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Tourism

Cambodia's Tourism Industry Faces Challenges Amidst Ongoing Trade War and Border Conflict

Strategic Insights

— 2 min read

Cambodia's tourism and hospitality industry, a key pillar of the country's economy, is facing significant challenges in 2025. Despite promising start to the year, with the launch of the China-Cambodia Year of Tourism 2025 and an uptick in tourist arrivals in the first half of 2025, the industry is being tempered by the ongoing trade war with the United States, pending increase in tariffs, and the border conflict with Thailand. This has led to a 20% increase in domestic and international passengers through Cambodian airports in the first half of 2025, but also a drop-off from important Asian markets such as Japan and Korea.

Key Takeaways:

  • Cambodia's international tourist arrivals in the first six months of 2025 showed a 6.2% increase compared to the same period in 2024, according to the Ministry of Tourism.
  • The country's airports' inbound and outbound flights reached 58,354 by the end of June 2025.
  • Angkor Enterprise reported that 560,000 international tourists bought tickets to visit the Angkor site from January to June 2025, and foreign tourist numbers to the site have grown 8.76% compared to 2024.
  • The new Techo International Airport in Phnom Penh is set to commence operations on September 9, 2025, with the official inauguration planned for October 20, 2025.
  • The airport development project is a public-private partnership between Overseas Cambodian Investment Corporation (OCIC) and the State Secretariat of Civil Aviation (SSCA) under the Cambodia Airport Investment Co Ltd (CAIC).
  • The new airport will feature both global and local brands, and a pilot rollout of smart gates will be launched, which will help streamline passenger entry.
  • The General Department of Immigration has introduced an electronic visitor pass system to replace immigration stamps or QR code stickers, available at all international airports and seaports since July 1, 2025.
  • Several new air routes are planned for 2025-2026, including flights from India, the Middle East, and secondary Chinese cities to Cambodia.
  • Thai Airways has announced flights between Siem Reap and Phuket, Thailand, while Finnair has launched flights between Phnom Penh and Helsinki.
  • The Cambodia Ministry of Tourism has reported a decline in tourist arrivals from key markets due to the ongoing conflict with Thailand.

Statistics:

  • 3.65 million domestic and international passengers passed through all three Cambodian airports in the first half of 2025.
  • 58,354 inbound and outbound flights were recorded at Cambodian airports by the end of June 2025.
  • 560,000 international tourists bought tickets to visit the Angkor site from January to June 2025.
  • 6.2% increase in international tourist arrivals in the first six months of 2025 compared to the same period in 2024.
  • 9% of Cambodia's GDP contributed by tourism in 2024.

Sources:

  • "Cambodia's Tourism Industry Faces Challenges Amidst Ongoing Trade War and Border Conflict" by Tour Asia Times.
  • "Cambodia's International Airports: A Hub for Trade and Tourism" by SCCA.
  • "Cambodia's Tourism Industry: A Key Driver of the Economy" by Ministry of Tourism.
  • "New Techo International Airport to Open in Phnom Penh, Cambodia" by Cambodia Daily.
  • "Cambodia's Electronic Visitor Pass System to Roll Out in July" by Phnom Penh Post.
  • "Cambodia-Air Asia Airline Partnership to Launch in 2025" by Khmer Times.
  • "Cambodia's Tourism Industry Faces Challenges Amidst Ongoing Conflict" by Bangkok Post.

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