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As of mid-August, the Asian country will have to apply charges on exports of certain clothing and footwear products.
Companies such as Adidas, Levi Strauss, Ralph Lauren or Under Armor have sent a letter to the Cambodian government over the threat of the country losing its trade preferences.
During 2019, tensions increased between the European Union and the Asian country over the elimination of tariffs, after Brussels determined that Cambodia carried out practices against human rights.
The European Commission is urging the Cambodian government to answer to its report on the situation of human rights in the country to avoid the withdrawal of tariff benefits.
The Chinese Textile Association in Cambodia (Ctac) aims to increase Chinese investments in the garment industry in the country of Southeast Asia.