cambodia to strengthen the conditions for heavy trucks and shipping businesses more effectively and environmental-friendly through the encouragement of using new and modern trucks as well as improvement of business operations, according to MPWT.

Sun Chanthol, Minister of MPWT, said the modernisation of the heavy truck project is a part of the first of five proposed programs—modernisation of logistics and promotion of green logistics program. These programs were proposed to be included in the intermodal transportation connectivity and logistics system master plan worth $48.6 billion.

The master plan was prepared by MPWT in 2021 in cooperation with the Ministry of Economy and Finance (MEF), Supreme National Economic Council (SNEC), other relevant ministries, institutions and development partners to develop intermodal-transportation infrastructure, logistics and related requirements to ensure the sustainability of transportation and logistics industry in Cambodia.

“Old overloaded and heavy trucks have not only damaged roads and the environment in the long run but also put traffic safety at risk. The implementation of the strategic plan… is very essential to the contribution to the national standards of gas emission for imported automobiles and heavy trucks,” Chanthol pointed out in the plan.

Chanthol went on to add that four strategies have been released to implement the plan to achieve its goals completely and effectively. Those strategies include the old truck replacement, encouragement for using trucks that are environmental-friendly, improvement of truck operations and modernisation of transportation or shipment business operations.

The plan document points out the five action programs include the establishment of logistics technical training centre, a public-private dialogue forum, modernisation of logistics businesses and green logistics promotion, launching a modernised logistics business model and expansion of the market mechanism.

“Most trucks in the country are imported as used old trucks, which may reflect the initial investment in saving purpose of shipping firms, but negatively affects traffic safety, economic activities and environment. Even though shipping or transportation firms are small but they have to pay serious attention to safety and trust in services,” the document indicates.

According to the General Department of Land Transport of MPWT, over 6.35 million vehicles have been registered from 1990 to 2021. Among those, there are about 0.68 million trucks including approximately 8,000 heavy trucks, while the registration rate for trucks has increased 6.2 percent annually over the past 10 years except in 2020 and 2021, which means the number of trucks has risen by 7,000 annually in Cambodia.