---
title: "Feida Hat Industry's new factory in Cambodia will start production in June next year, expecting a 30% increase in order volume this year"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/277167033.md"
description: "Feida Hat Industry Vice Chairman Yan Baoling stated that the company's new factory in Cambodia will start production in June next year, with an expected order volume growth of 30% this year. The initial investment in the new factory is about 100 million yuan, with a goal of breaking even within three years. The company has established factories in Mexico, Bangladesh, and Shenzhen to diversify risks. The zero-tariff advantage in Cambodia will help expand overseas markets. Feida Holdings expects a profit of no less than 100 million yuan for the fiscal year 2025, with growth of no less than 75%"
datetime: "2026-02-27T08:46:36.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/277167033.md)
  - [en](https://longbridge.com/en/news/277167033.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/277167033.md)
---

# Feida Hat Industry's new factory in Cambodia will start production in June next year, expecting a 30% increase in order volume this year

Fayda Hat Industry (1100) Vice Chairman and Managing Director Yan Baoling stated that the company is accelerating development in Cambodia, with a new factory expected to be completed by April next year and to commence production in June. The initial capital expenditure for the factory is approximately 100 million yuan, including land acquisition, infrastructure, and equipment, with a goal to break even within three years. She also anticipates that the group's order volume will grow by 30% year-on-year this year, as major clients complete mergers and acquisitions, leading to increased production demand.

Business Improvement Director Yan Zhaozhen pointed out that to diversify risks, the company has completed factory layouts in Mexico, Bangladesh, and Shenzhen, with the Mexican factory capable of producing higher-end products and achieving rapid shipping, reaching a level of "same-day shipping, next-day delivery." He also mentioned that Cambodia, with its zero-tariff advantage on products like nylon bags, has become an important foothold for expanding into overseas markets.

Yan Zhaozhen further indicated that discussions are underway with a U.S. courier company to establish dedicated logistics nodes around the factory, enabling goods to be delivered directly from the production end to consumers, eliminating warehouse transfer links, and compressing the delivery cycle for the U.S. market to about six days.

Regarding automation trends, Executive Director and Chief Financial Officer Li Wenxing noted that the current level of automation in the company's factories is about 20%, with some processes, such as fine stitching, still requiring manual labor.

## Last Year's Profit Increased by Over 70%

In addition, Fayda Holdings has issued a profit warning, expecting profits for the fiscal year 2025 to be no less than 100 million yuan, representing an increase of no less than 75% compared to the previous year. Yan Baoling stated that this is mainly due to the increase in revenue and profits from the group's manufacturing business segment

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