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Even if garment factories are wholly Chinese-owned and utilise products created in China, they are able to take pleasure in relaxed tax regimes and quotas when exporting to Europe and America, supplied items are assembled in Cambodia. Even so, in August 2020, the EU partially withdrew Cambodia’s EBA privileges as a consequence of human rights fears. This withdrawal impacts twenty% of exports to your EU, mainly garments—that is A significant focus for businesses working within the SSEZ.
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Along with the air quality and local weather transform impacts this will likely have, it might force main global manufacturers with renewable Vitality commitments to stop acquiring within the SSEZ, putting at risk a huge selection of Work.
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