Cambodia’s exports of garment and footwear products grew 9.3 per cent in the first half of the year. Textile shipments to the EU grew 10.66 per cent while those to the US rose by 10.73 per cent. These two markets jointly account for 72 per cent of Cambodia’s total exports.
Exports to Canada expanded more than nine per cent while shipments to the rest of the world grew by 10.10 per cent. The country’s economic growth for the year is placed at seven per cent, backed by a strong performance of the garment, tourism and construction sectors. From a macroeconomic perspective, the country is strong, with garments being one of the main contributors to national growth.
The EU is Cambodia’s top export destination, accounting for 40 per cent of all its exports. These have risen sharply in recent years, increasing by 227 per cent between 2011 and 2016. Cambodia now is second among all EBA beneficiaries in terms of trade volume.
Growth in export was achieved despite recent warnings from the European Union and the US that they would annul Cambodia’s preferential trade status if the human rights situation in the country fails to improve.