LEGAL UPDATE: Sub-Decree No. 139 on the Imposition of Tariff Rates on Goods imported from the United States

On 8 August 2025, the Royal Government of Cambodia promulgated Sub-Decree No. 139 ANK.BR (“Sub-Decree”) introducing a preferential customs tariff policy for goods imported from the United States. This measure implements the bilateral understanding in principle between Cambodia and the United States on tariff treatment and underscores Cambodia’s commitment to facilitating trade, deepening economic cooperation, and aligning with its international trade obligations.

Key highlights of the Sub-Decree

• Under the Sub-Decree, qualifying goods that originate from and are imported into Cambodia from the United States will benefit from a 0% customs tariff rate, with the express exclusion of used goods.
• The Ministry of Economy and Finance (“MEF”) is tasked with issuing the detailed procedures for the application of this preferential rate.

Commentary
The practical impact of this Sub-Decree will depend heavily on the forthcoming MEF proclamation, which is expected to define procedural requirements such as documentation standards, proof-of-origin criteria, and application timelines. Importers should take proactive steps to:

• review their supply chains to confirm U.S. origin eligibility;
• prepare robust origin documentation in line with anticipated MEF requirements; and
• establish internal compliance protocols to avoid disputes or delays in customs clearance.

In addition, while the measure will enhance trade competitiveness, businesses should monitor for any sector-specific restrictions or non-tariff measures that may accompany the preferential treatment. Strategic preparation ahead of the MEF’s implementing Prakas will be critical to fully leveraging the benefits of the 0% tariff regime.