Fwd: Cambodian Gold Transfer to China
samlot chit
Cambodian Gold Transfer to China: A Test Balloon in a Crisis Context
November 11, 2025
By Sam Rainsy — on behalf of the Government of Independent Cambodia of 23 October
On 14 October 2025, the international spotlight fell on the Cambodian regime when the U.S. Department of Justice indicted Chen Zhi, chairman of the Prince Group, for large-scale fraud and money-laundering. At the same time, the United States and the United Kingdom imposed coordinated sanctions against 146 individuals and entities affiliated with that network.
This network’s political and business ties to the family of Hun Sen — who has ruled Cambodia for more than 40 years — underscore what appears to be the transformation of state structures into an organised-crime nexus.
In the weeks following these sweeping sanctions, financial press reports revealed that Cambodia might move part of its gold reserves to China, for storage via the Shanghai Gold Exchange (SGE) in Shenzhen. No official statement has been released; neither volumes, contract terms nor a schedule have been disclosed. Press estimation suggests around 54 tonnes, but it remains unclear whether any transfer has taken place. Data show today’s Cambodian gold reserves stand at approximately 54.4 tonnes.
The absence of transparency — no binding commitment, no operational detail — suggests this is not a concrete policy shift but rather a test balloon: a signalling device rather than a full-scale action. The timing is telling: major sanctions followed by a symbolic financial manoeuvre.
Why the signal now?
On one hand, it is a message to Beijing: by evoking the SGE, Phnom Penh signals deep alignment with China, Cambodia’s major lender and strategic partner. On the other hand, it warns the West: “We have options” — namely the possibility of migrating strategic reserves beyond Western/legal reach. The manoeuvre generates flexibility in case further sanctions or asset freezes follow.
However, this strategy is fraught with risk. A legitimate transfer of gold to a jurisdiction perceived as outside Western oversight raises the possibility of circumventing international sanctions, further entrenching an authoritarian, criminal-linked power structure, and increasing dependency on another jurisdiction with different accountability standards. If gold is used to shelter assets vulnerable to Western sanctions, this would undermine the global sanction regime and set a precedent for other states to follow.
In view of the unprecedented scale of the Prince Group/Chen Zhi scandal and its international ramifications, financial, law-enforcement and judicial authorities — in the United States, the United Kingdom, the European Union and beyond — must deliver a clear message: any transfer of Cambodian gold aimed at evading transparency or justice shall not be permitted. A reinforced international coordination must ensure that this mere test balloon does not evolve into a freed reservoir of strategic assets serving a clientelist regime.
Cambodia cannot hide behind sovereignty while turning national reserves into sanctuaries for compromised assets. The integrity of the global financial system and justice for victims demand vigilance and immediate action.
Sam Rainsy
On behalf of the Government of Independent Cambodia of 23 October