Property News Roundup 29th December 2025
We’re delighted to share the weekly news highlights below.
1. BYD Cambodia Commences Operations in Sihanoukville
BYD, a leading manufacturer of electric and hybrid vehicles, officially opened its assembly plant in Sihanoukville’s Special Economic Zone as part of a US$32 million investment. The facility, situated on a 12-hectare site, is projected to assemble over 10,000 vehicles annually, with the first phase creating approximately 200 jobs. In addition to vehicle production, BYD plans to establish two service centers and install 200 electric vehicle charging stations across Cambodia, aligning with national targets for sustainable transport, including 40% electric cars and buses, and 70% electric motorbikes by 2050.
This milestone underscores Cambodia’s growing appeal as an investment destination for green industries. The plant adds to a landscape that already features Ford, Toyota, and Hyundai assembly operations, highlighting an expanding automotive sector that supports local supply chain development and technological transfer. For real estate and infrastructure, BYD’s presence increases demand for industrial land, logistics facilities, worker housing, and sustainably driven infrastructure solutions in Sihanoukville and beyond.
December 22 nd, 2025, Khmer time: https://tinyurl.com/3pr4pa95
2. CDC Reviews 13 Investment Projects Valued at US$323 Million
On December 23, 2025, Cambodia’s Council for the Development of Cambodia (CDC) reviewed 13 new investment projects worth a combined US$323 million. The diverse portfolio spans sectors such as manufacturing, infrastructure, and services, signaling strong interest from both domestic and international investors. The initiative is expected to generate thousands of new jobs, boost economic growth, and enhance Cambodia’s position in regional trade.
The impact for real estate and construction is profound, as these projects will demand industrial parcels, commercial centers, and residential support services. As these investments are formalized and move into execution phases, land values especially in emerging industrial zones are likely to appreciate, paving the way for developers and investors to capitalize on the country’s growth trajectory.
December 23rd, 2025, Khmer time: https://tinyurl.com/4d3wky3b
3. Rapid Economic Development Initiative for Coastal & Tonle Sap Communities
On December 22, 2025, a partnership between Action for Community Transformation (ACT) and Cambodia’s Ministry of Land Management, Urban Planning and Construction introduced a “Concessions for Economic and Social Policy” plan targeting coastal and Tonle Sap areas. The initiative emphasizes improving education, healthcare, waste management, clean water access, animal husbandry, and fertilizer production. Notably, it uses carbon credits as an innovative funding mechanism—generating revenue for sustainable community investments.
This initiative marks a shift toward inclusive, environmentally responsible growth in underdeveloped regions. Real estate opportunities emerge through planned infrastructure upgrades and community facilities; such developments can enhance local property values. Investors and developers should prioritize projects aligned with this initiative’s goals, especially those involving green infrastructure and socially driven mixed-use developments.
December 22 nd, 2025, Construction Property: https://tinyurl.com/35e6nzb2
4. European Union Unlocks Over $22 Million for Sector Reforms
The EU announced a disbursement of approximately €19.5 million (over $22 million) to support Cambodia’s reform agenda, focusing on the education, fisheries, and public financial management sectors. This commitment was formalized during a high-level EU–Cambodia dialogue held on December 18, 2025, in Phnom Penh with Deputy PM Aun Pornmoniroth and EU Ambassador Igor Driesmans present. The agreement aligns with the EU’s Global Gateway strategy, which aims to foster sustainable investments in energy, water, education, and public governance. Through bolstered transparency, robust tax policies, and enhanced fiscal management, the initiative aims to create a more predictable business climate that attracts sustainable long-term investment.
For real estate and infrastructure stakeholders, these reforms may pave the way for more predictable land and urban policy environments. Improved fiscal accountability and streamlined public spending increase confidence among private developers, while tangible upgrades in utilities, transport, and public services can raise land values and spur demand for new residential and commercial projects. The initiative’s focus on enabling investments in energy and water also presents opportunities for green infrastructure development.
December 22nd, 2025, Khmer Time: https://tinyurl.com/3v5h9bs3
5. Canada Supports Cambodia’s AI and Emerging Tech Development
Canada, through Ambassador Christian DesRoches, announced initiatives to support Cambodia’s development in artificial intelligence (AI) and other emerging technologies. The announcement emphasizes collaboration in building innovation capacity, including support for AI training, policy frameworks, and infrastructure development. This initiative aligns with Cambodia’s ongoing efforts to foster a digital economy and implement national strategies on AI, as outlined in the 2024 UNESCO-backed AI Readiness Assessment and draft national AI strategy.
The growing focus on AI and emerging tech is opening opportunities for real estate and infrastructure sectors, particularly in the development of tech parks, data centers, and co-working spaces. Investing in specialized properties catering to tech startups and digital businesses can position investors advantageously as Cambodia expands its tech ecosystem. Real estate developers should anticipate demand for smart offices and innovation hubs, potentially aligned with government-led digital transformation policies.
December 22nd, 2025, Khmer Time: https://tinyurl.com/msk8cd2u
6. Fashion Sector Powers Cambodia’s E‑Commerce Boom
A December 23, 2025 Khmer Times report highlighted the dominance of fashion in Cambodia’s e-commerce market, which now accounts for 37% of all online transactions. This surge is driven primarily by tech-savvy youth using social media platforms like Facebook and TikTok to make purchases, supported by enhanced payment systems, reliable logistics, and fast-growing digital adoption. The e-commerce market is projected to reach $974.85 million in 2025, up from $878.2 million in 2024.
For real estate investors, this trend signals strong demand for e-commerce-driven property, including warehouse space, logistics hubs, and last-mile distribution networks. Mixed-use developments integrating retail and fulfillment components may also gain traction. Developers can tap into rising demand for modern logistics facilities, secure storage, and streamlined transportation infrastructure to support this flourishing sector.
December 23rd, 2025, Khmer Times: https://tinyurl.com/3cmnhnv6
7. Cambodia’s Exports to RCEP Countries Reach $8.85 Billion
In the first 11 months of 2025, Cambodia’s exports to RCEP countries amounted to $8.85 billion, representing a 6% year-on-year increase and making up 31.2% of total exports (USD $28.37 billion). Total two-way trade with the RCEP bloc reached $36.38 billion, up nearly 16% from the previous year. Commerce Ministry spokesperson Penn Sovicheat stated that the RCEP agreement has broadened Cambodia’s export markets and attracted foreign direct investment for export-oriented manufacturing.
This expanding export landscape bodes well for real estate in manufacturing zones and industrial parks. As more export-oriented companies establish production facilities, demand for industrial land, cold storage, logistics corridors, and port-adjacent real estate will rise. Strategic investment in these zones can capitalize on Cambodia’s integration into regional value chains under the RCEP framework.
December 24th, 2025, Khmer Times: https://tinyurl.com/2nu5dcpx
8. US Remains Cambodia’s Largest Export Market with $11 Billion in Shipments
Cambodia exported $11.50 billion worth of goods to the United States in the first 11 months of 2025, driving total bilateral trade to $11.87 billion—an increase of 27.7% year-on-year. The exports are mainly concentrated in garments, footwear, travel goods, and other manufactured items. Economist Darin Duch attributed this performance to Cambodia’s competitive production capabilities, favorable market access, and strong bilateral trade relations.
This continued export momentum supports sustained demand for industrial real estate, including assembly lines, warehousing, and logistics infrastructure. Developers can focus on export hubs, bonded warehouses, and logistics-driven mixed-use zones to serve the export-oriented manufacturing base, especially in areas with favorable trade facilitation.
December 25th, 2025, Khmer Times: https://tinyurl.com/mvwtbcvn
9. Thai Airstrikes in Siem Reap Disrupting Tourism & Investor Confidence
In mid-December 2025, Cambodia reported Thai F‑16 airstrikes near the Srei Snam district in Siem Reap province, less than a two-hour drive from the Angkor temple complex. This marked the first time the fighting had impacted temple‑province areas, displacing civilians and causing tourist cancellations. Angkor Enterprise reported a 17% year-on-year drop in monthly ticket sales for Angkor from June to November, signaling significant tourism disruption.
Such security incidents pose risks for tourism-driven real estate sectors, including hotels, serviced apartments, and commercial properties. Investors and developers may face higher insurance premiums and reduced occupancy rates. However, post-conflict restoration initiatives and resilient infrastructure strategies could open opportunities in rebuilding and adapting tourist zones for future resilience.
December 22nd, 2025, Khmer Times: https://tinyurl.com/ebst7hpu
10. Thailand and Cambodia agree to meet amid renewed cross-border fighting
On December 24, 2025, military officials from Thailand and Cambodia convened under their General Border Committee in Thailand’s Chanthaburi province to discuss resuming a ceasefire after prolonged border clashes spanning almost three weeks, resulting in at least 86 fatalities and over 500,000 displaced persons. The meeting follows an ASEAN foreign ministers’ gathering in Kuala Lumpur and aims to lead to a defense minister-level dialogue scheduled for December 27.
For real estate and investment stakeholders, the establishment of lasting peace would stabilize operations in border provinces and spur economic activity. Property markets are contingent on security; a credible ceasefire can restore investor confidence, encourage cross-border trade infrastructure, and facilitate real estate development in previously tense zones.
December 24th, 2025, ALJAZEERA: https://tinyurl.com/yyub79av