New Cambodia-Vietnam border gate to ramp up trade

New Cambodia-Vietnam border gate to ramp up trade

The new checkpoint is expected to facilitate the smooth movement of goods, tourists, and people.

Cambodia and Vietnam are adding a new dimension to the existing ties with the upcoming cross-border checkpoint between Prey Veng and Tây Ninh provinces in October that will boost trade flows, with Cambodia supplying raw materials and Vietnam acting as a processing hub.

The agreement to open the Tân Nam-Meun Chey international border checkpoint was reached by Nguyễn Hồng Thanh, Vice Chairman of the Tây Ninh People’s Committee, and Pich Sotharoth, Deputy Governor of Prey Veng Province, during a meeting in Vietnam on August 29.

At the discussion, Tây Ninh Vice-Chairman stressed that the inauguration is intended to promote international cooperation, accelerate deep and sustainable economic integration, as well as strengthen activities in defence, security and border diplomacy.

He urged close collaboration with Prey Veng Provincial Administration to ensure the successful planning and execution of the inauguration, emphasising coordination on logistics, security, customs and cross-border trade facilitation.

Meanwhile, Sotharoth affirmed Prey Veng’s readiness to cooperate with Tây Ninh to ensure the inauguration proceeds as planned, highlighting the political will and friendship that underpin bilateral trade, cooperation and development.

Following the meeting, both sides signed the minutes agreement, officially agreeing on the preparatory plan for the inauguration ceremony of the Tân Nam-Meun Chey international border checkpoint, scheduled between October 20 and 30.

A few days later, Senate President Hun Sen, President of the Cambodian People’s Party (CPP), led a delegation to meet Tô Lâm, General Secretary of the Communist Party of Vietnam (CPV), in Hanoi on September 1.

During the meeting, Mr Hun Sen emphasised expanding Cambodia-Vietnam relations, particularly in the economic and trade sectors.

He noted that in the first seven months of this year, trade surplus was on the Cambodia side as the Kingdom exports about $3.8 billion and imports from Vietnam at roughly $3.2 billion.

“This trade pattern demonstrates complementarity between the two economies, with Cambodia providing raw materials and Vietnam acting as a processing hub,” he said.

The CPV General Secretary encouraged both sides to continue sharing experiences, conducting exchange visits, and connecting youth to youth to further strengthen bilateral relations, underlining the political will and friendship that continue to drive Cambodia–Vietnam cooperation and development.

Speaking to Khmer Times, Chea Chandara, President of the Logistics and Supply Chain Business Association in Cambodia (LOSCBA), welcomed the opening of a new border checkpoint between Cambodia and Vietnam.

“The trade balance shows that Cambodia and Vietnam are at a similar level, reflecting that both sides are generating fair benefits and the equitable nature of bilateral trade,” he said.

Chandara noted that Cambodia currently has about 11 international cross-border checkpoints with Vietnam, compared to six with Thailand and just one with Laos.

The LOSCBA President underlined that the new checkpoint is expected to facilitate the smooth movement of goods, tourists, and people, enhancing bilateral trade and offering an alternative route amid temporary border trade closures with Thailand.

“It will serve as a key node in Cambodia-Vietnam supply chains, linking our raw materials with Vietnam’s processing industries and supporting regional economic integration,” he added.

When asked about potential benefits lost from exporting raw materials instead of processing them domestically, Chandara emphasised that Cambodia’s processing industry remains limited.

“The Royal Government is actively trying to attract investment into the industrial sector. For now, exporting raw materials is a practical solution as it ensures markets for our agricultural products.”

He continued that investment projects are increasing, and more processing companies are entering Cambodia, but it will take time before the country can fully reap the benefits.

“Right now, this approach is good enough, and with continued investment and development, Cambodia’s industrial capacity will grow, gradually allowing the Kingdom to capture greater value from its raw materials,” the LOSCBA President added.

khmertimeskh