Trump Tariffs: Singapore to Form Task Force to Support Businesses, Workers

Prime Minister Lawrence Wong announced that Singapore will establish a national task force to assist businesses and workers in response to extensive new US tariffs that may hinder economic growth and affect jobs and wages. 

The task force, led by Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong, will feature members from Singapore's economic agencies, the Singapore Business Federation, the Singapore National Employers Federation, and the National Trades Union Congress. Characterizing the worldwide situation as "dynamic," Mr. Wong stated in a parliamentary ministerial address that the task force will assist businesses and employees in tackling current uncertainties, bolstering resilience, and adjusting to a new economic environment. 

The tariffs are anticipated to slow down global growth in the short term, which will affect external demand for Singapore's export-dependent industries like manufacturing and wholesale trade. The global uncertainty and subdued sentiment will also affect some of the services industries like finance and insurance, according to Mr Wong, who is also the finance minister.

“Slower growth will mean fewer job opportunities and smaller wage increases for workers. And if more companies face difficulties or relocate their operations back to the US, there will be higher retrenchments and job losses,” he said.

The newly established task force is still finalizing its structure and primary responsibilities, but one of its likely focuses will be on communication and sharing information, he mentioned. 

For instance, the union is part of the task force due to expectations that employment could be impacted in the medium to long term, alongside a significant reorganization of the economy. Representatives from the private sector will assist the task force in connecting with companies and gaining a deeper insight into on-the-ground challenges.