With just 10 days left before the U.S. reciprocal tariffs take effect, President Donald Trump has confirmed he will not extend the 90-day pause beyond the July 9 deadline, signaling that trade penalties will be enforced unless new agreements are reached with the U.S.
On Monday, Trump told Fox News Channel’s Sunday Morning Futures that his administration will start sending out notices “pretty soon” to all 200 countries ahead of the deadline.
“That’s the end of the trade deal,” he said. “We’ll look at how a country treats us — are they good, are they not so good — some countries we don’t care [about]. We’ll just send a high number out,” he said.
On April 2, U.S. Trump announced sweeping reciprocal tariffs on countries, including a 49% tariff on Cambodia.
The U.S. claimed that American goods face an average customs duty of 97% when entering Cambodia. Owing to this, the Trump administration imposed the highest tariff in Southeast Asia at 49% on Cambodia, followed by 48% on Laos.
However, on April 9, as the trade war with China escalated, his administration granted a 90-day reprieve on the tariffs for Cambodia and 90 other countries. This temporary suspension is set to expire on July 9.
During the moratorium, the government via the Council for the Development of Cambodia (CDC) and Ministry of Commerce, held three rounds of negotiations with the U.S.
According to CDC, in the first round from May 13 to 15, both sides ”exchanged views in a frank and constructive manner”, discussing ways to strengthen bilateral trade and investment, and reviewing the draft Agreement on Reciprocal Trade (ART). Discussions continued in the second round from June 4 to 6 with an agreement reached on substantial provisions of the draft agreement.
Both parties acknowledged significant progress and put forward new proposals for further consideration in the third round on June 25, reaffirming commitments to work closely for a mutual decision that would benefit both countries.
Trump said the U.S. has likely reached deals with four or five countries, including China, India, and the UK. However, letters will still be sent to all other countries, stating that the U.S. will evaluate the trade deficit or other factors before determining tariff rates.
“We made deals, but I’d rather just send them a letter, a very fair letter saying, ‘Congratulations, we’re going to allow you to trade in the United States of America. You’re going to pay a 25% tariff, or 20% or 40 or 50%,’” he said.
“We wish you a lot of luck, and that’s the end of the trade deal because we have something that nobody has,” he added.
Hoeurn Somnieng, deputy secretary-general of the CDC, and Pen Sovicheat, spokesperson for the Ministry of Commerce, did not respond at the time of publication.
Regarding this issue, Yang Sophorn, president of the Cambodian Alliance of Trade Unions, acknowledged the government’s efforts in negotiating with the U.S. but noted that the situation remains unpredictable because Trump “changes his mind very quickly”.
She opined that there could be a “very small percentage” of the U.S. reducing the import tariffs for Cambodia. The union had a meeting recently and workers are very concerned about the impact of a potential tariff hike, she said.
Sophorn warned that Cambodia could face serious challenges, as it depends heavily on the U.S., which is a key export market.
According to the General Department of Customs and Excise, the U.S. remained Cambodia’s top export destination, with exports from January to May 2025 reaching $4.35 billion — a 27% increase compared to the same period in 2024. For 2024, total exports stood close to $10 billion.
“We are worried. If there is no change, some companies may shut down and relocate to other countries, which will directly affect workers. Many could lose their jobs,” Sophorn said.
She urged the government to find ways to protect workers and ensure they can continue to earn a living.
