Cambodia has expressed gratitude to the UK for extending its Developing Countries Trading Scheme (DCTS) membership for three years beyond its graduation from Least Developed Country (LDC) status.
Set to graduate on December 19, 2029, Cambodia will no longer qualify for preferential trading schemes and tariff exemptions provided to LDC nations by various countries and trading blocs. However, the UK has pledged to extend its support until 2032, ensuring a smoother economic transition.
The extension was confirmed during a January 30 meeting between Prak Sokhonn, Minister of Foreign Affairs and International Cooperation, and Dominic Williams, UK Ambassador to Cambodia. Discussions focused on enhancing bilateral cooperation, with Sokhonn welcoming the successful convening of the Joint Trade and Investment Forum (JTIF) in November 2024 in Phnom Penh.
“The minister expressed his appreciation for the UK's continued support, including the decision to extend Cambodia’s DCTS benefits for an additional three years post-LDC graduation until 2032, to help ensure a smooth economic transition,” stated a foreign ministry release.
The DCTS, launched in 2023 to replace the UK's Generalised Scheme of Preferences (GSP), aims to strengthen trade and investment with developing nations.
Beyond trade, the two sides discussed Cambodia’s Green Special Economic Zone, the UK-designed Techo International Airport, and the growing number of British visitors to Cambodia. In 2024, the UK ranked as the ninth-largest source of tourists, with 115,148 visitors.
The UK is Cambodia's 10th largest trading partner, with bilateral trade surpassing $1.01 billion in 2024, a 16% increase from the previous year. Cambodian exports to the UK reached $958.75 million, marking a 20.4% rise, while imports from the UK fell by 29.9% to $53.7 million, leaving Cambodia with a trade surplus of approximately $905.05 million. The UK remains Cambodia’s eighth-largest export destination, following the US, Vietnam, China, Japan, Canada, Spain, and Germany.
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