Phnom Penh (MGO) – After the Cambodia-China Free Trade Agreement (CC-FTA) come into effect, bilateral trade reached nearly $ 5 billion in the first 5 months of 2022. But the export to China was down nearly 7%, while import from China to Cambodia increased by more than 31% compared to the same period in 2020, according to the business statistics of the General Department of Customs and Excise of Cambodia.
Five months after the CC-FTA, Cambodia exported products to China for nearly $ 520 million, a decrease of 6.9%. At the same time, China export to Cambodia worth $ 4,470 million, an increase of 31.5% compared to the same period in 2020.
The Decrease in export to China due to the lack of refrigerators for agricultural products, caused the price of refrigerators to increase more than three times compared to before the Covid-19 crisis. China’s measures which check the imported product to prevent the spread of Covid-19 could also be another challenge for Cambodia in importing goods, especially the fresh longan to the Chinese market.
CC-FTA came into effect on January 1, 2022, Cambodia has agreed to exemptions of up to 90 percent of its imports from China. The export from Cambodia to Chin has expected to increase more than 25% every year through this CC-FTA.
In the past, Secretary of State of the Ministry of Commerce Sok Sopheak said that more than Cambodia’s goods can export to China without tax when the CC-FTA come into effect. Of which 95% are non-tariff agriculture products.
Business statistics of the General Department of Customs and Excise of Cambodia stated that in the first five months of 2022, Cambodia has trade volume with other countries in the world of about % 22.4 billion, an increase of nearly 20%. The major export market is the US worth more than $ 3.7 billion, while Cambodia imports from China the most.
Source: Tmey Tmey