Cambodia seeks lower US tariffs, urges investment diversification

PHNOM PENH, Jan.09,2026 (KPT) — Cambodia is seeking lower reciprocal tariffs from the United States and encouraging greater American investment, Deputy Prime Minister Sun Chanthol said.

Speaking to Bloomberg, Chanthol, who also serves as first vice president of the Council for the Development of Cambodia, said Phnom Penh welcomed U.S. President Donald Trump’s proposal to lower tariffs and viewed it as an opportunity to deepen trade relations.

He said Prime Minister Hun Manet sent a letter to Trump two days after the announcement, expressing Cambodia’s readiness to hold discussions and negotiate in good faith on bilateral trade.

Chanthol said Cambodia believed it was the first country to conclude a comprehensive reciprocal trade framework with the United States and that talks were continuing with the Office of the U.S. Trade Representative.

He said Cambodia was asking the USTR to review tariffs on garments, textiles, footwear and travel goods, which employ nearly 1 million workers.

Chanthol also acknowledged Cambodia’s reliance on China, saying about half of investment inflows come from Chinese sources.

He said the government was working to diversify by engaging investors from the United States, Europe, Japan, South Korea and Australia.

Cambodia’s investment laws do not discriminate based on nationality, Chanthol said, provided companies comply with local regulations.