Vietnam now 9th largest trading partner of Singapore

Vietnam has become Singapore's 9th largest trading partner, with two-way trade rising by 16.83% year-on-year to SGD3.39 billion ($2.53 billion) in January, according to latest statistics.

Data from Singapore's corporate management agency revealed that the city-state’s total trade volume in January reached SGD114.15 billion, marking a 6.75% increase from the previous year. Exports rose by 2.97% to SGD 59.4 billion, while imports grew by 11.17%, reaching SGD 54.75 billion.

Among Singapore’s top trading partners, Taiwan, Malaysia, mainland China, and the U.S. led the way, with bilateral trade volumes of SGD14.9 billion, SGD13.2 billion, SGD12.8 billion, and SGD11.21 billion, respectively.

Vietnam ranked as Singapore's 8th largest export destination, with shipments valued at SGD2.56 billion, a year-on-year increase of 16.79%. Vietnamese imports from Singapore reached SGD794 million, making Vietnam the 15th largest import source for the city-state.

Notably, Singapore-origin goods exported to Vietnam surged by 47.89% to SGD759.19 million, while re-exports through Singapore to Vietnam totaled SGD1.84 billion, representing 71% of total exports.

Key Vietnamese exports to Singapore showed remarkable growth, including machinery, mobile phones, and components (46.02%), reactors, boilers, and components (47%), and glass products (58.91%).

Other significant increases were seen in optical instruments, medical equipment, and rice. Meanwhile, Singapore’s main exports to Vietnam also saw growth, such as machinery and equipment (9.33%), petroleum products (107.87%), and pharmaceutical products (96%).

Last year, Vietnam was Singapore’s 11th largest trading partner.

Cao Xuan Thang, commercial counsellor and director of the Vietnam Trade Office in Singapore, warned of potential challenges to the Singaporean economy in 2025, due to trade tensions between major economies, geopolitical conflicts, and possible disruptions in global inflation reduction efforts.

In light of this, Vietnamese enterprises were advised to stay alert to policy changes and product quality standards while embracing digital transformation to enhance their competitive edge.

Thang also suggested that businesses focus on promoting Vietnamese products and brands through international trade fairs and exhibitions to boost their presence in the Singaporean market.