High U.S. tariffs hurt Cambodian garment sector

October 8, 2008 at 1:27 am Leave a comment

PHNOM PENH, Oct. 7 (Xinhua) — High U.S. tariffs are hurting Cambodia’s garment sector, with the industry complaining that high import costs and a slowing U.S. economy could sink the Kingdom’s key industry, state media reported Tuesday.

In 2007, Cambodia paid 419 million U.S. dollars in tariffs on 2.46 billion U.S. dollars worth of exported goods, meaning the industry is paying an average 17 percent tariff, the Phnom Penh Post said, citing a new report by the Progressive Policy Institute, a centrist U.S. think tank.

The average U.S. tax on imports is 1.3 percent, while Saudi Arabia pays only 0.1 percent on the goods it exports to the U.S., the Post said.

Cambodia has already seen a 500 million U.S. dollars drop in exports to the U.S. in the first eight months of this year compared to the same period last year, said Kaing Monika, externalaffairs manager at the Garment Manufacturers Association of Cambodia (GMAC).

He added that the sector has suffered a loss of about 20,000 workers.

Garments have been hard hit by the U.S. slowdown, with clothing sales down in 2008.

Cambodia sells about 70 percent of its clothing to the U.S. market, making it highly vulnerable to fluctuations in the U.S. economy and Washington’s trade policies.

 
Editor: David Du
Advertisements

Entry filed under: Economy and Trade. Tags: , .

Senior opposition party leader defects to Cambodia’s major ruling party Cambodia gets $35 million in emergency food aid

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Subscribe to the comments via RSS Feed


October 2008
M T W T F S S
« Sep   Nov »
 12345
6789101112
13141516171819
20212223242526
2728293031  

Current visitors

counter

Blog Stats

  • 93,342 hits

%d bloggers like this: