OSB News

Vietnam has ascended to the rank of Singapore’s 9th largest trading partner.

Posted on by Thao Bui

The Vietnam Trade Office in Singapore reported that the January 2025 statistics from the Singapore Enterprise Regulatory Authority indicate that Singapore’s total trade (imports and exports) with the world reached over 114.15 billion SGD, reflecting a 6.75% increase. Specifically, exports amounted to more than 59.4 billion SGD, up by 2.97%, while imports were nearly 54.75 billion SGD, rising by 11.17% compared to January 2024.

 

In the export turnover, goods originating from Singapore amounted to over 24.67 billion SGD (a decrease of 1.85%), while goods from third countries reached more than 64.74 billion SGD (an increase of 6.7%), accounting for 41.53% and 58.47% of Singapore’s total export turnover, respectively.

In January 2025, the trade turnover between Singapore and 9 out of 15 partners showed positive growth. Some partners experienced significant increases, with remarkable jumps such as Taiwan (up 92.27%), the Philippines (up 25.99%), and the UAE (up 18.7%). Taiwan, Malaysia, China, and the United States are the top four trading partners of Singapore, with total trade volumes of 14.9 billion SGD, 13.2 billion SGD, 12.8 billion SGD, and 11.21 billion SGD, respectively.

Vietnam has risen to become Singapore’s 9th largest trading partner, with a bilateral trade volume exceeding 3.39 billion SGD, marking a 16.83% increase.
In terms of imports, the key import markets for Singapore in January included Taiwan, China, Malaysia, the United States, and South Korea. Vietnam currently ranks 15th among Singapore’s 20 largest import partners, with an import turnover of over 794 million SGD (up 16.97%). Thirteen out of the twenty markets experienced positive growth, with several partners showing significant increases, such as Hong Kong (up over 2.4 times), Taiwan (up 79.42%), and the UAE (up 30.22%).
In January, Singapore’s key export markets were Malaysia (6.75 billion SGD, up 24.86%), Hong Kong (6.58 billion SGD, up 4.68%), and China (6.06 billion SGD, down 31.02%). Vietnam ranked as Singapore’s 8th largest export market, with an export turnover of 2.56 billion SGD, marking a 16.79% increase. Thirteen out of the top twenty export markets for Singapore recorded positive growth, with significant increases in some markets such as Taiwan (up nearly 127%), Malaysia (up 24.86%), and the Philippines (up 20.72%).
Regarding bilateral trade between Vietnam and Singapore, the total import and export turnover between the two countries reached 3.39 billion SGD in January, reflecting a 16.83% increase compared to the same period in 2024. Vietnam’s exports to Singapore amounted to 794 million SGD (up 16.97%), while imports from Singapore to Vietnam were approximately 2.6 billion SGD (up 16.79%).
In the structure of goods exported from Singapore to Vietnam, products originating from Singapore reached 759.19 million SGD, reflecting a significant increase of 47.89%. Meanwhile, goods from third countries exported to Vietnam through Singapore amounted to 1.84 billion SGD, accounting for 71% of the total, with an increase of 7.46%.
When considering the trade balance specifically between Vietnamese goods and those originating from Singapore, Vietnam recorded a trade surplus of approximately 34.8 million SGD.
In terms of export categories from Vietnam to Singapore, all three main export groups continued to grow strongly in January. These include:
– Machinery, equipment, mobile phones, and components, which increased by 46.02%.
– Reactors, boilers, machinery tools, and equipment parts, experiencing a 47% increase.
– Glass and glass products, which surged by 58.91%.
Additionally, other notable sectors that saw strong growth include optical instruments, measuring devices, medical equipment, watches, musical instruments, and assorted accessories, which increased by 60.77%; tobacco and tobacco substitute products, up by 52.87%; and rice and grains, which grew by 36.43%.

Regarding the import sector from Singapore to Vietnam, all three major import groups experienced positive growth. Machinery, equipment, mobile phones, components, and spare parts increased by 9.33%; petroleum and petroleum products surged by 107.87%; and reactors, boilers, machine tools, and spare parts for these machines grew by 2.75%. Several other sectors also saw a sharp increase, such as zinc and zinc products (nearly 1.6 times higher) and pharmaceuticals (up by 96%).

According to Mr. Cao Xuan Thang, Vietnam’s Trade Counselor in Singapore, Singapore’s trade situation with the world in the first month of 2025 continued its positive momentum from the end of 2024, with all key indicators for total bilateral trade, exports, and imports showing positive growth. However, long-term prospects for the entire year of 2025 still face many challenges.

In its report on February 14, 2025, Singapore’s Ministry of Trade and Industry (MTI) maintained its official GDP growth forecast for the country at 1% to 3% for the year. This broad forecast range indicates that MTI anticipates continued uncertainties in 2025, with potential risks that could negatively impact investment, trade, and global supply chain shifts.

Firstly, trade tensions between major economies, along with the risk of escalating geopolitical conflicts, could increase production costs and heighten uncertainty in global economic policies.

Secondly, disruptions in the process of reducing global inflation could lead to prolonged tightening of financial conditions, posing risks of instability in the banking and financial systems. In this context, Singapore’s manufacturing and trade-related service sectors are expected to continue growing in 2025, though at a potentially slower pace compared to 2024. The broad growth forecast range reflects the Singaporean government’s cautious approach, acknowledging that negative factors may persist.

Amid these challenges, Vietnam-Singapore trade in January maintained strong positive growth, with all three key trade indicators rising sharply. This momentum elevated Vietnam to become Singapore’s 9th largest trading partner, the 15th largest exporter to Singapore, and the 8th largest importer of Singaporean goods.

To sustain this growth, industry associations and businesses must closely monitor local developments, particularly new policies and product quality standards. Additionally, they should innovate management methods, adopt digital transformation to reduce production costs and enhance competitiveness, and strengthen trade promotion activities. Participating in international trade fairs and exhibitions will also help boost the presence of Vietnamese goods, promote products, and expand brand awareness among local consumers.

Source: Ministry of Industry and Trade

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