Chinese President Xi Jinping landed in Cambodia earlier in April with a clear message: Phnom Penh remains a cornerstone of Beijing’s diplomatic and economic strategy in Southeast Asia, even as global trade tensions cast a shadow over the region’s recovery, according to a report by Khmer Times.

The two-day state visit, which coincided with Cambodia’s Khmer New Year celebrations, marks the final leg of the Chinese leader’s tour across Southeast Asia, following stops in Vietnam and Malaysia. Against the backdrop of an escalating trade war with the United States, this trip signals China’s intent to bolster strategic alliances in its immediate neighbourhood.

“Cambodia is a priority in China’s neighbourhood diplomacy,” Xi declared shortly after arriving at Phnom Penh International Airport, where he was welcomed by King Norodom Sihamoni, Senate President Hun Sen, and other senior officials. He pledged China’s “unswerving support” for Cambodia in maintaining strategic autonomy and following a development path aligned with its national conditions.

Xi praised the “rock-solid” relationship between the two nations, saying it has “stood the test of the changing international environment”. The ties, he said, were “forged and carefully nurtured by successive generations of leaders from both sides.” The Chinese leader’s arrival was marked by ceremonial grandeur, but it also set the stage for a raft of bilateral agreements expected to deepen economic and political cooperation. Although details of the agreements have yet to be publicly disclosed, they are anticipated to expand upon the China-Cambodia “Diamond Hexagon” cooperation framework.

“We will further enrich China-Cambodia Diamond Hexagon cooperation, work together to take mutual political trust to a higher level, advance mutually beneficial cooperation of higher quality, ensure greater security, carry out more frequent people-to-people exchanges, and strengthen strategic coordination of higher standards to bring more benefits to our people and contribute more positive energy to peace and stability of the region and the world,” Jinping said.

Xi also spoke admiringly of Cambodia’s historical and cultural heritage, calling it a nation of time-honoured civilisation and lauding the Khmer people for having created the splendid Khmer civilisation that has made important contributions to the progress of humanity.

Beijing’s charm offensive in Cambodia comes as China seeks to hedge against mounting economic pressure from the United States. President Donald Trump’s administration has slapped steep tariffs on goods from several Asian nations, including Cambodia (49%), Vietnam (46%), and Malaysia (24%). Although Washington paused further increases earlier this month with a temporary 10% tariff for a 90-day negotiation window, uncertainty looms over global trade.

Xi’s arrival in Phnom Penh was viewed by Cambodian officials as both symbolic and strategic. Sok Eysan, spokesman for the ruling Cambodian People’s Party (CPP), said the visit could translate into tangible financial support. “As long as the Chinese leader is present, Cambodia’s ironclad friend, we firmly believe that our great friend will provide financial assistance, whether it is small or large,” Eysan told local media.

Indeed, China has remained Cambodia’s largest investor, donor, and trading partner for more than a decade. As of the end of 2023, China accounted for roughly 34% of Cambodia’s external debt, equivalent to around $4.09bn, according to the Cambodia Public Debt Statistical Bulletin. That figure dwarfs Cambodia’s bilateral debts with Japan (11%) and South Korea (6%).

Beijing’s development footprint is evident across Cambodia, from roads to telecommunications. In October 2024, the State Council of China pledged CNY300mn (approximately $42.5mn) for infrastructure projects, fulfilling a promise made during Foreign Minister Wang Yi’s visit in August. High on the Cambodian government’s agenda is securing additional funding for the Funan Techo Canal, a large-scale infrastructure project launched last August. Investment under the Build-Operate-Transfer (BOT) model is seen as crucial for the Kingdom’s growth strategy.

“Amid economic uncertainty, the world is redirecting investments toward Southeast Asia as countries increasingly recognise the strength of regional cooperation,” said Chey Tech, a socio-economic researcher, in an interview with Khmer Times. He highlighted ASEAN’s rising strategic value for China, particularly with Cambodia being a “steel friend” under the Diamond Cooperation framework.