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UAE and Cambodia may eliminate tarrifs, cut non-tariff barriers

The CEPA is likely to eliminate tariffs and reduce non-tariff trade barriers. (WAM)
  • Non-oil trade relations between the two grew to $401 million in 2022, marking a 31 percent rise in comparison to 2021.
  • Bilateral FDI between the two touched $3.8 million by 2020, which is likely to increase further with UAE all set to export more

Abu Dhabi, UAE – The UAE and Cambodia have signed a Comprehensive Economic Partnership Agreement (CEPA) to boost bilateral trade, services, and investment cooperation.

The CEPA — signed by Thani bin Ahmed Al Zeyoudi, UAE Minister of State for Foreign Trade, and PAN Sorasak, Cambodia’s Minister of Commerce — is likely to eliminate tariffs and reduce non-tariff trade barriers, local media reports said.

Non-oil trade relations between the two grew to $401 million in 2022, marking a 31 percent rise in comparison to 2021, and a jump of 146 percent compared to 2019, local media reports said.

Bilateral FDI between the two touched $3.8 million by 2020, which is likely to increase further with UAE all set to export machinery, oils and lubricants, and cars and automotive parts to Cambodia, post CEPA.

The UAE also eyes investment opportunities with Cambodia in logistics and infrastructure, travel and tourism projects, and renewable energy.

Al Zeyoudi said food production and agriculture is a key sector of Cambodian economy, which is expected to help the UAE in achieving its food security ambitions.