Cambodia’s EU Trade Surges Past 5 Billion Dollars in 2025
Cambodia closed 2025 on a high note in its trade relationship with Europe as exports to the European Union reached US$5.01 billion, reflecting a strong year on year growth of 13.5 percent based on the Ministry of Commerce report released in mid January 2026, a result that highlights how Cambodian producers are becoming more competitive and better connected to global supply chains. This surge was fueled by a diverse mix of manufacturing, agro processing and newly emerging industrial products, with garments, footwear and travel goods continuing to lead the way alongside bicycles, car tyres and EU compliant agricultural exports such as milled rice and cassava, all of which show how the country is moving beyond traditional exports toward higher value and more regulated international markets.
Key EU Markets Driving Cambodia’s Export Performance
The European Union remained one of Cambodia’s most important trading partners in 2025, accounting for 16 percent of the country’s total exports, with Spain, the Netherlands, Germany, France and Belgium standing out as the Kingdom’s largest buyers. Spain topped the list with US$1.19 billion in Cambodian goods, followed by the Netherlands at US$1.01 billion, France at US$568 million and Belgium at US$503 million, each posting impressive double digit growth of 11.5 percent, 20.6 percent, 12.5 percent and 20.7 percent respectively, showing solid demand across multiple European markets. Germany, while still one of the top destinations, recorded a slight decline of 0.8 percent to US$1.10 billion, suggesting a modest cooling in that particular market even as overall EU trade remained robust.
Preferential Tariffs and Strong Cooperation Fuel Trade Momentum
Government officials say this steady growth did not happen by chance but is the result of closer cooperation between Cambodia and the EU to expand market access and improve technical support for exporters. H.E. Penn Sovicheat, Secretary of State and Spokesperson for the Ministry of Commerce, explained the underlying advantage behind this performance by saying, “The positive trade momentum is supported by the EU’s preferential tariff system, which provides duty-free and quota-free access for most Cambodian products,” a benefit that continues to make Cambodian goods more attractive and competitive in European markets while encouraging local producers to meet international standards.
EU Imports into Cambodia Continue to Ease
While exports to Europe surged, Cambodia’s imports from the EU moved in the opposite direction, falling to US$863 million in 2025, a drop of 5.8 percent compared to the previous year, indicating a shift in trade dynamics and possibly stronger domestic or regional sourcing. The goods Cambodia typically buys from Europe include machinery, household appliances, pharmaceuticals, vehicles, pearls and precious stones, textiles and electrical equipment, reflecting Europe’s role as a supplier of high value and technologically advanced products rather than everyday consumer goods.
Conclusion
Cambodia’s record breaking export performance to the European Union in 2025 underscores the country’s growing role in global trade and its ability to compete in demanding international markets. With strong demand for both manufactured and agricultural products, supportive EU trade policies and expanding cooperation between both sides, the outlook for Cambodia’s export driven growth remains promising. If this momentum continues, the Kingdom is well positioned to further strengthen its economic ties with Europe while creating more opportunities for local industries, farmers and workers.