From Suzhou to AI: Singapore, China eye new playbook for economic ties

Singapore and China are looking to the future of their economic ties by exploring new sectors such as artificial intelligence and the green economy, according to Singapore Deputy Prime Minister Gan Kim Yong. In a speech at the FutureChina Global Forum in Singapore, Gan emphasized that the relationship between the two nations has never been static and that each major project undertaken over the years has been a response to the challenges and opportunities of that time.

Gan highlighted how the Suzhou Industrial Park, established in 1994, played a crucial role in China's early industrialization and opening up, while creating opportunities for Singaporean companies. Similarly, the Tianjin Eco-City project, launched in 2008, allowed both countries to explore sustainable urban development. The Chongqing Connectivity Initiative, launched in 2015, combined the strengths of both nations in modern services and connectivity between Western China and Southeast Asia.

Singapore and China's relationship has evolved over the years as they have leveraged their respective strengths. Gan stressed the importance of combining their complementary strengths to seize emerging opportunities together. He cited the recently upgraded China-Singapore free trade agreement as an example of how bilateral agreements provide businesses with more certainty, citing improved market access and transparency for investors and service suppliers.

The Singaporean leader cited artificial intelligence (AI) as an area where the two nations' complementary strengths could be put into practice. Through their Digital Policy Dialogue, Beijing and Singapore exchange perspectives on AI governance and data. Gan urged companies and research institutions to collaborate on practical AI applications to meet business needs and enable workers to use AI to take on new and more complex tasks.

He also emphasized the need for job redesign and workforce development to support companies' transformations.

In terms of the green economy, Gan noted that China has deep technological and manufacturing capabilities, while Singapore excels in finance, connectivity, and project implementation. He pointed to the Tianjin corridor as an example of cooperation that combined trials in alternative fuels, digital solutions, and workforce development, helping businesses and workers prepare for changes in maritime operations.

Ambassador Cao Zhongming of Beijing, speaking at the forum's opening, emphasized that China had learned a lot from Singapore's modernization and continues to do so. Both countries have sought common prosperity for all and a peaceful development path, Gan said. While acknowledging their differences in size and stages of development, Gan stressed that the two nations must now focus on enhancing the quality of their development, moving beyond economic gains to areas such as air quality.

He added that both countries have experiences that could offer other countries a model for their own development.