CHINA SIGN FREE TRADE AGREEMENT WITH CAMBODIA

The negotiation of China-Cambodia FTA started in January 2020, was announced in July and signed in October.

According to the agreement, 97.53% of Cambodia’s products will finally achieve zero tariff, of which 97.4% will achieve zero tariff immediately after the agreement comes into effect. Specific tariff reduction products include clothing, footwear and agricultural products. 90% of the total tariff items are products that Cambodia has finally achieved zero tariff to China, of which 87.5% will achieve zero tariff immediately after the agreement comes into effect. Specific tariff reduction products include textile materials and products, mechanical and electrical products, etc. This is the highest level in all FTA negotiations between the two sides so far.

The head  of  the  International  Department of  the  Ministry  of  Commerce of  China  said that the  signing of  the agreement is a “new milestone” in the development of bilateral economic and trade relations between China and Cambodia, and will certainly push bilateral economic and trade relations to a new level. In the next step, China and Cambodia will perform their own domestic legal examination and approval procedures to promote the early entry into force of the agreement.