Singapore's Economic Outlook Dims Under New US Tariffs

In a recent address to parliament, Singapore Prime Minister Lawrence Wong expressed concerns over the United States' new 10% universal tariff rate, describing it as non-negotiable and a significant threat to Singapore's trade-reliant economy.

"The 10% universal rate appears fixed, with no room for negotiation, irrespective of existing trade agreements or balances," Wong stated, highlighting the potential for adverse economic impacts.

Growth Forecasts May Be Revised Downward

With the current growth projections for 2025 standing at 1% to 3%, the government is considering a downward revision. However, Wong remained uncertain about the possibility of a recession ensuing from these developments.