TAFTAC urges Cambodian manufacturers to strengthen supply chain due diligence under new US rules

PHNOM PENH, July 24, 2026 (KPT) – The Textile, Apparel, Footwear and Travel Goods Association in Cambodia (TAFTAC) has urged manufacturers to strengthen supply chain due diligence following the United States’ implementation of a new Section 301 Forced Labour tariff, stressing that exporters must ensure imported raw materials are free from forced labour risks.

In an advisory issued Friday, TAFTAC said the US measure does not target Cambodia’s garment, textile, footwear and travel goods sector directly, but focuses on whether trading partners have established and enforced safeguards to prevent goods produced with forced labour abroad from entering domestic supply chains.

“TAFTAC encourages all members to continue exercising appropriate supply chain due diligence by ensuring that imported raw materials and components are responsibly sourced, maintaining supplier traceability and supporting documentation, and working closely with suppliers to minimize any forced labour risks,” the association said.

TAFTAC noted Cambodia has already strengthened its legal framework by issuing a Joint Ministerial Regulation prohibiting the import of goods produced wholly or partly with forced labour. The measure reflects the government’s commitment to safeguarding supply chain integrity and aligning with international sourcing standards.

The association clarified that the new Section 301 tariff replaces the expired Section 122 global tariff mechanism, rather than adding another 10 percent duty. Cambodia remains relatively competitive, with exports subject to a 10 percent tariff compared with 12.5 percent on several regional competitors.

TAFTAC also highlighted a proposed US tariff‑rate quota mechanism that could benefit Cambodia through the use of US cotton and textile inputs, though details have yet to be announced. The association said it will continue monitoring developments and provide updates to members.