SINGAPORE: Singapore is likely to fall under a new United States tariff of 15 per cent on all imports, Deputy Prime Minister Gan Kim Yong said on Sunday (Feb 22), urging the country to prepare for a fundamentally changed global trade environment.
Mr Gan's comments came after US President Donald Trump announced the rate increase from an earlier 10 per cent. Details of how the new tariff will be implemented have yet to be released by Washington.
"It is important for us to continue to remind ourselves ... we need to prepare for the long term, and this is the new world that we are facing," Mr Gan told reporters during a media interview at One Punggol Community Centre.
"Our economic strategy review plays a very important part in charting the path forward to strengthen our competitiveness and deepen our resilience, and this is an important part of the work," said Mr Gan, who is also Trade and Industry Minister.
On Friday, the US Supreme Court struck down the president's "Liberation Day" tariffs, ruling that the International Emergency Economic Powers Act did not grant him the authority to impose them.
The White House responded by invoking Section 122 of the Trade Act of 1974, ordering a 10 per cent global tariff for 150 days from Feb 24 – before Mr Trump announced on his Truth Social platform the rate would be lifted further to 15 per cent.
Certain products are exempted from the new tariffs, including energy products, pharmaceuticals and active pharmaceutical ingredients, some electronics and aerospace items, as well as metals used in currency and bullion. Semiconductors and pharmaceuticals are excluded as they may fall under separate Section 232 tariffs, which have not yet been implemented.
The Ministry of Trade and Industry said it is monitoring developments and will seek clarity from US authorities on implementation details, including whether processes for tariff refunds will be put in place.
The ministry noted that according to US Census Bureau data, the US ran a goods trade surplus of US$3.6 billion with Singapore in 2025, higher than the surplus of US$1.9 billion in 2024.
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Mr Gan's comments came after US President Donald Trump announced the rate increase from an earlier 10 per cent. Details of how the new tariff will be implemented have yet to be released by Washington.
"It is important for us to continue to remind ourselves ... we need to prepare for the long term, and this is the new world that we are facing," Mr Gan told reporters during a media interview at One Punggol Community Centre.
"Our economic strategy review plays a very important part in charting the path forward to strengthen our competitiveness and deepen our resilience, and this is an important part of the work," said Mr Gan, who is also Trade and Industry Minister.
On Friday, the US Supreme Court struck down the president's "Liberation Day" tariffs, ruling that the International Emergency Economic Powers Act did not grant him the authority to impose them.
The White House responded by invoking Section 122 of the Trade Act of 1974, ordering a 10 per cent global tariff for 150 days from Feb 24 – before Mr Trump announced on his Truth Social platform the rate would be lifted further to 15 per cent.
Certain products are exempted from the new tariffs, including energy products, pharmaceuticals and active pharmaceutical ingredients, some electronics and aerospace items, as well as metals used in currency and bullion. Semiconductors and pharmaceuticals are excluded as they may fall under separate Section 232 tariffs, which have not yet been implemented.
The Ministry of Trade and Industry said it is monitoring developments and will seek clarity from US authorities on implementation details, including whether processes for tariff refunds will be put in place.
The ministry noted that according to US Census Bureau data, the US ran a goods trade surplus of US$3.6 billion with Singapore in 2025, higher than the surplus of US$1.9 billion in 2024.
Continue reading...