As Trump's trade war with China brings reciprocal tariffs, many Chinese firms are investing in operations elsewhere to avoid the burden.

Summary

Chinese companies are relocating to Cambodia to evade U.S. tariffs imposed under Trump’s trade war with China.

Since 2016, Cambodian exports to the U.S. have surged from $3 billion to $13 billion, with over half of the country’s factories now Chinese-owned.

While technically legal, this strategy raises concerns that Cambodia could become a future target of U.S. tariffs.

Trump recently increased tariffs on Chinese goods, citing fentanyl concerns, prompting Beijing to consider retaliatory measures.

Business owners expect more relocations to Cambodia as the trade war escalates.