“The time is right” for US-ASEAN Business Council to Set Up First On-Ground Presence in Cambodia

The US-ASEAN Business Council holds a positive outlook on Cambodia’s market trajectory by hiring its first Executive Strategic Advisor, which signals its first dedicated on-ground presence in its 41-year history. The strategic move is attributed to the country's young workforce, Prime Minister Hun Manet’s leadership, and recent diplomatic breakthroughs

The US-ASEAN Business Council (USABC), which represents over 170 of the largest American companies, has hired an Executive Strategic Advisor in Phnom Penh, making a first-ever dedicated on-ground presence in Cambodia, according to Jack Myint, the Council’s Regional Director for Mainland Southeast Asia.

In an interview with Kiripost, Myint explained that the move relates to "on-ground presence”, but not a full office opening yet. However, he added that it is a strong sign of faith in the Kingdom's future.

“An on-ground presence is a start, and a testament to our positive outlook on Cambodia's growth trajectory,” Myint said. “It's our faith in further positive relations between the United States and Cambodia, and, of course, most importantly, our faith in the potential of Cambodia's market development.”

The new advisor is Dararith Lim, who is the former CEO of GE Cambodia. The appointment is seen by the USABC as an initial engagement, and hopes it will lead to a full-time office in the country eventually.

Myint said that the single largest factor driving the decision is Cambodia’s demographic strength, noting that the country boasts the largest young population in Southeast Asia by percentage, including the highest percentage of Gen-Z citizens.

This demographic advantage is paired with positive governance factors, including the leadership of Prime Minister Hun Manet and the implementation of the new Pentagonal Strategy.

Myint also noted that a "young, forward-looking, development-oriented, largely Western-educated cabinet further adds to those broader decisions here".

The decision to appoint an advisor was also significantly influenced by the recent trade framework established between the two countries.

Myint said that Cambodia is the first country to reach a full, comprehensive trade framework with the United States - a "remarkable" achievement that American businesses “take great note of”.

The White House explained that the comprehensive trade framework is a new reciprocal agreement that reduces barriers for US exports and sets clearer rules on transparency, standards and regulatory procedures between Cambodia and the US. It aims to create a more rules-based environment for American businesses looking to operate in Cambodia.

He praised the Cambodian negotiation team, led by Deputy Prime Minister Sun Chanthol and Commerce Minister Cham Nimol, for their communicating effectively with US government stakeholders and accommodating the American private sector.

Myint said the “technical brilliance of the negotiations”, citing the team’s ability to break down complex issues into numbers, such as reducing a key metric from 38 percent to 19 percent.

He added that American investment comes with a "gold standard" of how business is conducted, which includes a strong commitment to labour standards, environmental rights and community engagement.

"Unlike other countries, of course, which are more interested in just extracting and bringing in their own workforce," he said, without naming any country, "Those are the baseline gold standards of American investments."

To further improve the environment for US companies, Myint identified two key areas the government is already addressing. The first he said is Regular Private Sector Consultation, hailing the establishment of the first-ever US-Cambodia Public-Private Sector Dialogue, chaired by Chanthol, as "incredibly valuable" for resolving issues directly with line ministries.

Another is Infrastructure and Public Perception. While acknowledging that fundamentals are strong, Myint noted that Cambodia needs to continue investing in basic infrastructure, lower energy costs, and cultivating a skilled labor force.

He also said it is important for optics - how Cambodia is viewed globally - as shareholder emotions and perception heavily influence publicly listed companies.

Addressing the issue of Cambodia's investment balance between the US and other major powers such as China and Japan, Myint said from a geopolitical perspective, echoing the famous words of Lee Kuan Yew.

"Southeast Asia, in particular, cannot play a zero-sum game and expect to win," he said. The region thrives by strategically balancing its relationships with superpowers for mutual benefit.

Regarding key investment sectors, Myint declined to pick a favourite, listing energy, healthcare, financial services, manufacturing, agriculture and digital technology as “equally important and in many ways, interconnected”.

He said that special mention should go to innovative technologies, an area where he believes American companies are "truly unmatched" and highly sought after by ASEAN partners.