Cambodia Suggests to Japan a Free Trade Agreement between the Two Countries
Japanese Ambassador Ueno Atsushi and Minister of Commerce Pan Sorasak at the seminar on “Trade Facilitation between Japan and Cambodia, and Digitalisation”. Photo: Ministry of Commerce
- By Phoung Vantha
- June 11, 2023 2:07 PM
PHNOM PENH--Cambodia has asked Japan to consider conducting a research study with the idea of concluding a free trade agreement between the two countries.
Speaking at the seminar on “Trade Facilitation between Japan and Cambodia, and Digitalisation,” that was attended by Japanese Ambassador Ueno Atsushi, Minister of Commerce Pan Sorasak said that the ministry has called on the two countries' chambers of commerce to consider the possibility of signing a memorandum of understanding to boost economic, trade and investment cooperation and, as collaborative partners, to assist small and medium enterprises in capacity building and access to finance in the form of investment.
"[We] should consider the possibility of conducting a research study for a free trade agreement between Cambodia and Japan," Sorasak said. He called on Japan to provide more incentives for well-known Japanese companies such as Panasonic, Toshiba, Mitsubishi Electric and Yamaha Cooperation to invest and set up factories in Cambodia.
The minister also thanked the people and government of Japan for their continued support of the Cambodian government in promoting the development of the country's business sector, especially trade facilitation and digital commerce. In regional terms, he said, Cambodia and Japan should continue to work closely to ensure the full implementation of the Regional Comprehensive Economic Partnership (RCEP) and the ASEAN-Japan Comprehensive Economic Partnership Agreement (AJCEP).
As Sorasak explained during the seminar, the Ministry of Commerce has worked on the development of a joint strategy—the Cambodia Trade Integration Strategy (CTIS) 2019-2023—that outlines competition, export diversification, new sources of economic growth an E-commerce strategy aimed at creating an e-commerce ecosystem. These international agreements are part of this strategy.
Among those, the Cambodia-China Free Trade Agreement (CCFTA) entered into force on Jan. 1, 2022, and the Cambodia-Korea Free Trade Agreement (CKFTA) on Dec. 1, 2022. More recently, the United Arab Emirates and Cambodia on June 8 signed a bilateral trade agreement in Phnom Penh.
