Phnom Penh, August 2, 2025 — Phnom Penh – The livelihoods of Cambodians are expected to improve following the U.S. government’s decision to lower tariffs on Cambodian exports to 19%, an announcement made official on the morning of August 1, 2025. The reduction follows sustained negotiations by the Royal Government and is anticipated to open up significant employment opportunities.

Minister of Public Works and Transport Sun Chanthol stated that, as of July 25, Cambodia had approved 426 investment projects, projected to create more than 300,000 new jobs nationwide.

The tariff reduction is particularly favorable to Cambodia’s key export sectors—garments, footwear, and bags—industries where there is little to no domestic production in the United States. This trade alignment positions Cambodia to further strengthen its export competitiveness.

The government is continuing negotiations aimed at creating up to one million additional jobs, with a particular focus on supporting Cambodian women, many of whom are the primary earners for their families.

In response to these positive developments, the government is encouraging Cambodian migrant workers abroad to consider returning home to contribute to the country’s economic recovery. Officials emphasized the importance of national unity in light of recent regional tensions, urging workers to help build domestic resilience and reduce dependency on foreign labor markets.