Cambodia immediately announced that 19 tariffs of US imported goods from the highest level were 35% to 5% after Mr. Trump imposed reciprocal taxes.
The decision was stated by Cambodian Prime Minister Hun Manet in the letter to US President Donald Trump on April 4 “to show goodwill and strengthen bilateral trade relations”.
The items are reduced by Cambodia mainly focusing on American agricultural products, including: beef, pork, corn, soybeans, potatoes, fruits, almonds, whiskey, light trucks and motorbikes …
Earlier, on April 2, Mr. Trump announced that the counterpart tax on Cambodian imported goods was 49%, this is the highest level for a third Asian and third -tallest economy in the world, after Lesotho and Saint Pierre and Miquelon (with 50%).
In the letter, Mr. Hun Manet affirmed that the maximum tax rate that Cambodia applied to the US imported goods was 35%. Cambodia proposes to negotiate with the US government to consider postponing the implementation of reciprocal taxes as soon as possible.
“Cambodia is always committed to participating in constructive and effective dialogue with the US government in order to further promote bilateral trade relations,” Hun Manet’s letter sent Mr. Trump the paragraph.
Cambodian Prime Minister Hun Manet at an event in Bangkok, Thailand on February 7, 2024. Image: AFP
On the same day, Cambodian Trade Minister Cham Nimul also sent a letter to US Trade Representative Jamieson Greer affirming the commitment to promote US goods import through tax reduction, and suggested the Trump administration to establish negotiation mechanisms.
Cham Nimul said that extending the reciprocal tax implementation time to consult with the parties involved and carefully evaluate the alternatives to protect both the economic interests of the US and the sustainable development of Cambodia.
Above Phnom Penh PostThe Cambodian government confirmed that the reciprocal tax will cause some impact on the economy but not as serious as some individuals are exaggerated on social networks. Mr. Hun Manet urged people to calmly, affirming that he would negotiate with the US to find a suitable solution.
*The list of American products is reduced by Cambodia
| STT | Product | Current tax (%) | The following tax decreased (%) |
|---|---|---|---|
| 1 | Fresh or chilled beef, other parts with bones | 15 | 5 |
| 2 | Fresh or chilled beef, boneless | 15 | 5 |
| 3 | Frozen beef, other parts with bones | 15 | 5 |
| 4 | Frozen, boneless beef | 15 | 5 |
| 5 | Fresh, chilled or frozen pork: ham, shoulders and bone cuts | 15 | 5 |
| 6 | Fresh, chilled or frozen pork: another type | 15 | 5 |
| 7 | Fresh, chilled or frozen organs: Chicken | 15 | 5 |
| 8 | Fresh, chilled or frozen poultry organs: turkey | 15 | 5 |
| 9 | Whey (sports nutrition) and whey preparations | 15 | 5 |
| 10 | Almonds are shelled | 7 | 5 |
| 11 | Peeled almonds | 7 | 5 |
| 12 | Corn (corn) | 7 | 5 |
| 13 | Soybean | 15 | 5 |
| 14 | Lactose, maltose, glucose and other sugars | 7 | 5 |
| 15 | Potatoes processed or preserved frozen | 15 | 5 |
| 16 | Fruit, seeds and other eating parts of the tree | 15 | 5 |
| 17 | Strong wine, whiskey | 35 | 5 |
| 18 | Light truck, total weight no more than 5 tons | 15 | 5 |
| 19 | Motorbike, engine capacity above 800cc | 15 | 5 |