Cambodia 20250929
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Headlines:
Border Skirmishes Flare Up Again
Diplomatic Showdown at UN General Assembly
Garment Exports Rise, Minimum Wage Inches Up
Heavy Flooding Impacts Eight Provinces
Chinese Money Continues to Flow In
Hospitality and Aviation Investments
VN-KH Trade Moves Toward $20 Billion Trade
Energy and Infrastructure Investments
Halal Market Growth Supported by Malaysia
Border Skirmishes Flare Up Again
The Cambodia-Thailand border conflict has sparked back up again, with both sides pointing the finger at the other and claiming violations of the ceasefire. On September 27, Cambodian officials claimed Thai forces started sending mortar and small arms rounds at Cambodian positions in An Ses, in Preah Vihear province. Thai military spokesman Winthai Suvaree responded by saying that Cambodia provoked it. A Malaysian-led Interim Observer Team (IOT) is looking into the events to find who’s responsible. The renewal of violence follows a July ceasefire that was put together by Malaysia, the US, and China. The conflict has resulted in hundreds of families having to leave their homes near the border.
Read more: Khmer Times (Ceasefire Violations), Cambodia News (Fleeing Civilians), Kiri Post (Attack Details), Khao Sod English (Economic Impact), The Star Malaysia (Hun Sen’s Statement)
Diplomatic Showdown at UN General Assembly
Cambodia and Thailand got into a heated exchange at the UN General Assembly this week, trading accusations over their border tussle. Cambodian Foreign Minister Prak Sokhonn accused Thailand of threatening peace through forced evictions and unilateral territorial claims, saying that Cambodia has been in lilly white with adherence to the ceasefire agreements. Thai Foreign Minister Sihasak Puangketkeow responded by saying that Cambodia was distorting facts and provoking Thai troops, saying that for now the disputed areas are still Thai territory. Malaysian Foreign Minister Mohamad Hasan said there had to be bilateral negotiations, and expects to find progress at the upcoming ASEAN Summit.
Read more: Khmer Times (UN Exchange), Khao Sod English (Diplomatic Tensions), Reuters (Referendum Plan)
Garment Exports Rise, Minimum Wage Inches Up
Garment, textiles, shoes, and travel goods exports almost reached $11 billion between January and August 2025, 19% up year-on-year. Garment exports alone were responsible for $7.73 billion of that figure, while textile exports rose nearly 35%, footwear exports increased 28%, and travel goods and bags grew almost 6%. The government has lifted the monthly minimum wage slightly for workers in these sectors to a grand total of $210 for 2026, a $2 increase from the current $208. With mandatory allowances and benefits included, workers are expected to actually take home between $227 and $238 monthly.
Read more: Fibre2Fashion (Export Growth), Fibre2Fashion (Wage Increase), Just-Style (Total Compensation)
Heavy Flooding Impacts Eight Provinces
Flooding has descended on eight provinces, with over 400 families already evacuated to higher ground. The National Committee for Disaster Management (NCDM) reported that 16,852 families and 14,929 homes have been affected, with serious damage to crops, including 10,730 hectares of rice fields. Prime Minister Hun Manet has ordered monitoring and support to assist the people, especially farmers. In Mondulkiri province, flooding has impacted six communes with 791 families requiring aid from the Cambodian Red Cross.
Read more: Khmer Times (Flood Preparation), Khmer Times (Provincial Impact), ReliefWeb (Seasonal Monitoring)
Chinese Money Continues to Flow In
Chinese Ambassador Wang Wenbin provided $100,000 in assistance to refugees in Preah Vihear as Cambodia and China celebrated their “ironclad friendship” at a reception celebrating the 76th anniversary of the founding of the People’s Republic of China. Guangzhou Automobile Group (GAC) tied up exclusive rights to make vehicles in Cambodia through a $19 million partnership with TH Automotive Manufacturing. Mass production is expected to begin in January. Yunhong Group plans to invest in fruit juice and beverage production for both local consumption and export. Chen’s Sun Group signed a $30 million agreement to import Cambodian produce to China’s Henan province over the next two years.
Read more: Khmer Times (Refugee Assistance), Caixin Global (Automotive Investment), Produce Report (Agricultural Trade)
Hospitality and Aviation Investments
Several international hotel chains are moving forward with new developments. Radisson Hotel Group has signed a 176-key management contract for the Radisson Hotel & Suites Bay of Lights in Sihanoukville, scheduled to open in 2029. H World Group is bringing its JI Hotel brand to Cambodia with two new properties in Phnom Penh: the 130-room JI Hotel Phnom Penh City Center, opening Q2 2026, and the 110-room JI Hotel Phnom Penh Mekong Riverside set for Q3 2026. These developments come as new air routes are opening up, including an Air Cambodia direct flight from Sihanoukville to Shenzhen from September 26.
Read more: eTurboNews (Radisson Hotel), Hotel Management Network (JI Hotels), Travel and Tour World (Air Route)
VN-KH Trade Moves Toward $20 Billion Trade
Bilateral trade between Vietnam and Cambodia has grown handily from a base of $3.3 billion in 2014 to $10.1 billion in 2024, with 2025 trade nearly reaching $8 billion so far. Vietnam is Cambodia’s largest trading partner in ASEAN, with total trade between Cambodia and ASEAN countries standing at $11 billion. Cambodia sent almost $4 billion worth of goods to ASEAN from January to August 2025, and imports came in a hair below $7 billion. Both countries have their eyes on getting to $20 billion in bilateral trade via investments in trade infrastructure and by working through frameworks like ASEAN and RCEP.
Read more: Khmer Times (Trade Goals), Khmer Times (ASEAN Trade)
Energy and Infrastructure Investments
Leader Energy Group tied up an $80 million green financing facility through its subsidiary, Cambodian Transmission II Co Ltd, that it intends to use to refinance a transmission line from Kampong Cham to Phnom Penh. ATEC, a clean cooking technology firm, has raised $15.5 million in funding co-led by Lightrock and TRIREC, alongside the Schneider Electric Energy Access Asia Fund. Cambodia has committed to reducing greenhouse gas emissions by more than half by 2035 from what it estimates business-as-usual scenarios would be. It is further thought that a clear strategy would require as much as $32 billion in international climate investment.
Read more: Business Today (Energy Financing), NextBillion (Clean Energy Funding), Khmer Times (Emissions Reduction)
Halal Market Growth Supported by Malaysia
Malaysian halal authorities say they will support the setup of a halal association in Cambodia to support bilateral trade, to participate in Cambodia’s food sector, while promoting Muslim-friendly tourism. The announcement was made at the Global Halal Summit on September 19 in Kuala Lumpur. The association is seen as a big leg-up to support Cambodia’s bid to grow into the global halal economy, helping with job creation and exports. Annual trade between Cambodia and Malaysia was $690 million to the end of last month, on target for a 16%+ increase over last year.
Read more: Khmer Times
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