Connect with us

Economy

Tire Exports Surge 58% as Cambodia Moves Up Rubber Value Chain

Published

on

PHNOM PENH, Jan 26, 2026 (KPT) – Cambodia’s tire exports jumped nearly 58 percent in 2025 to US$1.38 billion, underscoring the country’s rapid shift from exporting raw rubber to producing higher value manufactured goods, the Ministry of Commerce said Monday.

The figure marks a sharp rise from US$874 million in 2024 and reflects the growing role of tire manufacturing in Cambodia’s industrial landscape.

While earnings from raw rubber exports fell more than 6 percent to US$562 million, domestic demand surged as factories absorbed increasing volumes of local output. In 2025, domestic rubber consumption exceeded 120,000 tons, a 146 percent increase from the previous year.

The average export price of rubber rose to US$1,756 per ton, up 3 percent from 2024, helping maintain stable market conditions despite global uncertainties.

Industry leaders say the presence of large tire factories is transforming Cambodia’s rubber sector. Ken Oudommonysinat, CEO of Sailun, said his company alone used 100,000 tons of locally sourced rubber in 2025, double the previous year.

According to the Rubber Development Association, Cambodia now has six operating tire factories actively purchasing domestic raw materials. Officials say supportive government policies and abundant supply have accelerated the shift toward domestic processing.

Cambodia has nearly 445,000 hectares of rubber plantations. Previously, most rubber was exported in raw form, but an increasing share is now processed locally for both domestic use and export, signaling the country’s steady move up the rubber value chain.

Trending