Singapore’s non-oil domestic exports dropped 11.3% in August compared with the same month last year, official data showed on Wednesday, falling well short of the 1.0% growth predicted by economists. This decline followed a revised 4.7% fall in July and reflected weakness across both electronics and non-electronic goods.
Enterprise Singapore reported decreased exports to Indonesia, China, and the United States, while shipments to the European Union, Taiwan, and South Korea rose. Exports to the U.S. were hit particularly hard, with a 28.8% annual decline in August after a 42.8% plunge in July, largely due to a 10% U.S. tariff imposed despite Singapore’s free-trade agreement and trade deficit with America.
Although Singapore’s economy performed better than expected in the first half of 2025 as firms sped up production ahead of tariff deadlines, officials warn growth will slow in the second half. Enterprise Singapore forecasts overall non-oil export growth between 1% and 3% for the year but expects some softness later on.
Trade Minister Gan Kim Yong noted that tariffs on Singapore’s trading partners, many with even higher rates, will reduce demand and slow exports to those countries.
“Our exports to other countries, which will be made into products to ship to the U.S., they will be facing higher tariffs, and in turn I think the demand will slow down and our exports to these countries will slow down,” he said.
Facing global trade disruptions and rising protectionism, Singapore is focusing on diversifying markets and building stronger trade partnerships to sustain export resilience. Analysts say the city’s reliance on electronics exports and ongoing supply chain challenges will require innovation and agility to navigate an uncertain outlook.