Boosting ties with Latin America a matter of urgency: Alvin Tan

S'pore firms cannot overlook region's great potential amid economic headwinds

- Timothy Goh

Singapore is strengthening ties with Latin America, with such efforts taking on greater importance and urgency amid the global trade uncertainty, said Minister of State for Trade and Industry Alvin Tan.

Speaking at the Singapore Business Federation's Latam (Latin America) Conference on July 31, he noted that the Republic must continue to build connections, with existing and new partners.

"In a world of shifting trade patterns and economic headwinds, Latin America stands out as a region of great potential, one that Singapore and Singapore companies cannot afford to overlook," he said.

While Singapore and the broader Asia-Pacific region are geographically distant from Latin America, Mr Tan said there are common characteristics between the regions, including a young and sophisticated workforce, widespread technology adoption and common interests in areas such as sustainable development and innovation.

Overall trade in goods between Singapore and Latin America grew by more than 20 per cent over the past year, from $28.5 billion to $35.3 billion, with an uptick in the trade of machinery, electronics, petroleum and agricultural goods, he said.

Trade in services between Singapore and Latin America is also growing, in engineering services, telecommunications, computer and information services, and transport services.

"Our strengthening trade architecture at the institution level will continue to promote and support these flows," Mr Tan added.

He also noted that the Pacific Alliance-Singapore Free Trade Agreement (PASFTA) entered into force in May 2025 for Singapore, Chile and Peru. It marks Singapore's 28th FTA and is a major milestone in the Republic's economic ties with the Pacific Alliance.

"We hope the remaining Pacific Alliance member states, Mexico and Colombia, will complete their ratification processes soon.