Illustrative image (Photo: AFP)
China and Cambodia will step up the implementation of their free trade agreement (FTA), which took effect from January 1, to benefit businesses and people of both countries, according to a statement by the Ministry of Commerce of China.
Under the deal, over 90 percent of tariff lines in trade in goods for both sides will be zero, and the service market commitment also represents the highest level among the two sides’ agreements with their free trade partners respectively, it said.
At the same time, both sides also agreed to strengthen investment cooperation, and carry out in-depth cooperation on Belt and Road Initiative, e-commerce, economic technologies, said the statement.
According to the ministry, from January to October 2021, trade between China and Cambodia rose 45.9 percent year on year to 10.98 billion USD, exceeding their target of 10 billion USD.
Lim Heng, vice president of the Cambodia Chamber of Commerce, held that trade between the two countries will continue to rise and Cambodia will diversify its exports to China.
Currently, Cambodia has exported rice, cassava, and fresh mango fruits to China, while importing materials for garment and textile production and automobile and motorbike manufacturing.
Last year, Cambodia’s imports from China dropped nearly 7 percent due to restriction measures to prevent COVID-19 spreading, which forced many factories in Cambodia to close./.