Increased competitiveness of countries in the region, including through the recent EU-Viet Nam free trade agreement and other such agreements, might also threaten Cambodia’s current competitive advantages in the garment industry. Cambodia has been able to exploit its competitiveness and expand market share in traditional export industries in the last decade, gaining market share from economies like China and Viet Nam. But the potential for these industries to continue to propel growth in the future is unclear, with growing competition from other low-cost producing economies such as Myanmar. Garment producers in Cambodia are mostly foreign-owned and generally engaged in low value added, labour-intensive cut-make-trim activities within the value chain, which are potentially more footloose and sensitive to cost pressures.