Cambodia’s trade relationship with the European Union has strengthened significantly in 2025, driven by preferential tariff access under the EU’s Everything But Arms (EBA) scheme and rising global demand for Cambodian goods. Latest government figures show bilateral trade is approaching $6 billion, highlighting strong export performance.
Exports to the EU have surged, reaching over $4.5 billion in the first 11 months of 2025, marking a nearly 14% year-on-year increase. The growth is largely fueled by garments, footwear, bicycles, and agricultural products, industries benefiting most from duty-free and quota-free access under the EBA framework. Meanwhile, imports from the EU remain steady, strengthening Cambodia’s trade surplus.
Sustaining this growth requires meeting European standards in sustainability, labor practices, and product quality. Cambodian manufacturers are increasingly upgrading operations to comply, ensuring continued market access.
For investors, the growth reflects a favourable business environment. Cambodia’s investment sector updates indicate expanding exports and industrial development as key drivers of economic growth. At the same time, Cambodian startups and local brands are capitalizing on the EU market, boosting visibility and competitiveness while entering new international value chains.
With preferential tariffs and growing global demand, bilateral trade is projected to surpass $6 billion by the end of 2025, reinforcing Cambodia’s role in international commerce. As industries modernize and innovate, the EU continues to be a vital trading partner, providing both opportunity and incentive for sustained economic momentum.
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