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Cambodia: Regional trade agreement benefits coming to the Kingdom’s exporters and manufacturers
The Regional Comprehensive Economic Partnership (RCEP) is the world’s largest free-trade bloc and eight years of negotiation are set to pay off when the pact is ratified by at least six ASEAN countries and three non-ASEAN countries. This is anticipated to come as soon as the end of this year.
Cambodia is one of ten ASEAN nations that has agreed to trade as a bloc freely with China, Australia, New Zealand, Japan and South Korea in order to create a market comprising nearly one third of the world’s population, one third of global GDP and total exports.
The bloc is “the fastest growing and most promising investment region in the world”, according to Zoey Zhang of Dezan, Shira & Associates, an Asia-based company which advises international investors.
The RCEP pact will likely eliminate tariffs on more than 90 percent of goods traded within the bloc over the next 20 years.
“ASEAN economies will be in a unique position to service China’s growing domestic economy with value-added consumer and intermediate products,” said Zhang. “The lower-income RCEP economies will also benefit from the significant shift of textile and apparel industries out of China to their lower cost bases,” she said.
Source: https://www.khmertimeskh.com/50881228/regional-trade-agreement-benefits-coming-to-the-kingdoms-exporters-and-manufacturers/