In 2025, Cambodia’s domestic rubber consumption skyrocketed by 146%, reaching 124,321 tonnes. This shift is powered by the rapid expansion of the local tire manufacturing industry, which now boasts seven operational factories. While raw latex exports saw a slight decline, the value-added export of finished tires exceeded $1.2 billion, signaling a strategic move up the global supply chain that provides price stability for local farmers and high-yield opportunities for industrial investors.
1. From Raw Latex to High-Value Tires
The data reveals a “perfect pivot” in Cambodia’s trade strategy. Instead of shipping raw rubber to neighboring countries for processing, Cambodia is now consuming its own resources to create high-value finished products.
| Metric | 2025 Performance | Year-on-Year Change |
| Domestic Rubber Consumption | 124,321 Tonnes | +146% |
| Domestic Rubber Revenue | $223 Million | Significant Increase |
| Finished Tire Exports (Jan-Nov) | $1.219 Billion | +57.8% |
| Raw Latex Exports | 343,762 Tonnes | -12% |
2. The “Tire Factory” Factor
Mr. Lim Heng, Vice President of the Cambodia Chamber of Commerce, attributes this surge directly to the seven tire factories currently active in the Kingdom. These facilities serve as the “anchor tenants” of Cambodia’s industrial zones, utilizing local latex as their primary raw material.
- Stability for Farmers: Local factories provide a “stable market” for the 448,051 hectares of rubber plantations across the country, protecting farmers from the volatility of international raw commodity prices.
- Mature Production: With 77% (346,842 hectares) of plantations now mature enough for tapping, Cambodia has a guaranteed internal supply to fuel further factory expansions.
3. A Billion-Dollar Export Industry
The tire industry has officially entered the “Billion Dollar Club.” Reaching $1.219 billion in exports for the first 11 months of 2025 proves that “Made in Cambodia” tires are meeting international standards and gaining significant market share in the US, EU, and Asia.
The End of “Commodity Dependence”
For decades, Cambodian rubber farmers were at the mercy of buyers in Vietnam and Malaysia. Today, the buyer is right next door in a Special Economic Zone (SEZ). This is exactly the kind of industrial diversification that US investors look for—moving from low-skill garments to mid-skill automotive components. With tire exports growing by nearly 60%, the rubber sector is no longer an agricultural story; it is a manufacturing success story.