"Major U.S. goals in Cambodia include promoting good governance, democracy, and human rights, reducing the threat of terrorism, facilitating trade, and bringing Khmer Rouge leaders to justice. Several bills introduced in the 109th Congress reflected human rights concerns regarding Cambodia. The United States has prohibited many forms of assistance to the Central Government of Cambodia following Prime Minister Hun Sen's unlawful seizure of power in 1997. The United States has also withheld assistance for the Khmer Rouge tribunal, set up to try leaders of the Communist Party of Kampuchea for crimes against humanity, unless standards of judicial independence and fairness are met. Despite foreign aid restrictions, Cambodia remains the third largest recipient of United States assistance in Southeast Asia after Indonesia and the Philippines, much of it channeled through non-governmental organizations. The United States is the largest overseas market for Cambodian goods, mostly textiles and apparel. With the termination of quotas on textiles by WTO member states in 2005, Cambodian exports are threatened by competition from China. Cambodia and other least developed countries (LDCs) are pressing the United States to grant their garment exports preferential treatment. This report provides historical context, discusses political and economic developments in Cambodia, and raises policy issues regarding U.S.-Cambodian relations. These issues include U.S. foreign assistance to Cambodia, HIV/AIDS, human rights, terrorism, bilateral trade, the Khmer Rouge tribunal, and Cambodia's relations with China. This report will be updated periodically."
CRS Report for Congress, RL32986