Logo of Phnom Penh Post newspaper Phnom Penh Post - Meng: FTA with China will help us forget EBA

Meng: FTA with China will help us forget EBA

Content image - Phnom Penh Post
CCC’s Kith Meng is confident that an FTA with China would exclipse any financial losses caused by the partial EBA suspension. Hin Pisei

Meng: FTA with China will help us forget EBA

The loss of trade preferences in Europe would be more than offset if Cambodia manages to enter a free trade agreement (FTA) with China, said Cambodian Chamber of Commerce (CCC) president Kith Meng.

Meng on Tuesday said landing an FTA with the second-largest economy in the world will boost all sectors of economic activity in the Kingdom, allowing Cambodians to finally forget the losses incurred by the EU’s recent decision to partially withdraw the Everything But Arms (EBA) scheme.

He was speaking at the Cambodia Customs Forum on Tuesday, an event organised by CCC in collaboration with the General Department of Customs and Excise of Cambodia (GDCE).

“Cambodia is currently in talks with our Chinese friends to enter an FTA. If Cambodia were to have an FTA with China, I believe people will stop talking about the EBA. A lot of new factories will open up,” Meng said.

The real estate sector stands to reap enormous benefits from such a deal, he said, adding that: “If you wish to sell land, please wait a bit longer. Wait until we have the FTA, or you’ll regret it.”

In a press release issued last week, the Ministry of Economy and Finance said the first round of negations for the FTA have concluded. Negotiations will continue soon, and the deal is expected to be signed before the end of the year.

The ministry said the FTA would allow Cambodia to expand and diversify exports to the Chinese market as the Kingdom would enjoy preferential tax treatment. The agreement will reduce unnecessary procedures that hamper trade.

Cambodia Freight Forwarders Association president Sin Chanthy said an FTA with China would bolster economic growth, but noted that Cambodia must work on enhancing the quality of its products to make the most of the agreement.

“Trade between Cambodia and China is already quite large, so having this trade agreement will be good for economic growth in all sectors,” he said.

GDCE director-general Kun Nhem said Cambodia is now focusing on reforming its institutions, strengthening law enforcement, and improving the investment and business environments.

“Cambodia is implementing deep reforms and strategies in all areas,” he said.

Cambodia’s exports were worth $10.9 billion in the first nine months of last year, with China ranking as the fourth-largest buyer of Cambodian goods and accounting for seven per cent of exports, a National Bank of Cambodia report said.

MOST VIEWED

  • Wing Bank opens new branch in front of Orkide The Royal along Street 2004

    Wing Bank celebrates first anniversary as commercial bank with launch of brand-new branch. One year since officially launching with a commercial banking licence, Wing Bank on March 14 launched a new branch in front of Orkide The Royal along Street 2004. The launch was presided over by

  • Girl from Stung Meanchey dump now college grad living in Australia

    After finishing her foundational studies at Trinity College and earning a Bachelor’s degree from the University of Melbourne in 2022, Ron Sophy, a girl who once lived at the Stung Meanchey garbage dump and scavenged for things to sell, is now working at a private

  • Ministry orders all schools, public and private, to close for SEA Games

    From April 20 to May 18, all public and private educational institutions will be closed to maintain order and support Cambodia's hosting of the 32nd SEA Games and 12th ASEAN Para Games, said a directive from the Ministry of Education, Youth and Sport. Cambodia will host the

  • Wat Phnom hornbills attract tourists, locals

    Thanks to the arrival of a friendly flock of great hornbills, Hour Rithy, a former aviculturist – or raiser of birds – in Kratie province turned Phnom Penh tuk tuk driver, has seen a partial return to his former profession. He has become something of a guide

  • Almost 9K tourists see equinox sunrise at Angkor Wat

    Nearly 9,000 visitors – including 2,226 international tourists – gathered at Angkor Wat on March 21 to view the spring equinox sunrise, according to a senior official of the Siem Reap provinical tourism department. Ngov Seng Kak, director of the department, said a total of 8,726 people visited Angkor Wat to

  • Angkor Beer strengthens national pride with golden new look and fresher taste

    Angkor Beer – the "Gold of Angkor" – has a new look, one that is more stylish and carries a premium appeal, as well as a fresher taste and smoother flavour, making it the perfect choice for any gathering. Angkor Beer recently launched its new design, one