The European Union’s threat to withdraw its ‘Everything But Arms’ benefit heightened business risk in Cambodia, and worker-related issues remained in focus in 2019. Despite this, garment units continued to open in the country.

Heightened trade uncertainty resulting from the European Union’s (EU) threat to withdraw the ‘Everything But Arms’ (EBA) benefit intensified business risks in Cambodia’s textiles and garment sector in 2019. Despite this, garment units continued to open, while exports to the US rose.

Cambodia’s economy, underscored by solid exports and strong domestic demand, remained strong, the World Bank said in May, but challenges persisted. Real growth, however, was expected to slightly decelerate to 7 per cent in 2019, down from 7.5 per cent in 2018.

To read complete article, subscribe to January 2020 issue of Fibre2Fashion.

Click here to subscribe to Fibre2Fashion print magazine.