Trump Letter Reveals 36% Tariff on Cambodia Starting August 1

U.S. President Donald Trump sent an official tariff letter to Prime Minister Hun Manet on July 7, 2025, announcing the newly reduced tariff rate of 36 per cent to be imposed on all Cambodian goods exported to the United States, starting August 1, 2025. 

Since Monday, President Trump has been sending out letters to trade partners to inform them of the official ‘reciprocal’ tariff rates to be imposed by the United States, come August 1. A handful of these rates have been updated since Trump’s original announcement on April 2, as several countries, including Cambodia, immediately engaged in trade negotiations with the United States.

The ‘reciprocal’ tariffs were due to originally come into effect on July 9, following a 90-day tariff pause, however, Trump has granted an additional extension to August 1. 

“It is a Great Honor for me to send you this letter in that it demonstrates the strength and commitment of our Trading Relationship, and the fact that the United States of America has agreed to continue working with Cambodia, despite having a significant Trade Deficit with your great Country,” Trump begins, in his letter to Prime Minister Hun Manet. 

He describes the trade relationship between Cambodia and the United States as being “far from Reciprocal”, thus resulting in the tariff of “only” 36 per cent to be applied on all Cambodian products sent to the United States. The Kingdom was initially charged with a 49 per cent tariff on April 2. 

Trump rationalises that this tariff is necessary “to correct the many years of Cambodia's Tariff, and Non Tariff, Policies and Trade Barriers, causing these unsustainable Trade Deficits against the United States,” further punctuating that his government believes this deficit has been “a major threat” to the U.S. Economy and National Security. 

“As you are aware, there will be no Tariff if Cambodia, or companies within your Country, decide to build or manufacture product within the United States and, in fact, we will do everything possible to get approvals quickly, professionally, and routinely — In other words, in a matter of weeks,” the letter adds. 

Other countries in the Asia-Pacific region that have thus far received letters from Trump include South Korea, Japan, Malaysia, Indonesia, Vietnam, Thailand, Laos, Myanmar, Bangladesh and Kazakhstan. Both Cambodia and Thailand were hit with 36 per cent tariffs, while Laos and Myanmar got 40 per cent, and Vietnam received the most favourable rate of 20 per cent. 

List of Latest U.S. Tariffs on Asia-Pacific Countries (As of July 7, 2025)