The US jolts global trade again; Singapore, led by Deputy Prime Minister Gan Kim Yong, responds with calm resolve to shield its economy. The calm before the trade storm
Singapore long played the long game in global trade, anchored by strategy and diplomacy, but the rules of the game have changed. A new 10% US tariff on Singaporean exports has thrown a curveball at one of Asia’s most trade-dependent economies, desepite the two countries’ commitment to a free trade agreement. In response, Singapore’s Deputy Prime Minister since 2024 and Minister for Trade and Industry since 2021, Gan Kim Yong, said, “We are naturally disappointed that despite our strong and long-standing economic and commercial relationship with the US, we are also subject to the same 10% baseline tariff. This isn’t just business; it’s personal.” Singapore vs. South Korea: Two strategies, one battlefield Singapore isn’t the only country navigating headwinds; South Korea is also caught in the crossfire but is taking a notably different path. While Singapore remains composed, South Korea has gone on the offensive.
Battlefront Singapore’s move South Korea’s counter
Leadership Gan Kim Yong stays at the helm Yeo Han-Koo steps in as new trade chief
Diplomatic style Calm, calculated Bold, confrontational
Policy response Budget support + taskforce activation Leadership shake-up + direct US talks
Public messaging We’ve got this We’re not backing down
South Korea is rewriting the playbook, while Singapore is sticking to its original script. The question is: in this fast-moving world with volatile trade deals and political pressure, will quiet confidence be enough to win the game? Singapore’s strategy: Stability with strength While Singapore is not panicking, it is far from passive. Key measures are in motion behind the scenes:
· Economic Resilience Task Force: Activated and on high alert
· Budget 2025: Targeted support for key sectors including manufacturing, wholesale trade and logistics
These industries the backbone of Singapore's trade economy — now face serious turbulence because of the tariffs. “Our households and our businesses will have to be prepared for rough waters ahead,” Gan warned. The endgame: Stability or stagnation? Singapore's approach leans toward long-term stability over short-term spectacle. In the world where bold moves get praise and often win headlines and deals, critics may argue that the city state is “playing it too safe.” As the global trade chessboard continues to shift, the spotlight is on Gan Kim Yong. Will his steady hand steer Singapore through the storm, or will the nation need to pivot to a more aggressive stance?