Xi's Asia offensive: Cambodia hopes for cash, cooperation as China calls to oppose hegemonism, power politics

Chinese President Xi Jinping has called on Cambodia to stand with China in opposing hegemonism, power politics, and bloc confrontation. The Asian superpower has also stressed the need to defend the common interests of both nations and other developing countries, Reuters reported on Thursday.

In an article published in Cambodian media ahead of his visit, Xi also urged Phnom Penh to resist protectionism and maintain an open, cooperative international environment, echoing similar messages delivered during earlier stops in Vietnam and Malaysia.

Xi's visit to Cambodia is the final leg of his three-nation Southeast Asian tour, which aims to a charm offensive aimed at bolstering Beijing’s regional influence amid escalating geopolitical and trade tensions.


The Chinese president is scheduled to arrive in Phnom Penh on Thursday, with the Cambodian government hoping for concrete financial commitments—particularly for major infrastructure projects, according to the news agency.

Cambodia eyes support for $1.7B project

As Xi Jinping touches down in Cambodia, the country is betting on renewed financial backing from Beijing.

Speaking to Reuters, Meas Soksensan, spokesperson for Cambodia’s Ministry of Economy and Finance, said the government is expecting further cooperation from China, particularly in the area of infrastructure.

When asked specifically about whether China would finance the ambitious 180-kilometre Funan Techo Canal, Soksensan said Phnom Penh was hopeful.

"We expect more cooperation including on infrastructure development,” he told Reuters.

The canal project, expected to cost around $1.7 billion—nearly 4% of Cambodia’s GDP—has not yet received a public financial commitment from China, Reuters noted.

While Cambodian officials had previously stated that China would fully fund the canal, more recent statements have scaled back the figure to a 49% contribution.

The canal, which would link the Mekong River near Phnom Penh to the Gulf of Thailand, has raised concerns in Vietnam about its environmental impact on the fragile Mekong Delta and its potential to redirect trade away from Vietnamese ports.

Although Xi highlighted previous Chinese infrastructure investments that benefited Cambodia’s economy in his published article, Reuters reported that he did not name any new projects.

Official data cited by Reuters also showed that Beijing has signed no new loans to Cambodia in the past year—a marked departure from previous years, when hundreds of millions of dollars in Chinese financing flowed into the country.

The drop reflects China’s broader cutback in overseas lending amid domestic economic pressures and concerns over failed or controversial projects.

Strategic allies amid tensions

Xi's visit underscores the increasingly close political and economic ties between Beijing and Phnom Penh.

According to Reuters, China and Cambodia regularly refer to themselves as “ironclad” friends—a label that has endured despite recent frictions over Chinese-run scam centres in Cambodia that have drawn Beijing’s ire.

Reuters also noted that earlier in April, the two countries held joint military drills at the expanded Ream Naval Base on Cambodia’s coast—a site that has alarmed Washington, which fears it could evolve into a Chinese military outpost in the region.

Trade pressures & diplomatic balancing

Cambodia’s economic outlook has been complicated by shifting global trade dynamics. As a major exporter of garments and footwear to the United States, the country was hit with a 49% “reciprocal” tariff by US President Donald Trump—one of the highest rates globally—before most of those duties were temporarily paused until July.

With the US and China locked in a protracted trade rivalry, Xi’s Southeast Asian tour— a strategic diplomatic push—has sought to rally regional support for a more multipolar global order.

In his message to Cambodia, Xi reiterated calls for an inclusive and cooperative international system, free from dominance and protectionist policies.