Phnom Penh Construction Market Outlook 2026

After two slower years, Cambodia's construction sector is showing measured recovery in 2026. Here is what contractors, suppliers, and homeowners should watch.

Demand drivers

• Borey and mid-market housing continue to dominate approved projects in Phnom Penh, Kandal, and Sihanoukville.
• Infrastructure spending — the new Phnom Penh airport, expressway extensions, and provincial road upgrades are keeping heavy-civil demand steady.
• Foreign direct investment is stabilising after a soft 2024, with Chinese, Japanese, and Korean developers active again.

Material price trends

• Cement — mostly flat, with local supply from CPAC, Chip Mong, and K-Cement keeping prices competitive at ~USD 90–105 per tonne.
• Steel rebar — mildly upward, tracking regional prices around USD 640–720 per tonne.
• Tiles and sanitary ware — competitive, with strong Thai and Chinese supply.

What to watch

• USD / KHR — a stable riel keeps import prices predictable.
• Labour shortages in skilled trades (electrical, aluminium, tiling) are pushing wages up 8–12% year-on-year.
• Green building — LEED and EDGE certification demand is rising for offices and larger boreys.

Practical takeaways

• Lock in cement and rebar prices for large pours 30–60 days in advance.
• Build long-term relationships with a shortlist of subcontractors — poaching is expensive.
• Homeowners: prices are unlikely to drop; delaying does not usually save money.

Stay updated

Follow BuildHub for weekly market snapshots and verified supplier listings across Cambodia.