According to the Lianhe Zaobao report, driven by the biomedical manufacturing, electronics and precision engineering industries, Singapore’s manufacturing output last year increased by 7.3% compared with 2019, the highest growth since 2017. Singapore is committed to turning Singapore into a global business, innovation, and talent center for advanced manufacturing in 2030, with the growth rate in the past 10 years as the goal, and the manufacturing industry will still strive for 50% growth in the next 10 years.
After visiting Singapore’s precision engineering company Univac on the 25th, Singapore’s Minister of Trade and Industry Chen Zhensheng said at a press conference that Singapore remains optimistic about the mid- to long-term outlook for the manufacturing industry and is committed to turning the country into an advanced manufacturing industry in 2030 with global business, innovation and talent. center. When announcing a new 10-year plan, he said that Singapore’s manufacturing industry has grown by 50% in the past 10 years, and the next 10 years will also target the same growth rate.
To achieve this goal, Singapore will implement specific measures including: attracting the world’s top manufacturers to set up companies in Singapore; assisting local manufacturing companies to improve their competitiveness; strengthening local talent training, etc.
It is reported that the current contribution of Singapore’s manufacturing industry to GDP is about 21% or 106 billion yuan, bringing employment opportunities to 450,000 employees, or 12% of the overall labor force. Continue to achieve 50% growth on the existing basis. Chen Zhensheng admits that this is a difficult challenge, but he emphasized that it is not just 50% value growth that attaches importance to, but hopes that more manufacturing industries will develop into advanced manufacturing. Advanced manufacturing does not compete on cost, but on the intellectual property rights, product quality and precision it can create.
However, economists predict that due to the improvement of the comparative basis, the growth of manufacturing output value this year will slow down slightly. According to preliminary data released by the Singapore Economic Development Board on Tuesday ( 26th), Singapore’s manufacturing output in December last year increased by 14.3% year-on-year, achieving double-digit growth for two consecutive months. Excluding the biomedical industry, it is up 19.8% year-on-year. Thanks to the strong growth of the semiconductor industry and computer peripheral accessories and data storage industries, the output value of the electronics industry rose by 51% and 9.3% respectively, followed by the chemical industry and precision engineering industry, which rose by 12.3% and 11% respectively.
JP Morgan Chase ( JP Morgan) economist Wang Xianming said the market demand for technology products down to maintain stability, will support technology products related to production activities.
Lin Xiuxin, an economist at OCBC Bank, is also more cautious. She believes that Singapore’s investment in fixed assets last year reached 17.2 billion yuan, a very strong performance, the highest in 12 years. In addition, the government has formulated the “Manufacturing Vision 2030” and will continue to strive for 50% growth in the next 10 years. The medium-term prospects of the manufacturing industry remain optimistic.
Source: China – ASEAN Business Council