PHNOM PENH – Cambodia will soon send a delegation to negotiate with the US Trade Representative after President Donald Trump raised tariffs on most countries before reducing them to 10 percent for 90 days.

“Cambodia has received a positive response from the United States following our official request for negotiation to achieve a mutual solution,” the Commerce Ministry said. 

“These communications expressed Cambodia’s good faith to negotiate a mutual solution and commitment to immediately reduce the tariff from 35 percent to 5 percent on 19 categories of US goods imported into Cambodia.”

On April 4, Prime Minister Hun Manet sent a letter to President Trump, proposing negotiations with the US and asking for the tariffs, originally set at 49 percent, to be postponed. Commerce Minister Cham Nimul sent a letter to Trade Representative Jamieson Greer.

The Commerce Ministry said it has been closely monitoring the implementation of the US tariffs and working on solutions.

Prime Minister Hun Manet has set up a working group to coordinate trade and investment relations between Cambodia and the US, to be led by the Council for the Development of Cambodia's first vice-president Sun Chanthol.

Jean-Francois Tain, Minister Delegate attached to the Prime Minister for Foreign Affairs and International Cooperation, said the tariff pause is good news for the country as Cambodia has been among the first two or three countries to initiate negotiations with Washington.

“This is a global trade war, but the government of each nation will consider their own interest first,” he said. 

“The Cambodian government is doing that to protect the factories and companies on our territory as well as the income and the livelihood of our citizens.”

In the next 90 days, the government will relentlessly explain to and negotiate with the US to not impose a 49 percent tariff on Cambodia, he said.

Meanwhile, exiled opposition leader Sam Rainsy wrote on his Facebook that Cambodia, exempted from taxes by the US and Europe, had been primarily profited by the Chinese and corrupt officials, not the Cambodian people.

Economists predict economic growth for the country in 2025 and next year. The economic trajectory, however, remains risky after Trump’s uncertain tariff application and global uncertainty as well as the possible trade war between superpowers. 

The proposed products for tariff reduction include beef and pok, nuts, soybeans, whey and modi, maize, vegetables, fruit, undenatured ethyl alcohol and motor vehicles. 

US-Cambodia trade was worth $10.18 billion last year, with Cambodia's exports to the US totaling $9.92 billion and US imports from Cambodia at $264.15 million.