Singapore's July Key Exports Fall More Than Expected as Shipments to US Plunge

Move to front-load orders to beat US tariff deadline begins to hit trade figures: Experts

- Sheila Chiang

Singapore's key exports dropped more than expected in July, reversing from a rebound in June, as shipments to the US plunged more than 40 per cent.

The July data shows that payback from the front-loading of orders to get ahead of higher US tariffs has started to hit Singapore's trade figures, said economists.

With US President Donald Trump's reprieve from those higher tariffs having ended in August and the looming threat of potential sectoral tariffs on semiconductors and pharmaceuticals, Singapore's exports face a tougher and more uncertain future, they added.

Non-oil domestic exports (Nodx) contracted 4.6 per cent in July from a year ago, after a revised 12.9 per cent expansion in June, data from Enterprise Singapore (EnterpriseSG) on Aug 18 showed.

The reading was worse than the 1 per cent fall forecast by economists in a Bloomberg poll.

Key exports to the US, Singapore's single largest export market, plunged 42.7 per cent, while shipments to China fell 12.2 per cent and those to Indonesia dropped 32.2 per cent.

DBS Bank senior economist Chua Han Teng said the weak Nodx data for July could be a sign of the beginning of weaker exports in the second half of 2025, compared with the resilience in the first half.

"Singapore's electronics and biomedical shipments remain vulnerable to potential elevated US levies on semiconductor and pharmaceutical imports, which are currently under review," said Mr Chua.