The United States and Cambodia have formalized a new agreement to promote reciprocal trade between the two countries. Signed in Kuala Lumpur on October 26, 2025, by U.S. President Donald J. Trump and Cambodian Prime Minister Hun Manet, the accord aims to enhance economic cooperation, reduce trade barriers, and strengthen bilateral relations.
The agreement outlines several commitments by both parties. Cambodia will apply specific customs duties on goods originating from the United States as detailed in the annexes of the agreement, while the United States will reciprocate with revised tariff rates for Cambodian goods. The pact also stipulates that Cambodia will not impose quotas on imports from the United States unless otherwise agreed.
In terms of non-tariff measures, Cambodia has agreed not to use import licensing procedures in a way that restricts U.S. imports or undermines their competitiveness. The country will allow U.S. goods that meet American or international standards to enter without additional conformity assessments and will treat U.S. conformity assessment bodies no less favorably than its own.
On agricultural products, Cambodia commits to providing non-discriminatory market access for U.S. goods and ensuring sanitary and phytosanitary measures are based on science and risk rather than serving as disguised trade restrictions. The agreement prohibits Cambodia from making deals with third countries that would disadvantage U.S. exports through non-scientific or preferential technical standards.
Cambodia is also required to maintain transparency regarding geographical indications and allow the use of certain cheese and meat terms for U.S. products in its market.
Intellectual property protections are addressed by requiring Cambodia to adopt robust standards aligned with international treaties and ensure enforcement against infringement both offline and online.
Regarding services, Cambodia pledges not to introduce new barriers that would put U.S. service providers at a disadvantage compared to domestic or third-country suppliers.
The agreement includes provisions related to labor rights, mandating that Cambodia prohibit imports produced by forced labor as defined by International Labor Organization instruments, protect internationally recognized labor rights in law and practice, enforce those laws effectively, and avoid weakening labor protections for trade or investment purposes.
Environmental protection is also covered; Cambodia must uphold strong environmental governance structures and address issues affecting reciprocal trade.
On customs procedures, within five years of implementation, Cambodia is expected to introduce technology solutions for pre-arrival processing, paperless trade, and digitalized border procedures for U.S. goods.
Digital trade receives significant attention: Cambodia agrees not to impose discriminatory digital services taxes on U.S. companies or customs duties on electronic transmissions; it must facilitate cross-border data transfers necessary for business operations; consult with the United States before entering into digital trade agreements with other countries; and refrain from imposing conditions requiring technology transfer as a condition of doing business in its territory.
Rules of origin provisions are designed so benefits primarily accrue to nationals of both countries; either party may establish rules if benefits flow disproportionately elsewhere.
In matters relating to economic security, when the United States imposes restrictions on third-country goods or services under domestic law, it will notify Cambodia so similar measures can be considered without infringing upon Cambodian sovereignty. Both sides agree to cooperate on export controls relating to sensitive technologies and align sanctions policy where appropriate.
The agreement further encourages streamlined defense trade between the two nations and obligates Cambodia to take steps against duty evasion practices such as illegal transshipment.
On investment issues, Cambodia agrees to facilitate U.S. investment in critical sectors like minerals extraction and infrastructure under terms no less favorable than those offered domestically; meanwhile, the United States may consider supporting financing initiatives through institutions like EXIM Bank or DFC if eligible.
State-owned enterprises (SOEs) in Cambodia are expected to act according to commercial considerations when engaging in transactions involving U.S.-origin goods or services without discrimination or preferential subsidies.
The final sections cover implementation details: amendments require mutual written consent; disputes should first seek consultation before unilateral action; either party may terminate with six months’ notice after prior consultation where practicable; entry into force occurs upon completion of internal legal procedures by both parties.
President Trump stated his support for strengthening economic ties through this arrangement while Prime Minister Hun Manet affirmed his government’s commitment during the signing ceremony.