Singapore says exports worth US$7.4bil hit by new US tariffs

Singapore exports worth US$7.4 billion are affected by new United States tariffs, Gan told parliament on Wednesday.

He said the tariffs, imposed under Section 301 of the US Trade Act of 1974, would affect about a third of the city-state's exports, including optical instruments and chemical products.

Exempt exports include energy and energy products, certain electronics and aerospace products, as well as semiconductors and pharmaceuticals.

Gan said the US had stated it levied the tariff because Singapore does not have a law prohibiting the importation of goods produced with forced labour, nor an Agreement of Reciprocal Trade with the US committing to introduce such a law.

"Importantly, none of the 60 economies, including those that already have such prohibitions in force, received a full exemption from the tariff," he said, referring to trading partners that have also had a similar tariff imposed, including the European Union and China.

Singapore has said there is no evidence that it is involved in the trade of goods involving forced labour.

Gan said the city-state would need to "consider carefully" what would be involved in an agreement with the US, noting that it may involve "commitments beyond an import prohibition, including export controls or restrictions relating to third countries".

As a major trading hub, he said, the nation's goods and services trade amounts to around S$2.5 trillion each year, of which S$1.4 trillion was in goods, so any import prohibition would have "significant implications".

According to statistics from the Office of the US Trade Representative (USTR), the US trade surplus with Singapore was US$3.6 billion in 2025.