New Grant for Firms, More Support for Workers Amid Tariff Concerns

S'pore Taskforce Gives Update of Its Work; Republic Has Not Received US Tariff Letter

- Timothy Goh

Singapore companies will be able to tap a new grant to help them adjust to the new tariff environment, announced the Singapore Economic Resilience Taskforce (SERT).

The Business Adaptation Grant, to be launched by October 2025, will be capped at $100,000 per company and requires co-funding by firms, Minister for Manpower Tan See Leng said as the task force provided an update of its work so far on July 10.

Small and medium-sized enterprises (SMEs) will receive a higher level of support, while larger companies will be eligible for a smaller quantum. More details will be announced in October.

Dr Tan said the grant will support two broad groups of businesses.

For firms that export to or operate in overseas markets, it will cover advisory services related to free trade agreements, trade compliance, legal and contractual matters, supply chain optimisation and market diversification.

For businesses with local or overseas manufacturing operations, the grant can help to defray reconfiguration costs such as logistics and inventory-holding expenses.

Dr Tan noted that it would not be possible for the Government to cover every aspect of business operations or reach every firm with local, regional or international exposure, but the grant has been structured to differentiate between SMEs and larger firms.

"SMEs will receive more generous support, as they account for about two-thirds of Singapore's workforce, with a significant proportion being Singaporeans," he said.

The July 10 press conference was attended by Deputy Prime Minister Gan Kim Yong, who chairs the task force; Minister for Digital Development and Information Josephine Teo and Dr Tan.