Cambodia’s garment, footwear and travel goods exports grew by 24 percent during the first nine months of 2022.

The garment, footwear and travel goods industry is the largest foreign exchange earner for Cambodia, accounting for nearly 60 percent of the country’s total export value. The growth can be attributed to the full resumption of socio-economic activities in the country, trade preferences, and rising global demand as the global Covid pandemic has waned. The Regional Comprehensive Economic Partnership (RCEP) free trade agreement, which entered into force earlier this year, has also contributed to this significant growth. The garment, footwear and travel goods industry consists of more than 1,200 factories and branches, employing some 8,30,000 workers, mostly female.

Cambodia’s exports from January 2022 to August 2022 were up 26 percent compared to the same period in 2021. The total value of the country’s international trade rose by 21 percent. Imports increased by 18 percent during the period. Exports increased by 37 per cent. The US is the biggest market for Cambodia’s products. Vietnam and China are the second and third markets. New factories opening up are viewed as investors’ high confidence. Promulgated investment law and free trade pacts bilaterally and multilaterally are also factors that have opened the markets for Cambodia-made products as well as attracted new foreign direct investments.