Phnom Penh, 17 Jun 2025 – Cambodia’s export sector continues to post strong growth, with earnings from garments, footwear, and travel products (GFT) reaching US$6.14 billion in the first five months of 2025, marking a 23.5% increase compared to US$4.97 billion during the same period last year, according to the General Department of Customs and Excise (GDCE).
The breakdown of export performance shows a robust recovery in Cambodia’s traditional manufacturing sectors. Garment and textile exports, the mainstay of the industry, recorded US$4.46 billion, up more than 23% year-on-year. Meanwhile, footwear exports rose to US$836 million, and travel goods exports reached US$842 million, both registering growth of nearly 7%.
The data reflects continued strength in Cambodia’s manufacturing base, despite ongoing global trade uncertainties. The industry comprises over 1,600 factories and provides employment to approximately 913,000 workers, with the vast majority being women. According to H.E. Heng Sour, Minister of Labour and Vocational Training, the sector plays a pivotal role not only in job creation but also in sustaining the national economy.
“The industry not only provides income to workers but also contributes significantly to the national economy. It continues to serve as a strong backbone of Cambodia’s economic growth,” said the Minister in a recent statement.
Diversifying Export Markets Amid Global Challenges
While the United States continues to be Cambodia’s largest single export destination, the industry is beginning to feel the strain of tightening global trade policies and new tariff regimes.
H.E. Penn Sovicheat, Secretary of State and Spokesperson for the Ministry of Commerce, acknowledged these challenges but affirmed the government’s commitment to diversifying Cambodia’s trade portfolio.
“The U.S. remains Cambodia’s largest export market, but at the same time, we are expanding into other markets, including regional partners within the RCEP bloc,” he said, referring to the Regional Comprehensive Economic Partnership, the world’s largest free trade agreement.
2024 Performance Sets High Benchmark
The impressive growth in 2025 builds on a strong performance last year. Cambodia’s total GFT exports in 2024 stood at US$13.92 billion, a 23% increase over the previous year, as per Ministry of Commerce data.
This sustained upward trend underscores the resilience and adaptability of Cambodia’s manufacturing sector. The sector has benefitted from a combination of competitive labor costs, improving infrastructure, and favorable trade agreements, particularly with countries in Asia and Europe.
Looking Ahead
Industry stakeholders are cautiously optimistic. With global demand recovering and regional trade pacts offering new opportunities, Cambodia’s GFT sector is positioned to continue its growth trajectory. However, maintaining competitiveness will require investment in skills, automation, and compliance with international labor and environmental standards.
The Ministry of Commerce, in cooperation with the Ministry of Labour and other stakeholders, is expected to further support the sector through policy reforms and trade facilitation initiatives aimed at enhancing Cambodia’s position in global value chains.
