Singapore Disputes US Trade Surplus Data for 2024
The Singapore government has disputed data from the United States claiming that the city-state recorded a trade surplus with Washington in 2024.
According to Singapore, official US government data actually shows a trade deficit between the two nations that year.
The data discrepancy emerged after the US Trade Representative (USTR) announced investigations into 16 economies, including Singapore, this week under Section 301 of the 1974 Trade Act.
The investigation focuses on alleged structural overcapacity and overproduction in the manufacturing sector.
However, Singapore’s Ministry of Trade and Industry asserted that the figures do not align with data released by the US government itself.
Citing data from the US Bureau of Economic Analysis, Singapore stated that it actually recorded a goods trade deficit with the US of 1.7 billion US dollars in 2024.
Meanwhile, Singapore’s services trade deficit with the US was recorded at 25.1 billion US dollars.
Beyond trade balance matters, the USTR notice also cited Singapore’s continued expansion of manufacturing capacity despite claims of declining industrial estate occupancy rates.
Singapore’s government disputed this assertion.
The Ministry of Trade and Industry stated that industrial estate occupancy rates stood at approximately 90 per cent and remained very healthy and stable.
Singapore also emphasised that land in the country is severely limited, whilst land use requirements across various sectors continue to increase.
Consequently, the land area allocated for industrial activities has tended to decrease over time.
Singapore stated it would provide updated information once available and invited businesses and stakeholders to submit feedback.
This exchange of statements reflects the widening scope of Washington’s latest trade policy initiatives.
An investigation under Section 301 can pave the way for retaliatory measures, including the imposition of additional tariffs, following a public hearing process.
For Singapore, which is heavily dependent on international trade, and for global supply chains that frequently pass through the country, how the US calculates trade balances and manufacturing capacity could potentially bring wider implications.