North America replaces Europe as largest market for Cambodian apparel

According to Fibre2Fashion's market insight tool TexPro, Cambodia's apparel exports totalled $1,559.853 million in January-March 2024. Of this, North America, mainly comprising the United States and Canada, was the top buyer of the shipments. The shipment to North America was valued at $716.150 million during the period, accounting for 45.91 per cent of the total. Trade with Europe was noted at $326.581 million, which was 20.94 per cent. It slipped to third place among the largest regions for Cambodia’s apparel.

The shipment to Europe has witnessed a steep fall this year, particularly as its share was 34.29 per cent of Cambodia’s apparel shipment during the last year when the trade totalled $3.855 billion, which was 34.29 per cent of its total exports of $11.242 billion. The exports to North America were $4.541 billion in 2023, making up 40.40 per cent of the total. Therefore, Europe's share dropped to 20.94 per cent from 34.29 per cent last year, but North America’s share increased from 40.40 per cent to 45.91 per cent in the first quarter of this year.

Comparing the trade figures from 2019, before the COVID pandemic, there has been a consistent shift in Cambodia's apparel exports from Europe to North America. In 2019, the country exported $4.943 billion in apparel to Europe, which was 42.99 per cent of its total shipments of $11.497 billion in the same period. Europe was the top market for Cambodia's apparel exports, with North America placed at second position with 33.42 per cent, as Cambodia's shipment of apparel to the region was noted at $3.841 billion.

In 2020, the exports totalled $9.671 billion, out of which the shipment to Europe was $3.263 billion (33.74 per cent) and to North America was $3.907 billion (40.40 per cent). Later, the shipment to Europe was $3.314 billion (31.62 per cent) and to North America was $4.679 billion (44.64 per cent) out of total exports of $10.482 billion in 2021. The trade to Europe was $4.223 billion (32.73 per cent) and to North America was $5.884 billion (45.61 per cent) out of total exports of $12.902 billion in 2022, as per TexPro.

Fibre2Fashion News Desk (KUL)