How DHL Express transforms the Cambodian textile & garment industry

The textile and garment industry has long been a cornerstone of Cambodia's economy, contributing significantly to this Asian country's export revenue and job creation. According to Statista, revenue has risen steadily from US$155 million in 2014 to US$266 million in 2023, with the market expected to grow a further 3.87% annually from 2023 to 2027. 

Evolution of Cambodia’s textile & garment industry

Cambodia's textile industry has a rich historical context. 

Traditionally, weaving and garment production was localised, with local artisans using traditional looms to create intricate textiles. However, in the past few decades, the textile and garment industry has expanded rapidly. According to Fibre2Fashion, this is largely driven by favourable government policies, increased foreign investment, and access to global markets due to its strategic position in the Greater Mekong Sub-region (GMS). 

Today, Cambodia is recognised as a key player in the global textile and garment industry, known for its exceptionally high-quality export garments and competitive prices. Many companies in the country operate as contract manufacturers for large multinational brands such as H&M, Adidas, and Puma, according to Fibre2Fashion.

How DHL Express helped further transform the textile & garment industry

With the rise of the Cambodian textile and garment industry on the global stage, shipping companies like DHL Express Cambodia have played a pivotal role in facilitating its growth and success. 

1. Streamline supply chain processes

One of the key challenges in the textile and garment industry is managing complex and time-sensitive supply chains. From sourcing raw materials and production to quality control and final delivery to customers, each step requires meticulous coordination to meet strict deadlines and maintain product integrity. 

As a global leader in logistics and express delivery services, DHL Express has helped streamline supply chain processes for textile and garment manufacturers in Cambodia. By offering timely delivery and implementing advanced tracking and monitoring systems, manufacturers have real-time visibility into shipments, so that products are delivered on time to their intended destinations.

2. Enable global market access

Proper customs clearance expertise is also essential for the Cambodian textile and garment industry. It is crucial to know how to navigate the complexities of international trade regulations and documentation, especially when dealing with large volumes of products crossing borders.

DHL Express understands the specific requirements and challenges faced by the textile and garment industry, such as the classification of various products, valuation, and rules of origin. By leveraging our expertise, manufacturers can efficiently navigate the complexities of customs procedures, ensuring shipments comply with the necessary regulations and documentation requirements. This helps to prevent delays, penalties, or even the confiscation of goods, providing a smooth and uninterrupted flow of products across international borders and opening up global market access.

3. Sustainability and corporate social responsibility

In light of growing concerns for environmental sustainability driven by increasing environmental regulations and greater consumer demands, the logistics sector must embrace eco-friendly practices. 

We have made a firm commitment to achieving complete emission elimination by 2050, implementing various initiatives such as:

• GoGreen Plus: To reduce carbon emissions from air freight by transitioning to SAF.
• Sustainable Marine Fuel (SAF): Decrease the reliance on heavy fuel oil by switching to sustainable aviation fuel (SAF).
• Electric vehicles: Aims to have a minimum of 60% electric vehicles for last-mile deliveries by 2030.