PHNOM PENH – Cambodia-China relations have reached the highest level in history, Kin Phea, director-general of the International Relations Institute of Cambodia (IRIC) says. 

The closeness has arisen in the last few years with annual increases in trade.

This year, China will provide two special naval ships to enhance Cambodia’s capability of protecting and preserving the region's peace, stability, security, and humanitarian activities. 

“So far, we can say that the tie between Cambodia and China has reached the highest level ever in history.” Kin Phea told Cambodianess on Jan 13. 

The relationship is based on the foundation of the two countries becoming ironclad friendships, comprehensive security partnerships, and building a community of common destiny and free trade agreements. 

Having good relationships, Cambodia and China could gain mutual benefits from political, diplomatic, economic, trade, and people-to-people exchanges. China is the biggest investor, donator and trade partner in Cambodia. 

Ministry of Economy and Finance data released on Jan 10, shows that trade between Cambodia and China reached more than $15 billion last year. Cambodia exported $1.75 billion to China while imports from China totaled around $13.43 billion. 

As Donald Trump was sworn in as the 47th US President, Kin Phea warned that US-China confrontation could negatively affect Cambodia. On Jan 21, Trump threatened to impose a 10 percent tariff on Chinese imports, which could take effect on Feb 1. 

“Cambodia-US ties are likely to be under China’s shadow. Tension between the US and China could also lower the relationship between the United States and Cambodia.” Kin Phea said. 

However, Kin Phea doesn’t expect the US tariffs to force Chinese companies to invest in Cambodia. So far, the attraction of Chinese investors is part of the fruitful friendship between the two countries. 

He urged the government to continue to create favorable conditions to attract investors from China and other countries. Those conditions include legal frameworks, transportation systems, the reduction of bureaucracy, combatting corruption and promoting a skilled workforce.