Bilateral trade between Cambodia and US soars 31 percent in 10 months

Cambodian exports to the US market touched $7.2 billion in first 10 months this year, an increase of 31 percent compared to same period in 2020, according to data from the US Census Bureau.

Despite the Covid-19 pandemic in the country, bilateral trade between Cambodia and the US remained strong in the first 10 months of 2021, reaching to US$ 7.5 billion, or a 30.82 per cent surge from the $5.7 billion in the same period last year.

Cambodian exports to the US during the January-October period were valued at $7.224 billion, surged 30.82 per cent year-on-year, while imports were to the tune of $346 million, increasing 28.37 per cent.

In October alone, the Kingdom’s exports to the US represented more than $1 billion, an increase of nearly 50 per cent year-on-year.

Cambodia Chamber of Commerce Vice-President Lim Heng told Khmer Times that Cambodia has GSP System from US government that is main reason to increase in term of total trading in the 10 months of 2021.

Heng said instability of political movement in Myanmar and uncertainly market in Bangladesh lead US buyer to order more goods from Cambodia.

Moreover, Cambodian government has enacted new investment law to implement in next year for attract more foreign investor. Also, FTA between China and Cambodia that will implement in 2022, it encourage more US investor in Cambodia economic development.

With trading confrontation between US and China, it helped Cambodia position as economic hub for both countries.

Hong Vanak, director of International Economics at the Royal Academy of Cambodia, told Khmer times on December 27 that strong corporation with US in term of GSP Quota, US import goods from Cambodia such as garment, travel goods, bicycle, small amount of agriculture product.

Vanak stressed that the US stance need good corporation with Cambodia when Cambodia as chairman of Asean Summit in 2022. Also, the US and Cambodia dialogue mechanism will happen in the regional Summit. RCEP mechanism encourages more foreign investor.

He suggested that Cambodia is open market for foreign direct investment. Government revived new investment law that encourages foreign investor. Secondly, government plan create commercial court. Thirdly, government develop internal infrastructure such as transportation, international port in Sihanoukville, Kep and Kampot provinces.

Cambodia’s main exports to the US market were garments, travel products, footwear, bicycles and agricultural products, while the bulk of imports comprised automobiles, machinery, electrical appliances and electronics.

Source: KhmerTimes