Coronavirus puts Cambodian textile market at risk

Coronavirus puts Cambodian textile market at risk

THE WHAT? Up to 200 Cambodian textiles factories could close at the end of the month due to a lack of fabric, with its main Chinese suppliers remaining shut following the outbreak of the coronavirus.

THE DETAILS Due to the continued closure of the Chinese textiles factories following the virus outbreak during Lunar New Year, Cambodian factories are unable to access the raw materials needed to produce the garments.

Cambodia employs over one million people in the textile industry with 60 percent of its fabric coming from China; neighbouring Vietnam is also experiencing supply issues.

THE WHY? Heng Sour, a spokesperson for Cambodia’s Labor Ministry, said, “In March, we could see as many as 200 factories and enterprises running out of raw materials. The worst-case scenario is that about 160,000 workers will be affected.”

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