Zero Tariffs on Pharma Exports Being Discussed in Singapore-US Trade Talks

US Also Open to Discussing How Republic Can Provide Continued Supply of Chips: Gan

- Tay Hong Yi

Preferential or even zero tariffs on Singapore's pharmaceutical exports to the United States are a possible concession that has emerged in ongoing talks to navigate trade barriers recently put up by America against virtually all its trading partners.

There are also early indications that Washington is open to discussing how Singapore can ensure a continued supply of semiconductors to the US, as well as for the US to continue to supply Singapore with this technology, said Deputy Prime Minister Gan Kim Yong on May 16 at the Ministry of Digital Development and Information in Hill Street.

He was providing updates on the progress made by the Singapore Economic Resilience Taskforce (SERT), which he chairs, with the latest meeting held the previous week.

As there are zero tariffs for what Singapore imports from the US, Washington is instead looking at Singapore to ensure a smoother flow of goods as well as secure its supply chains, said DPM Gan, who is also Minister for Trade and Industry.

At the same time, Singapore is deepening ties with like-minded trading partners, such as its fellow Asean member states.

One avenue will be the upgrading of the Asean Trade in Goods Agreement (Atiga), which has been in force since 2010.

"We are aiming to complete the negotiations by the end of this month, and this is an upgrade to the trade in goods agreement, which is basically a free trade agreement, to further lower tariffs and to remove non-tariff barriers so that we can facilitate trade among Asean members.

"This signals Asean members' commitment to deepen our integration and to strengthen our cooperation among our members," DPM Gan said.