Singapore-ASEAN Trade Hits $295.6B in 2023: Key Insights

10 May, 2024

Singapore-ASEAN Trade Hits $295.6B in 2023 Key Insights

The total trade between Singapore and its Southeast Asian neighbors surged to $295.6 billion in 2023, marking a noteworthy 14% increase from 2019. This significant uptick underscores the pivotal role of the ASEAN region in Singapore's economic landscape. Trade and Industry Minister Gan Kim Yong highlighted this growth trajectory, emphasizing the vital importance of ASEAN markets for Singaporean companies. Notably, direct investment abroad from Singapore to ASEAN also witnessed a substantial rise, reaching $226.1 billion, reflecting a 37% increase from 2018 to 2022.

Despite these promising figures, expanding into ASEAN presents various challenges for Singaporean enterprises. These include uncertainties surrounding demand, a volatile business environment, scarcity of suitable manpower for market development, and the financial costs associated with internationalization efforts. To address these hurdles, Enterprise Singapore (EnterpriseSG) plays a pivotal role, backing approximately 2000 projects aimed at ASEAN market expansion in 2023, a substantial increase from around 700 projects in 2019.

EnterpriseSG's extensive network of Overseas Centres, particularly within ASEAN, serves as vital connections for Singaporean businesses, fostering partnerships and unlocking opportunities in the region. Collaboration with Trade Associations and Chambers (TACs), such as GlobalConnect@SBF, further strengthens support for enterprises venturing into the ASEAN market, ensuring a conducive ecosystem for sustainable growth and success.