Cambodia exported more than $300 million worth of bicycles to international markets in the first four months of 2022, an increase of 54 per cent year-on-year, according to latest figures from the Ministry of Commerce.
Data shows that from January to April 2022, Cambodia’s bicycle exports amounted to $306.47 million. The US was the biggest buyer, accounting for $129.34 million, followed by Germany at $47.99 million.
Bicycle imports to Cambodia, on the other hand, continue to be a small market, totalling $5.03 million during the four month period, a decrease of 14 per cent year-on-year.
Commerce ministry secretary of state and spokesman Seang Thay told The Post that a senior ministry official recently met with Vietnamese counterparts to ensure that the Kingdom’s neighbour continues to sustainably supply raw materials for bicycle production for export to the US and EU.
Thay said that the EU-Vietnam Free Trade Agreement (EVFTA), which took effect on August 1, 2020, obliges Vietnam’s supply of raw materials to Cambodia and other countries to meet certain conditions and adhere to the terms of the pact.
“Cambodia and Vietnam must comply with these terms of agreement to ensure the sustainability of each other’s supply … if there is no clear negotiation on this issue to avoid violating the principles of the agreement in the future, both sides will try to look at other conditions that we need to meet in order for European recognition,” he said.
According to the spokesman, the raw materials or semi-finished products for the production of Cambodian bicycles were imported from Vietnam in “reasonable” quantities, and could not be imported in large quantities due to fears that doing so may deviate from the conditions set by the agreement.
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Author: Hom Phanet
Source: The Phnom Penh Post
Publication date: 17 May 2022