China-Cambodia economic and trade cooperation yielded highlights and fruitful results in 2023
China and Cambodia celebrated a successful year of economic and trade cooperation in 2023, strengthening their longstanding friendship and charting a course for future development. Throughout the year, the two countries engaged in frequent high-level exchanges and made significant progress in various sectors.
In February, Prime Minister Hun Sen visited China, resulting in the establishment of a Diamond Hexagon cooperation framework. This framework focuses on six major areas: politics, production capacity, agriculture, energy, security, and people-to-people exchange. The ultimate goal is to build a high-quality, high-level, and high-standard China-Cambodia Community with a Shared Future in the New Era.
In September, Prime Minister Hun Manet made his first official visit to China since taking office. During this visit, both sides agreed to deepen the strategic synergy between the Belt and Road Initiative and the Pentagonal Strategy. They also emphasized the importance of the China-Cambodia Diamond Hexagon cooperation framework in achieving high-quality and sustainable development.
In October, Prime Minister Hun Manet attended the Third Belt and Road Forum for International Cooperation in China. At the forum, both countries committed to implementing the Action Plan on Building a China-Cambodia Community with a Shared Future in the New Era. They also highlighted the importance of people-centered projects and further enriching the China-Cambodia Diamond Hexagon cooperation framework.
One of the notable achievements in China-Cambodia economic and trade cooperation is the significant expansion of bilateral trade. China has remained Cambodia’s largest trading partner for 12 consecutive years. According to Chinese statistics, from January to November 2023, the bilateral trade between the two countries amounted to US$13.42 billion. China’s imports from Cambodia saw a year-on-year increase of 11.3% at US$1.85 billion, showcasing the commendable ratio among China’s trade with ASEAN countries.
Cambodian agricultural exports to China also experienced substantial growth in 2023. Products such as peppercorns, edible aquatic animals, and wild aquatic products successfully entered the Chinese market. Several protocols were signed to export Cambodian fresh coconut fruits, bird’s nests, deli meat products, and crocodiles. Chinese statistics reveal that China was the largest export destination for Cambodian rice, bananas, and longan, with about 30% of Cambodian rice and the majority of bananas and longan being exported to China.
Investment cooperation between China and Cambodia made significant contributions to Cambodia’s economic growth. Chinese companies invested over US$3 billion in various sectors, including transportation, electricity, agriculture, manufacturing, and tourism development. Chinese enterprises also played a pivotal role in building infrastructure projects like the Sihanoukville Special Economy Zone, Siem Reap Angkor International Airport, Phnom Penh-Sihanoukville Expressway, and hydropower stations.
Furthermore, projects that benefit people’s livelihoods made solid progress. China helped Cambodia build or upgrade nearly 4,000 kilometers of roads and 9 grand bridges. Key initiatives, such as the completion of the 500kV Backbone and Sub-region Transmission Line Project, the China-Aid Project on Sport Technical Assistance, and the opening of Phnom Penh Ring Road No.3, have had a positive impact on Cambodia’s electric power, sports sector, and traffic conditions.
China’s commitment to supporting Cambodia’s development is evident through the training of nearly 1,200 Cambodians in various fields like economy and trade, agriculture, public administration, and social organization. These capacity-building programs aim to empower individuals and enhance bilateral cooperation.
Looking ahead to 2024, China and Cambodia plan to implement the Action Plan on Building a China-Cambodia Community with a Shared Future in the New Era and focus on people-to-people exchanges. Both countries anticipate further collaboration in trade and investment, with a particular emphasis on emerging areas such as the digital economy and green development. They aim to promote small yet impactful projects that contribute to the enrichment of the China-Cambodia Diamond Hexagon cooperation framework, ultimately benefiting both nations and their people.
China and Cambodia share a flourishing friendship, and their economic and trade cooperation continues to strengthen. With their joint efforts, the two countries are poised to achieve even greater success in the coming years.
Ms. Zhong Jie, Counselor of the Embassy of the People’s Republic of China in the Kingdom of Cambodia, expressed China’s commitment to deepening the bilateral relationship, stating, China is ready to work closely with Cambodia to further tap the potential of trade cooperation, expand investment cooperation, and promote more ‘small yet smart’ and landmark projects. We are confident that this collaboration will bring more benefits to both countries and their people.
With 2024 designated as the China-Cambodia Year of People-to-People Exchanges and the opening year for the implementation of the Action Plan, the future holds promising prospects for economic and trade cooperation between China and Cambodia.
