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Cambodia’s total trade up 9% to $52 billion in 2022
Cambodia’s international trade in 2022 totalled more than $52 billion, a 9.2 percent year-on-year increase, while Cambodia’s exports jumped more than 16 percent.
In 2022, Cambodia exported a total of $22.4 billion worth of goods, up 16.4 percent from a year ago, and imported $29.9 billion, up 4.3 percent, according to data from the General Department of Customs and Excise of the Ministry of Economy and Finance.
Cambodia’s international trade in 2022 resulted in a trade deficit of $7.4 billion.
Ministry of Commerce’s under-secretary of state and spokesperson Penn Sovicheat said that the increase in exports was because of Cambodia’s full implementation of the Regional Comprehensive Economic Partnership (RCEP), the free trade agreement between China, and trade preferences in the EU and US markets.
The export growth shows the potential of Cambodian products in foreign markets, although the world is facing a crisis, he said.
“The trade pacts have given an impetus to Cambodia’s export growth,” Sovicheat told Khmer Times.
Cambodia’s main products exported are garments, machinery and electrical equipment, footwear products, leather goods, grain, furniture, rubber, fruits, vegetables, pearls, toys, and textiles.
The garment, footwear and travel goods industry is the largest foreign exchange earner for Cambodia. The sector consists of roughly 1,100 factories and branches, employing approximately 750,000 workers, mostly female.
Senior economist Ky Sereyvath, director-general of the Institute of China Studies at the Royal Academy of Cambodia, said that the garment sector played an important role, as it withstood the crisis and generated income for the national economy, especially helping workers with jobs, even though that crisis had some impact.
“The garment sector is a potential part of Cambodia. But it also sees challenges of competition that need to be addressed and requires attention from the government and private sector to keep the production chain in the garment sector,” he said.
The Kingdom’s main trade partners are China, the US, European Union, Vietnam, and Singapore.
RCEP comprises 15 Asia-Pacific countries including 10 member states of the Association of Southeast Asian Nations (ASEAN) — Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam — and their five trading partners, namely China, Japan, South Korea, Australia and New Zealand.
Being the world’s largest trade bloc, the RCEP trade deal has a combined Gross Domestic Product (GDP) of $26.2 trillion, representing around 30 percent of global GDP, 28 percent of global trade, and 32.5 percent of global investment.
The Cambodia Chamber of Commerce’s vice president Lim Heng attributed the growth in export to the confidence of investors who keep production busy, particularly during the tough time of Covid-19.
“The successful management of Covid-19 pandemic under the government has led to the resumption of all socio-economic activities, leading to the production chains being busy, supplying to purchase orders,” Heng said.
Source: https://www.khmertimeskh.com/501217283/cambodias-total-trade-up-9-to-52-billion-in-2022/