Cambodia’s Trade Soars to $54.74 Billion in 2024, Fueled by RCEP and Bilateral FTAs
PHNOM PENH, Jan. 10 (Xinhua) — Cambodia’s international trade volume surged to $54.74 billion in 2024, marking a 16.9% increase from the previous year’s $46.82 billion, according to an official report released by the A Closer Look at Cambodia’s Trade Performance
Table of Contents The report revealed that Cambodia’s total exports reached $26.2 billion, a 15.7% year-on-year increase,while imports climbed to $28.54 billion, up 18%. The Southeast Asian nation’s top five trading partners include China, the United States, Vietnam, Thailand, and Japan, reflecting its integration into both regional and global markets. Key exports included garments, footwear, travel goods, bicycles, car tires, and agricultural products such as rice, rubber, cassava, bananas, mangoes, and longans. On the import side, Cambodia brought in petroleum, vehicles, machinery, construction materials, electronic appliances, and consumer goods. The regional Extensive Economic Partnership (RCEP), which came into effect on January 1, 2022, has been a game-changer for Cambodia’s trade landscape.Comprising 15 Asia-Pacific countries, including the 10 ASEAN member states and their trading partners—China, japan, South Korea, Australia, and New Zealand—the RCEP has provided Cambodia with preferential tariffs and access to a market of approximately 2.3 billion people. Penn sovicheat, Secretary of State and Spokesperson for the Ministry of Commerce, emphasized the transformative impact of the RCEP and Cambodia’s bilateral free trade agreements (FTAs) with China, South Korea, and the United Arab Emirates. “These regional and bilateral ftas have served as a catalyst for our long-term and lasting trade growth,” Sovicheat told The Role of RCEP and Bilateral FTAs
Experts weigh In on Cambodia’s Trade future
Hong Vanak, director of the international economics department at the international Relations Institute of Cambodia, highlighted the long-term benefits of these trade agreements.
“These free trade pacts have provided Cambodia’s products with access to a huge market of approximately 2.3 billion people,” Vanak said.
Thong Mengdavid, a lecturer at the Institute for International Studies and Public Policy of the Royal university of Phnom Penh, praised the RCEP as a model for multilateralism and free trade.”In an era marked by rising protectionism and geopolitical uncertainties, the RCEP has emerged as a beacon of multilateral cooperation,” mengdavid noted. “RCEP, the world’s largest free trade agreement, has demonstrated its transformative potential in bolstering regional economic growth, enhancing trade liberalization, and fostering deeper integration among its members.”
Key Trade Data at a Glance
| Metric | 2024 | 2023 | Change |
|————————–|——————-|——————-|——————-|
| Total Trade Volume | $54.74 billion | $46.82 billion | +16.9% |
| Exports | $26.2 billion | $22.65 billion | +15.7% |
| Imports | $28.54 billion | $24.17 billion | +18% |
| Top Trading Partners | China, USA, Vietnam, Thailand, Japan | – | – |
Looking Ahead
With the RCEP and bilateral FTAs continuing to drive growth, Cambodia’s trade outlook remains robust. Sovicheat expressed confidence in the kingdom’s ability to sustain this momentum.
“With preferential tariffs offered under the RCEP, Cambodia’s exports to other RCEP members will definitely continue to grow in coming months and years,” he said.
As Cambodia cements its position as a key player in global trade, the kingdom’s strategic partnerships and commitment to free trade are set to unlock even greater opportunities in the years to come.
— In 2024, Cambodia’s international trade volume reached an impressive $54.74 billion, marking a 16.9% increase from the previous year. This growth is largely attributed to the kingdom’s strategic participation in the Regional Comprehensive Economic Partnership (RCEP) and its bilateral free trade agreements (ftas) with key partners like China, South Korea, and the United Arab Emirates.To delve deeper into this remarkable progress,we sat down with Dr.Sopheak Chan, an expert in international trade and economics, to discuss Cambodia’s trade trajectory and the role of these agreements in shaping its future. Senior Editor: Dr. Chan, Cambodia’s trade volume has seen a important boost in 2024. How has the RCEP contributed to this growth? dr. Sopheak Chan: The RCEP has been a transformative force for Cambodia. By providing preferential tariffs and access to a market of approximately 2.3 billion peopel, it has opened up unprecedented opportunities for Cambodian exporters. the agreement has not only reduced trade barriers but also enhanced Cambodia’s competitiveness in key sectors like garments, agriculture, and manufacturing. This has directly contributed to the 15.7% increase in exports we’ve seen this year. Senior Editor: Beyond the RCEP, Cambodia has also signed bilateral FTAs with countries like China and South Korea. How do these agreements complement the RCEP? Dr. Sopheak Chan: The bilateral FTAs are crucial because thay provide cambodia with tailored trade benefits that go beyond the RCEP framework. For instance, the FTA with China has given Cambodian products like rice, bananas, and mangoes easier access to one of the world’s largest consumer markets. Similarly, the agreement with South Korea has boosted exports of footwear and travel goods. These agreements act as catalysts, attracting more foreign direct investment (FDI) and fostering long-term trade relationships. Senior Editor: Cambodia’s top trading partners include China, the United States, Vietnam, Thailand, and Japan. What are the key products driving this trade? Dr. Sopheak Chan: Cambodia’s export portfolio is quiet diverse. Garments and footwear remain the backbone of our exports, but we’re also seeing significant growth in agricultural products like rice, rubber, and cassava. additionally,niche products such as bicycles and car tires are gaining traction in international markets.On the import side, Cambodia relies heavily on petroleum, machinery, and construction materials to support its growing infrastructure and industrial sectors. Senior Editor: While the numbers are impressive, what challenges does Cambodia face in sustaining this growth? Dr. Sopheak Chan: One of the main challenges is ensuring that our industries remain competitive in the face of rising global protectionism and geopolitical uncertainties.Additionally, we need to address infrastructure gaps and improve logistics to reduce trade costs. However, the opportunities far outweigh the challenges. With the RCEP and bilateral FTAs in place, Cambodia is well-positioned to attract more FDI and diversify its export base. The kingdom’s commitment to free trade and multilateralism will continue to unlock new opportunities in the years to come. Senior Editor: What’s your outlook for Cambodia’s trade in the next five years? Dr. Sopheak Chan: I’m optimistic about Cambodia’s trade future. The RCEP and bilateral FTAs will continue to drive growth, and we’re likely to see further diversification of our export markets. As Cambodia cements its position as a key player in global trade, I expect the kingdom to attract more investments in high-value sectors like technology and renewable energy. The government’s proactive approach to trade policy and its focus on improving the business surroundings will ensure that Cambodia remains a competitive and attractive destination for global trade and investment. For more insights into Cambodia’s trade growth, explore the latest updates from the General Department of Customs and Excise. This HTML-formatted interview is designed for a WordPress page and provides a natural, engaging conversation that aligns with the article’s key themes. It incorporates relevant keywords and maintains a professional tone while offering valuable insights into Cambodia’s trade growth.
For more insights into Cambodia’s trade growth, explore the latest updates from the Cambodia’s Trade Soars to $54.74 Billion in 2024: Insights from RCEP and Bilateral FTAs
The Impact of RCEP on Cambodia’s Trade Growth
Bilateral FTAs: Catalysts for Long-Term Growth
cambodia’s Top Trading Partners and Key Exports
Challenges and Opportunities Ahead
Looking Ahead: Cambodia’s Trade Future
Related posts:
