Sihanoukville Autonomous Port

Recognising the crucial role of the Sihanoukville Autonomous Port (PAS) in realising the Prime Minister’s vision of transforming Cambodia into a regional logistics hub, PAS is central to strengthening the country’s trade competitiveness and its capacity to handle rapidly growing export volumes from the Kingdom. As Cambodia further integrates into regional and global supply chains, the performance and efficiency of its only deep-sea port will increasingly determine its attractiveness as a manufacturing and logistics base.

With container volumes forecast to reach just under 1.5 million twenty-foot equivalent units (TEUs) this year, and with the next phase of major port expansion not expected to be completed before 2027, PAS will face increasing operational pressure in the short to medium term. This creates a critical gap between demand growth and available capacity, which must be carefully managed through operational efficiency rather than infrastructure expansion alone.

This situation heightens the risk of congestion, particularly at the port’s main Gate 3, which already functions as a key bottleneck for container movements. Without targeted mitigation measures, congestion could intensify, negatively affecting port productivity, truck turnaround times, and overall logistics reliability.

To address this challenge under existing capacity constraints, the Transport & Logistics Committee of EuroCham has formulated a set of targeted recommendations based on direct private-sector operational experience. These proposals focus on practical measures that can reduce congestion, improve traffic flow, and optimise the use of existing infrastructure and digital tools.

In a context of continued trade uncertainty and strong competition between regional manufacturing hubs, more efficient, faster, and cost-effective logistics operations are essential to sustaining Cambodia’s competitiveness and maintaining investor confidence. Improvements at PAS therefore have a direct impact on the broader economic attractiveness of the Kingdom.

The logistics industry strongly supports the long-term development vision for Sihanoukville Autonomous Port as presented during the meeting with H.E. Sun Chanthol, Deputy Prime Minister, and Chairman of the National Logistics Council, H.E. Peng Ponea, Minister of Public Works and Transport and H.E. Lou Kim Chhun, Delegate of the Royal Government of Cambodia in Charge as Chairman & CEO of PAS, on 1 May 2025, and recognises the significant progress already achieved. At the same time, urgent short-term operational improvements over the next two years are required to manage fast-growing volumes until major infrastructure expansion is completed.

In this context, the Transport & Logistics Committee of EuroCham has shared and refined these recommendations in close consultation with the Ministry of Public Works and Transport (MPWT) and the General Department of Customs and Excise (GDCE) of the Ministry of Economy and Finance (MEF), ensuring alignment with national priorities and ongoing reform efforts.

For shipping lines, exporters, freight forwarders, and transport operators, the current operational constraints translate directly into higher costs and reduced predictability, largely driven by congestion at the port and its access points. Limited IT system integration prevents companies from fully automating fleet management, gate bookings, and operational planning, which makes it more difficult to control truck arrival times and distribute volumes evenly. This leads to a concentration of trucks during peak hours, longer queues at Gate 3, and greater exposure to delays and miscommunication, particularly for operators handling large volumes and complex logistics chains.

The additional handling fees applied to rail transport reduce the competitiveness of a mode that should otherwise serve as a natural alternative to road trucking and a tool for easing port congestion. By discouraging the use of rail for full containers, more cargo is forced onto already congested roads and port gates. This reinforces dependence on trucking during peak days and peak hours, intensifying bottlenecks at PAS and increasing waiting times for all users.

Restricted gate operating hours and inconsistent customs availability further aggravate congestion by limiting the ability to move cargo during evenings and night-time. As a result, container arrivals are compressed into a narrow daily window, overwhelming gate capacity and yard operations. For exporters, this concentration of traffic increases the risk of missing vessel cut-off times, creates uncertainty in delivery schedules, and can result in additional storage, demurrage, or re-handling costs.

Similarly, the underutilisation of the Phnom Penh–Sihanoukville Expressway (PPSHV) during mid-week and off-peak periods represents a missed opportunity to relieve congestion at the port. Without stronger incentives to encourage earlier and more evenly distributed arrivals, trucks continue to reach PAS in clustered waves, putting unnecessary pressure on gate operations and terminal handling capacity.

Collectively, these issues reinforce congestion rather than alleviating it. They reduce overall port productivity, increase logistics costs, and weaken Cambodia’s competitiveness compared to neighbouring logistics hubs. Persistent congestion also discourages private-sector investment in fleet expansion, digital integration, and long-term logistics planning, as businesses lack confidence that operational efficiency gains can be realised under current conditions.