Foreigners invest heavily in Cambodia despite US tax pressure

The foreign investment situation in Cambodia appears to be getting stronger, even though Cambodia is under pressure from a 49 percent US tariff.

Statistics released According to the Council for the Development of Cambodia, in April 2025, Cambodia attracted a total of 59 investment projects with a total investment capital of $860 million and the potential to create approximately 39,000 jobs, with the United States appearing among Cambodia’s top five investors.

The same source said that during this period, China remains the main investor in the investment market in Cambodia, ranking first with a total investment capital of 58.51 percent of the projects. Singapore jumped to 35.10 percent. The UK saw 1.65 percent and the US saw 0.23 percent, with the rest being domestic investment.

The report did not specify what the US and other foreign investors invested in. Seeing the United States appear in the top five, one analyst expressed optimism that this could be Cambodia’s first foray into the US investment market.

He continued, “0.23 percent of the total investment of $860 million is still small, and if we calculate it, the American investment capital is only around $2 million.” He added that the United States has been the largest export market for Cambodian goods in the past, but American investment in Cambodia has been small, so if from now on Cambodia can continue to attract more American investors, it could be a positive development and a small piece of good news that we can have in hand to highlight during the negotiations next week.

In the first four months of 2025, Cambodia attracted approximately $3.4 billion in asset investments, an increase of 34 percent compared to the same period in 2024. This money comes from the approval of a total of 231 investment projects, an 80 percent increase compared to only 128 projects in the same period in 2024, creating nearly 160,000 jobs.

Key projects include auto parts factories, tire factories, car assembly factories, electric tricycle assembly factories, medical equipment factories, steel and aluminum processing factories, dry ports, and tourist resorts, among others.

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