Cambodia-Thailand trade hits $1.6 billion amid border closures

Bilateral trade between Cambodia and Thailand reached $1.61 billion in the first seven months of 2026, a decrease from the $2.4 billion recorded during the same period in 2025. According to the General Department of Customs and Excise of Cambodia (GDCE), while trade volume has declined, the rate of decrease has slowed from over 40% in early 2026 to 32.7% by July.

Cambodian exports to Thailand fell by 14% to $420 million, while imports from Thailand dropped more sharply by 37.5% to $1.19 billion. This reduction in imports has helped narrow Cambodia’s trade deficit with Thailand from approximately $1.41 billion in 2025 to $770 million in 2026.

The economic downturn follows the closure of land border crossings due to escalating tensions and border disputes that began in mid-2025. The disruption has caused significant local impacts, particularly in industrial hubs like Poipet. In July 2026, a Thai-owned garment factory in the O'Neang Special Economic Zone was forced to suspend operations, resulting in the loss of over 2,500 jobs due to supply chain disruptions and declining orders.