Cambodia and Vietnam are seeking to deepen economic ties and raise bilateral trade to $20 billion, with Cambodian officials calling on Vietnamese investors to move further into agro processing and higher value manufacturing. The push was highlighted during a business dialogue in Phnom Penh focused on resolving investor concerns, connecting businesses with government institutions and creating new investment opportunities.
The discussion brought together Vietnamese businesses, the Council for the Development of Cambodia (CDC), the Cambodia Chamber of Commerce (CCC), the Vietnam Cambodia Business Association (VCBA) and relevant government institutions.
Key Facts
| Category | Details |
|---|---|
| Trade target | $20 billion between Cambodia and Vietnam |
| 2025 bilateral trade | $11.33 billion |
| Jan to Aug 2026 trade | $8.67 billion |
| Growth in Jan to Aug | 8.3% year on year |
| Vietnamese investment | 223 projects |
| Vietnamese registered capital | Nearly $3.4 billion |
| Priority opportunities | Cashews, cassava, rice, rubber and plantation timber |
| Main investment focus | Processing, value addition and manufacturing |
| Key institution | Council for the Development of Cambodia |
Cambodia Wants More Vietnamese Investment in Processing
The call came during a Monday dialogue between Vietnamese businesses and the CDC under the theme “Accompanying, Resolving Issues, Connecting, Developing.”
The meeting was organised with the CCC, VCBA and the economic and trade offices of the Vietnamese Embassy. It was designed to give Vietnamese businesses a direct channel to raise operational challenges, understand Cambodia's investment policies and discuss possible solutions with government institutions.
Chea Vuthy, Secretary General of the Cambodian Investment Board at the CDC, reaffirmed the government's commitment to supporting the private sector and addressing investor concerns.
He said the leadership of both countries remains committed to expanding bilateral trade to $20 billion.
“The top leadership of both countries is committed to promoting trade activities between Cambodia and Vietnam, particularly by increasing bilateral trade volume to $20 billion,” he said.
Vuthy specifically pointed to cashew nuts, cassava, rice, rubber and plantation timber as sectors where Cambodia could gain greater economic value through additional processing.
He encouraged Vietnamese companies to consider establishing facilities that convert Cambodian raw materials into finished or higher value products rather than focusing primarily on the export of unprocessed commodities.
Why Agricultural Processing Matters?
The emphasis on processing reflects Cambodia's wider effort to increase value addition within its domestic economy.
Exporting raw agricultural commodities can generate foreign exchange, but processing can create additional business activity around manufacturing, packaging, logistics, storage, quality control and export services.
For investors, this creates potential opportunities across several stages of the agricultural value chain.
Cambodia's agricultural sector is already receiving increased financial support across cultivation, processing and exports. For example, the Agricultural and Rural Development Bank has reported more than $500 million in lending across the agricultural value chain.
Vietnamese companies with experience in agricultural processing could therefore play a role in developing facilities closer to Cambodian production areas and connecting locally sourced materials with regional and international markets.
Trade Reaches $8.67 Billion in Eight Months
The push for more investment comes as bilateral trade continues to expand.
According to figures cited by the Vietnam News Agency in Phnom Penh, Cambodia Vietnam trade reached a projected $11.33 billion in 2025.
During the first eight months of 2026, bilateral trade reached $8.67 billion, representing an 8.3% increase compared with the same period a year earlier.
Cambodia Vietnam Trade Snapshot
| Period | Bilateral Trade |
|---|---|
| 2025 | $11.33 billion |
| Jan to Aug 2026 | $8.67 billion |
| Jan to Aug growth | 8.3% |
The figures show that the two countries already have a substantial commercial relationship, although reaching the $20 billion target would require a significant expansion from current levels.
Vietnamese Investment Already Has a Major Presence
Vietnamese investment is also an established part of Cambodia's economy.
Vietnamese data cited in the source indicate that Vietnamese businesses have 223 investment projects in Cambodia, with registered capital of nearly $3.4 billion.
Nguyen Minh Vu, Vietnamese Ambassador to Cambodia, said the investment potential for Vietnamese businesses remains substantial despite the existing level of activity.
He also welcomed cooperation between the CDC and VCBA, noting their role in facilitating communication between Vietnamese businesses and Cambodian institutions.
The embassy has worked with the CDC, ministries and other institutions to promote bilateral trade and investment, including a business forum in April that attracted more than 200 representatives from Cambodia and Vietnam.
CDC Seeks Faster Investment Services
Another focus of the meeting was improving the investment environment.
Vuthy highlighted efforts to strengthen the CDC's One Stop Service mechanism, which is intended to make investment related services faster and more efficient.
For investors, administrative efficiency can be particularly important when establishing manufacturing or processing facilities because projects may require interaction with multiple government institutions.
A more coordinated investment service can help businesses understand applicable requirements and navigate project registration and related procedures.
Cambodia has also been working to reduce trade and customs barriers for businesses. A new consultation mechanism between Cambodia's customs authority and SME representatives, for example, has been created to address practical issues affecting importers and exporters.
The Next Opportunity Could Be Higher Value Trade
The $20 billion target is therefore not only about increasing the quantity of goods traded between Cambodia and Vietnam. The latest discussions point toward a broader objective of strengthening investment, production and value addition.
For Cambodia, encouraging processing could help retain more economic value domestically. For Vietnamese investors, Cambodia's agricultural production and proximity to regional markets could provide opportunities to establish processing and manufacturing operations.
The two countries are also already discussing trade and connectivity as part of the broader effort to deepen their economic relationship. Angkor Times previously reported that Cambodia and Vietnam were looking at stronger investment, transport connectivity and border facilitation as part of their push toward the $20 billion trade goal.
Angkor Times Analysis
The latest CDC dialogue highlights an important shift in the Cambodia Vietnam economic relationship: investment is increasingly being discussed alongside trade rather than separately.
The current trade figures provide a substantial foundation, but the $20 billion ambition will require continued expansion. Encouraging Vietnamese businesses to process cashews, cassava, rice, rubber and timber in Cambodia could help connect agricultural production with manufacturing and export activity.
The key issue will be implementation. Investment interest needs to translate into actual processing facilities, productive capacity, jobs and stronger export links. Faster investment services and direct communication between companies and government agencies could help reduce some of the practical barriers that investors face.
For Cambodia, the broader opportunity is to capture more value before products leave the country. For Vietnamese investors, the opportunity extends beyond trading Cambodian raw materials to potentially participating in the production and processing ecosystem itself.
What Happens Next?
The CDC is encouraging Vietnamese investors to prepare and submit investment project registration applications, particularly for opportunities involving processing and value addition.
The next stage will depend on whether companies turn the opportunities discussed at the dialogue into concrete projects.
Areas worth watching include agricultural processing, manufacturing, investment approvals, supply chain development and the expansion of bilateral trade.
Frequently Asked Questions
What is the Cambodia Vietnam trade target?
Cambodia and Vietnam are seeking to increase bilateral trade to $20 billion.
How much did Cambodia and Vietnam trade in 2025?
Bilateral trade reached a projected $11.33 billion in 2025, according to figures cited by the Vietnam News Agency.
How much was bilateral trade in the first eight months of 2026?
Trade reached $8.67 billion, up 8.3% from the same period a year earlier.
Which Cambodian products were highlighted for processing?
Chea Vuthy identified cashews, cassava, rice, rubber and plantation timber as areas with opportunities for greater processing and value addition.
How much Vietnamese investment is registered in Cambodia?
Vietnamese data cited in the source show 223 investment projects with registered capital of nearly $3.4 billion.
What is Cambodia's One Stop Service?
It is a CDC mechanism designed to make investment related services faster and more efficient for businesses.
Why is agro processing important?
Processing agricultural products inside Cambodia can create additional value through manufacturing, packaging, logistics and export activities rather than relying mainly on exports of raw materials.