Logo of Phnom Penh Post newspaper Phnom Penh Post - Jan-Sep Kingdom-Japan trade up 15% to $1.5B

Jan-Sep Kingdom-Japan trade up 15% to $1.5B

Content image - Phnom Penh Post
Cambodia-Japan trade totalled $1.734 billion, up 1.21 per cent over 2020, with exports to Japan clocking in at $1.094 billion, up 2.95 per cent, and imports $640.513 million, down 1.63 per cent in 2021. Heng Chivoan

Jan-Sep Kingdom-Japan trade up 15% to $1.5B

Bilateral commodity trade between Cambodia and Japan in the first nine months of 2022 reached $1.500 billion, up 15.11 per cent year-on-year, while the Kingdom’s trade surplus with the island nation shrunk 16.02 per cent to $295.889 million, according to the General Department of Customs and Excise of Cambodia (GDCE).

Cambodian exports to Japan accounted for $897.695 million, up 8.48 per cent on a yearly basis from $827.494 million, and imports were to the tune of $601.806 million, up 26.65 per cent year-on-year from $475.179 million, GDCE statistics indicate.

Speaking to The Post on October 20, Cambodia Chamber of Commerce (CCC) vice-president Lim Heng said there had been a steady stream of new Japanese companies entering the Cambodian market, with a strong penchant for the Kingdom’s special economic zones (SEZ), which he said has driven up goods exports to Japan.

Heng believes that foreign players see Japanese investment as an indicator of a country’s political stability and security situation, as well as the favourability of its investment laws and strength of its export market.

Japan has also contributed to Cambodia’s economic growth through human resource training as well as by building roads and infrastructure, he said, noting that both countries are signatories to the world’s largest trade pact, the Regional Comprehensive Economic Partnership (RCEP) agreement.

“Japan is a valuable market for Cambodian products, there are loads of goods that the Kingdom sells there,” he said, stating that Cambodia will most likely diversify its exports to Japan going forward.

Inspired by the lucrative Japanese export market, the CCC recently opened a representative office in Sendai, Japan, to “help promote better trade relations between the two countries and also help attract more Japanese investors to Cambodia”, according to Heng.

He expressed hope that direct flights between Cambodia and Japan would resume soon following a Covid-19 hiatus.

Cambodia’s main exports to Japan are garments, footwear, general components, and agricultural products, while import include vehicles, agriculture and other specialised machinery, and electronics, Heng said.

According to the National Bank of Cambodia (NBC), Japan is the fifth biggest investor in Cambodia after China, South Korea, Singapore and Vietnam. Japanese investors in the Kingdom largely operate in industry, banking, hotels and tourism, construction and real estate, and especially supermarkets and retail, restaurants and services.

Last year, Cambodia-Japan trade totalled $1.734 billion, up 1.21 per cent over 2020, with exports to Japan clocking in at $1.094 billion, up 2.95 per cent, and imports $640.513 million, down 1.63 per cent, according to the GDCE. The Kingdom’s trade surplus with Japan expanded 10.2 per cent to $453.116 million.

MOST VIEWED

  • Joy as Koh Ker Temple registered by UNESCO

    Cambodia's Koh Ker Temple archaeological site has been officially added to UNESCO’s World Heritage List, during the 45th session of the World Heritage Committee held in Riyadh, Saudi Arabia, on September 17. The ancient temple, also known as Lingapura or Chok Gargyar, is located in

  • Ream base allegations must end, urges official

    A senior government official urges an end to the allegations and suspicions surrounding the development of Cambodia’s Ream Naval Base, now that Prime Minister Hun Manet has addressed the issue on the floor of the 78th UN General Assembly (UNGA 78). Jean-Francois Tain, a geopolitical

  • Cambodia set to celebrate Koh Ker UNESCO listing

    To celebrate the inscription of the Koh Ker archaeological site on UNESCO’s World Heritage List, the Ministry of Cults and Religion has appealed to pagodas and places of worship to celebrate the achievement by ringing bells, shaking rattles and banging gongs on September 20. Venerable

  • CP denied registration documents by ministry

    The Ministry of Interior will not reissue registration documents to the Candlelight Party (CP). Following a September 21 meeting between ministry secretary of state Bun Honn and CP representatives, the ministry cited the fact that there is no relevant law which would authorise it to do

  • Cambodian diaspora laud Manet’s UN Assembly visit

    Members of the Cambodian diaspora are rallying in support of Prime Minister Hun Manet’s forthcoming visit to the 78th UN General Assembly (UNGA 78) in the US’ New York City this week. Their move is an apparent response to a recent call by self-exiled former

  • After three deferrals, Capital Gains Tax to take effect Jan 1, 2024

    The General Department of Taxation (GDT) will implement the Capital Gains Tax starting January 1, 2024 to after being deferred three times as industrial players warn that the implementation might have some negative impact on the property market growth, which is down due to the economic downturn.