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SINGAPORE – The US government has removed an official statement that wrongly claimed that Singapore had a bilateral trade surplus with the US, Minister of State for Trade and Industry Gan Siow Huang said on April 7. <\/p>\n
She added that the Government will be attending upcoming public hearings on investigations under Section 301 of the US Trade Act, which will be held from May 5 to 8 in Washington.<\/p>\n
Singapore was named in a Section 301 probe launched by the Office of the US Trade Representative (USTR) on March 11 against more than 16 major economies,<\/span><\/a> focused on alleged excess manufacturing capacity.<\/p>\n The Republic is also involved in a second unfair practices probe<\/span><\/a>, which the trade agency initiated into 60 economies on the importation of goods produced with forced labour.<\/p>\n The USTR\u2019s Federal Register Notice had highlighted Singapore as having a bilateral trade surplus with the US in both goods and services, amounting to US$27 billion (S$34.7 billion) in 2024.<\/p>\n The Ministry of Trade and Industry (MTI) had said it would reach out to clarify the trade data, because Singapore actually recorded a deficit of the same amount.<\/p>\n Ms Gan said in Parliament on April 7: \u201cThe US trade rep has since removed their inaccurate statement from its Federal Register Notice.\u201d<\/p>\n She added that the US had not elaborated on why Singapore was included in the Section 301 investigations, which are ongoing, and that it is not helpful to speculate on the basis or outcomes of these probes.<\/p>\n \u201cIt would also be premature to comment on the potential impact on our export sectors or workers at this juncture, as the details are not yet available,\u201d she added.<\/p>\n \u201cThe Singapore Government will continue to engage the US constructively in the course of these investigations, and will provide further updates when ready.\u201d<\/p>\n Addressing a question by Nominated Member of Parliament Mark Lee, who asked if the Government has assessed the extent to which Singapore\u2019s exports and re-exports to the US were exposed, with heightened scrutiny over forced labour, Ms Gan said that the Republic takes a strong stance and criminalises the practice.<\/p>\n She added that forced labour is a transnational issue, and that an effective international regulatory framework would be needed to investigate and identify these goods.<\/p>\n She noted: \u201cThere\u2019s no internationally agreed available framework for such investigations at the moment.<\/p>\n \u201cSingapore will continue to work with international community through appropriate international platforms like International Labour Organization, as well as bilaterally with like-minded partners, including the US, to address this issue.\u201d<\/p>\n MTI has also said in response to the probe on excess manufacturing capacity that Singapore has \u201cvery healthy\u201d industrial space occupancy rates, that have consistently been at around 90 per cent.<\/p>\n Workers\u2019 Party MP Dennis Tan (Hougang) asked if Singapore will be represented at the Section 301 public hearings.<\/p>\n Ms Gan said the Government will be attending the hearings and encouraged companies that had feedback or input to provide it to MTI, so their concerns will be represented.<\/p>\n Analysts view the moves by the US administration as a step towards rebuilding US President Donald Trump\u2019s tariff arsenal, after his sweeping \u201creciprocal\u201d levies were struck down by the Supreme Court in February.<\/p>\n The temporary global 10 per cent tariff rate imposed under Section 122 \u2013 announced after the court ruling \u2013 expires in July. <\/p>\n By pivoting to investigations under Section 301, the USTR may be authorised to impose even higher levies on goods from countries considered to be engaging in unfair trade practices.<\/p>\n Singapore goods heading to the US are subject to a 10 per cent tariff,<\/span><\/a> with some exemptions such as those on pharmaceuticals and semiconductors. That rate could rise to 15 per cent in the coming months, and there are concerns that the exemptions might be lifted.<\/p>\n<\/div>\n