US wants to explore creative solutions to strengthen trade relations with S'pore: DPM Gan

The US wants to explore "creative solutions" to strengthen its trade relations with and facilitate critical exports from Singapore, as the Republic is an important trading partner and friend, said Deputy Prime Minister Gan Kim Yong.

- Ng Keng Gene

Speaking to the media on April 27, DPM Gan, who is also Minister for Trade and Industry, said he had a call with US Secretary of Commerce Howard Lutnick on April 25, in which he explained to Mr Lutnick the nature of bilateral trade and business between Singapore and the US.

Singapore is also negotiating concessions to facilitate the export of pharmaceuticals to the US, said DPM Gan.

The negotiations also touched on ensuring that companies in Singapore have access to high-end AI chips from the US - a critical technology used in areas such as data centres here.

Mr Lutnick had said that the 10 per cent baseline tariff imposed on items imported from Singapore and other countries into the US is not likely to be up for negotiation, said DPM Gan.

However, Mr Lutnick also said "he would like to explore creative solutions to see how we can strengthen bilateral trade between Singapore and US, particularly with regard to critical exports from Singapore to US - exports that are important to us", said DPM Gan.

DPM Gan cited the US' intention to impose sectoral tariffs on certain products it imports, such as pharmaceuticals, as something of great importance to Singapore.

Pharmaceuticals currently make up more than 10 per cent of the Republic's exports to the US, he said, and it is important for Singapore to seek concessions so that pharmaceuticals can continue to be exported to the US.

On access to high-end AI chips for Singapore companies, DPM Gan noted that Mr Lutnick "said that from his perspective, he is concerned about the export controls of these chips, not just to Singapore, but generally".