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Cambodia gains market share in swiss apparel sector

Cambodia has made notable strides in expanding its footprint in global apparel markets, particularly in Switzerland. According to recent trade data, Cambodia’s apparel exports accounted for 3.14% of Switzerland’s total apparel imports in early 2025, marking a significant increase from previous years.

This growth reflects Cambodia’s improved manufacturing infrastructure and competitiveness in cost-effective garment production. The country’s factories, primarily clustered around Phnom Penh and Sihanoukville, are increasingly equipped with modern machinery and quality control systems. These upgrades have enabled Cambodian exporters to meet the high standards required by European buyers.

Trade analysts suggest that Cambodia’s preferential trade arrangements under the EU’s Everything But Arms (EBA) initiative have played a critical role. While Switzerland is not part of the EU, it has a number of bilateral agreements that align with EBA principles, making Cambodian garments attractive due to lower duties.

Furthermore, Western brands are diversifying their sourcing away from China due to rising costs and geopolitical tensions. This has opened doors for Cambodian manufacturers, who offer a blend of price competitiveness and improving compliance with labor and environmental standards.

Swiss retailers have also shown growing interest in sourcing ethically produced goods, and Cambodia’s partnership with organizations like Better Factories Cambodia (a joint ILO and IFC initiative) has helped its image as a responsible sourcing destination.

However, challenges remain. Labor unrest, wage concerns, and occasional allegations of non-compliance still pose risks. Yet the Cambodian government has recently taken steps to enhance working conditions and provide stability to the garment workforce through revised labor laws and digital payroll systems.

If this upward trend continues, Cambodia could position itself as a strong alternative to traditional sourcing giants in Asia. For Swiss brands seeking resilient, compliant, and cost-effective supply chains, Cambodia is emerging as a noteworthy player in 2025.

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