Cambodia, Germany eye stronger SME alliances

Cambodia, Germany eye stronger SME alliances

Vanndy urges German partners to expand ties in green technology, productivity boosts, tech transfers and joint research.

Cambodia and Germany are seeking to strengthen cooperation in supporting local enterprises, improving quality infrastructure and promoting investment, as Cambodia works to enhance the competitiveness of its domestic industries ahead of its graduation from least developed country status.

Minister of Industry, Science, Technology and Innovation Hem Vanndy and German Ambassador to Cambodia Silke Röfer discussed these areas of cooperation during their meeting in Phnom Penh on Wednesday.

Vanndy commended the German government for its longstanding partnership with Cambodia through the German Agency for International Cooperation (GIZ) and German National Metrology Institute, particularly in enterprise development, standards and metrology.

He highlighted the ministry’s efforts to expand the KhmerSME digital information platform and online consulting services using artificial intelligence, alongside the 1265 mobile support service, to help enterprises nationwide access information and business advice without having to travel.

Digitalisation is no longer simply a trend but a necessity for businesses to survive and compete in the global market, the minister said, citing the importance of helping Cambodian small and medium-sized enterprises strengthen their competitiveness in domestic, regional and international markets.

“Strengthening domestic industries will help Cambodia meet market demands, connect with foreign investment projects and maintain sustainable growth as it prepares to graduate from least developed country status,” Vanndy said.

For her part, Ambassador Röfer reaffirmed Germany’s commitment to supporting the KhmerSME information platform following the completion of the GIZ project.

She also highlighted ongoing cooperation through the SUCCESS programme and support for Cambodia’s quality infrastructure development.

The ambassador expressed Germany’s interest in encouraging more German companies to explore investment opportunities in Cambodia, emphasising the importance of direct engagement and firsthand assessments of the Kingdom’s business environment.

“It is better to see firsthand, experience firsthand, and meet people face-to-face,” she said, underscoring the value of business visits in helping German investors better understand Cambodia’s market and investment potential.

Vanndy also encouraged German partners to explore further cooperation in green industry, productivity enhancement, technology transfer and collaborative research to support industrial modernisation and sustainable economic growth.

Economic ties between Cambodia and Germany continue to be supported by bilateral dialogue, development cooperation and efforts to promote business engagement.

Cambodian exports to Germany primarily comprise garments, footwear and bicycles. During the first nine months of 2026, Cambodia exported goods worth $647 million to Germany, down 6% compared with the same period last year, according to the General Department of Customs and Excise of Cambodia.

Meanwhile, Cambodia imported $135 million worth of goods from Germany during the same period, a 12% year-on-year decline, the report showed.

khmertimeskh