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OVERVIEW OF CAMBODIA TRADE REGIME

 

The legal framework for import and export tariffs is based on the Law on Import and Export Duties of September 15, 1989 with subsequent modifications and decisions of the Ministry of   Economy and Finance the most recent is the Decision on the Implementation of Customs Tariffs No. 002 of September 14, 1997. The tariff nomenclature was established pursuant to the Sub-Decree on Import and Export Tariff of July 26, 1993 and later clarified in the Instruction letter No. 187 of the Council of Ministers on the Amendment of Custom Tariff Nomenclature of August 30, 1993. A new tariff rate system was introduced based mainly on relatively broad tariff classification at the 4digit Harmonised system or HS 4 level. Both import and export tariffs consist of only ad valorem duties. The tariff structure consists of four columns and at present, only MEN duty rates are used, as there are no preferential tariff duties.

Broad tariff bands were employed, corresponding more or less to whether goods were final goods or raw materials. This is referred to as a “cascadingâ€