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Global Expansion Handbook

Cambodia

An ASEAN member and a base for garment and light manufacturing. Companies register online with the Ministry of Commerce; Qualified Investment Projects (QIPs) can apply to the Council for the Development of Cambodia for incentives.

GarmentsLight manufacturingSEZs Tier 3 · Emerging markets
Basic profile
Updated 2026-11-12
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This country currently has a directory entry or basic profile only; a full handbook is planned.

01Overview

Region
Southeast Asia
Capital
Phnom Penh
Currency
KHR
Languages
Khmer (official)
ISO code
KH / KHM

Jurisdictions

  • Cambodia — National level; SEZs have separate rules

China's direct investment

China's 2025 FDI flow
12.2 USD 100m
End-2025 FDI stock
103.3 USD 100m
Flow rank
#15 by flow

Source：2025 Statistical Bulletin of China's Outward Foreign Direct Investment ↗ · Flow is for calendar 2025; stock is at end-2025. Flow rank is from Table 8 (top 20); other countries from Annex Tables 1–2 (originally USD 10k, converted to USD 100m; one decimal, two below 1). A negative flow means divestment exceeded new investment that year.

Macro indicators such as GDP and population will be added from the World Bank in the data release (P1).

02Market Entry

Foreign ownership

Whether 100% foreign ownership is generally allowed, and key exceptions. Allowed / conditional / not allowed / unverified.

100% foreign ownership allowed in most sectors

Applies to
Foreigners and foreign-majority companies generally cannot own land but may lease long-term
Jurisdiction
Cambodia
Source
Council for the Development of Cambodia (CDC)
Manufacturing InvestmentSet up production capacity abroad Local SubsidiaryIncorporate a separate legal entity in the target country Direct ExportSell goods from your home entity directly to overseas buyers

03Business Formation

Common legal entity

The company form most commonly used by foreign investors for a local operating entity.

Private limited company

Applies to
Ordinary companies
Jurisdiction
Cambodia
Source
Ministry of Commerce (Cambodia)

Foreign ownership

Whether 100% foreign ownership is generally allowed, and key exceptions. Allowed / conditional / not allowed / unverified.

100% foreign ownership allowed in most sectors

Applies to
Foreigners and foreign-majority companies generally cannot own land but may lease long-term
Jurisdiction
Cambodia
Source
Council for the Development of Cambodia (CDC)

Registration authority

Primary authority for company or commercial registration.

Ministry of Commerce (online business registration)

Applies to
Ordinary companies
Jurisdiction
Cambodia
Source
Ministry of Commerce (Cambodia)

04Taxation

Headline corporate income tax

Statutory headline rate for ordinary companies, before incentives, exemptions, thresholds or special regimes. Always read with the conditions.

20%

Applies to
Qualified Investment Projects may obtain income tax exemption periods and other incentives
Jurisdiction
Cambodia
Source
General Department of Taxation (GDT)

Indirect tax (VAT / GST / SST)

Standard rate and type of VAT, GST or sales & service tax.

VAT 10%

Applies to
Ordinary companies
Jurisdiction
Cambodia
Source
General Department of Taxation (GDT)

Tax authority

Authority responsible for corporate tax registration and filing.

General Department of Taxation (GDT)

Applies to
Ordinary companies
Jurisdiction
Cambodia
Source
General Department of Taxation (GDT)

Tax treaty with China

Whether a double taxation agreement with China is in force. Rates and conditions per the treaty text.

In force

Applies to
Rates and conditions per the treaty text and STA publications
Jurisdiction
Cambodia
Source
State Taxation Administration (China)

Dividend withholding tax (non-residents)

General withholding on dividends paid to foreign shareholders, before treaty relief.

14% withholding on dividends to non-resident companies

Applies to
Unless a tax treaty provides otherwise
Jurisdiction
Cambodia
Source
State Taxation Administration General Department of Taxation (GDT)

05Banking & Payments

Exchange controls

Whether general exchange controls or cross-border fund rules apply.

Foreign currency can generally be held and exchanged freely

Applies to
Single transfers of US$10,000 or more via authorised banks are reported to the National Bank
Jurisdiction
Cambodia
Source
MOFCOM

Banking & financial regulator

Primary regulator for banking and foreign exchange.

National Bank of Cambodia

Applies to
Ordinary companies
Jurisdiction
Cambodia
Source
MOFCOM

06Employment

Foreign employee work permit

Main permit types needed for foreign employees to work legally.

Work permit from the Ministry of Labour and Vocational Training

Applies to
Valid one year and renewable within the residence permit; contracts up to two years each
Jurisdiction
Cambodia
Source
MOFCOM

Labour & work permit authority

Authority for labour rules and foreign employee work permits.

Ministry of Labour and Vocational Training

Applies to
Ordinary companies
Jurisdiction
Cambodia
Source
MOFCOM

Social security contributions

Main employer social security schemes for local and foreign employees.

NSSF: occupational risk, health care and pension

Applies to
Applies to employees covered by the Labour Law
Jurisdiction
Cambodia
Source
National Social Security Fund

07Trade & Customs

Main free trade agreements

Main regional and bilateral trade agreements relevant to Chinese exporters (not exhaustive).

ASEAN, RCEP, China–Cambodia FTA and others

Applies to
Preferential tariffs require meeting rules of origin
Jurisdiction
Cambodia
Source
Council for the Development of Cambodia (CDC)

Customs authority

Authority for import/export clearance and tariffs.

General Department of Customs and Excise (GDCE)

Applies to
Ordinary companies
Jurisdiction
Cambodia
Source
MOFCOM

08Investment & Manufacturing

Investment authority / agency

Body responsible for approving, registering or promoting foreign investment.

Council for the Development of Cambodia (CDC)

Applies to
Approves QIPs under the Law on Investment
Jurisdiction
Cambodia
Source
Council for the Development of Cambodia (CDC)

Free zone / SEZ regime

Whether free zones or special economic zones operate under rules different from the mainland.

Several special economic zones

Applies to
Separate customs and investment procedures within zones
Jurisdiction
Cambodia
Source
Council for the Development of Cambodia (CDC)

09Digital & IP

IP office

Authority for trademark and patent filing and registration.

Ministry of Commerce, Department of IP (trademarks); Ministry of Industry, Science, Technology & Innovation (patents)

Applies to
Trademark rights are territorial; register locally or designate via the Madrid System (check WIPO membership)
Jurisdiction
Cambodia
Source
WIPO

10Compliance & Risk

New York Convention party

Whether the country is party to the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, which affects enforcing foreign arbitral awards locally.

Yes

Applies to
Foreign arbitral awards can be enforced under the Convention, subject to its limited refusal grounds
Jurisdiction
Cambodia
Source
UNCITRAL

Live risk monitoring

Geopolitical, conflict and trade-route risk events for Asia-Pacific, monitored by our sister site Global Risk Monitor.

View Asia-Pacific risk monitor

Global Risk Monitor · Geopolitical and trade-route risk monitoring

11Step-by-Step

  1. 1Decide model and jurisdiction
  2. 2Confirm licences
  3. 3Prepare documents
  4. 4Incorporate
  5. 5Register for tax
  6. 6Open bank account
  7. 7Obtain operating licences
  8. 8Start operations

Generic steps without times or fees; rely on the facts and official sources on this page.

12Official Resources

Chinese official resources

Country materials from MOFCOM, the State Taxation Administration and China's overseas commercial offices

Official guides are long Chinese-language PDFs updated on the publishers' schedules. Our structured facts cite local authorities as primary sources; use these guides to cross-check.

Local authorities