Home / Knowledge / News / Apparel/Garments / Koreans plan to move base from China to Cambodia
Koreans plan to move base from China to Cambodia
Jul '10
Apparel firm owners of South Korea, with plants in China have been planning to shift base to the Kingdom of Cambodia, to benefit from cheap labour there, informed, South Korean Chamber of Commerce President, Nam-Shik Kang.

Owing to increasing wages of labourers in China, quite a few investors from Korea are intending to relocate their manufacturing base to Cambodia, added Kang.

The reason behind the increasing wages of Chinese work force is that most of them are now moving towards the rapidly growing IT and automobile industries, wherein they can demand for increased and improved pay packages.

Hence, in order to retain workers in apparel firms, the Chinese government was agreeing with the demands for increasing wages. But apparel firms cannot survive in China with such high wage structures and therefore factory owners are now looking at shifting manufacturing base to other nations such as Cambodia, averred Kang.

The apparel industry of Cambodia is one of Kingdom's biggest exporters. In 2009, the sector was adversely affected, as exports reduced by 15.83 percent to $2.658 billion, informed Ministry of Commerce.

However, Kang's comments have come at a time, when the government decided to increase the minimum wage for apparel firm labour force in Cambodia to $61 from $50 per month.

But Oum Mean, Secretary of State from the Ministry of Labour and Vocational Training informed that, Cambodia should take utmost benefits from the new interest of Chinese production units, who are lured to the Kingdom owing to cheap labour, or else investors might run away, leaving Cambodian labourers to suffer.

As of now, about 35 South Korean apparel firms are operating in the Kingdom, informed Kang, and the apparel segment enters a period of meek growth, especially after a fall in US retail demand that had affected exports in 2009.

However, during the first five months of 2010, apparel exports of Cambodia increased to over 11 percent as against the first five months of 2009.

Fibre2Fashion News Desk - India

Must ReadView All

Apparel/Garments | On 26th Oct 2016

SGS develops 4C chemical management model for apparel

SGS, a leading inspection, auditing, certification, testing, and...

Textiles | On 26th Oct 2016

Platinum Equity acquires International Textile Group

International Textile Group (ITG) has been acquired by Platinum...

Textiles | On 26th Oct 2016

Whitehouse & URI Business Centre start RI textile network

Senator Sheldon Whitehouse and the University of Rhode Island...

Interviews View All

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

Awen Delaval

'Natural fibres are appreciated for traditional authenticity'

Dharmendra Shah
Ozone PB Spintex Limited

‘We have made huge investments to ensure quality yarn production.’

Marcel Alberts

Coating at a fibre level is a practice not usually seen in the...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Igor Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search