Singapore and China can drive regional growth in digital, green sectors

Singapore and China can collaborate to boost economic development across Southeast Asia, with a focus on digitalization and the green economy, according to Singapore's Deputy Prime Minister Gan Kim Yong. Both nations have a long history of mutually beneficial cooperation, and Gan believes this trust should be leveraged to enhance Singapore's capabilities and those of the broader Association of Southeast Asian Nations (Asean).

At the FutureChina Global Forum, Gan highlighted connectivity and openness as key drivers of Asia's growth, but cautioned that geopolitical tensions could lead to inward-looking, protectionist policies. To promote resilience, he emphasized the need for stronger domestic capabilities alongside expanded regional connections. The bilateral agreement between Singapore and China offers businesses greater certainty, as both countries have a proven track record in industrial and connectivity projects.

Gan identified artificial intelligence (AI) as a crucial area for deeper collaboration, suggesting that companies and research institutions could work together to develop AI applications. Singapore and China have also signed agreements to establish green and digital shipping corridors, leveraging China's technological and manufacturing strengths alongside Singapore's expertise in finance, connectivity, and project implementation.

Gan stressed that industrial upgrading should encompass local enterprises and workers, and that the benefits of Singapore-China cooperation should extend throughout Southeast Asia. He stressed that industrial upgrading should go beyond trade and investment to include local enterprises and workers in capability-building efforts. By deepening regional integration, Singapore aims to ensure that businesses across the region can build competitive niches in value chains and that workers have pathways to progress.