Significant opportunities in China for Singapore companies despite gloomy outlook: Gan

DESPITE “greater uncertainty” and a gloomy outlook in today’s world, there remains “significant opportunities” in China that Singapore companies can tap, especially within the digital and green economy spaces, said Minister for Trade and Industry Gan Kim Yong on Monday (Nov 7).

He was responding to the question of how Singapore companies can benefit from China’s focus on high quality and sustainable growth during a Ministerial Dialogue at the Singapore-China Trade and Investment Forum (SCTIF). The dialogue was moderated by Kwee Wei-Lin, a council member of the Singapore Business Federation (SBF).

Indeed, China’s digital economy has grown even more important since the pandemic and was valued at US$7.1 trillion in 2021. This, he noted, is close to 40 per cent of its GDP.

“On the consumer side, China’s e-commerce livestream sector is expected to attract 660 million viewers and achieve US$180 billion in total revenue this year. Online retail sales have exceeded US$1.58 trillion in 2021 and accounted for almost a quarter of China’s total retail sales,” he said.

Gan was the guest-of-honour at this fifth edition of the SCTIF where he delivered the keynote speech and participated in a Ministerial Dialogue. The event was held in a hybrid format with participants attending the forum virtually and physically at Crowne Plaza Shanghai Hongqiao in China as well as the SBF’s office in Singapore.

Singapore is also keen to participate in China’s sustainability efforts, said Gan.

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“For example, renewable energy is one sector Singapore has great interest in. We just announced our hydrogen strategy a couple of weeks ago and this is something we are very keen to explore,” he said.

Gan also called on the US and China to “find a way forward” to repair what he called “the most important bilateral relationship in the world”. Whether they have a stable and manageable relationship has impact on many countries, be it in economic, political, diplomatic or security fronts.

“It is important for China and the US to find a way forward. They can compete with one another, while at the same time have a common space where they can collaborate with one another (and) talk to each other (to) build up an understanding between the two of them,” he said.

Two areas Gan highlighted as requiring global collaboration are sustainability and pandemic control.

“In order for us to ensure sustainable growth, every country has to do their part and every country needs to work with one another to make sure our plans will be implemented and will work to the benefit of everyone,” he said.

Separately, Covid-19 has taught the world the lesson that “no country is safe until every country is safe”, he noted.

“Covid-19 will not be the last ... and therefore collaboration on public health management is very important for us to survive,” said Gan.

SBF brought more than 300 senior business representatives from 50 Singapore companies to the China International Import Expo in Shanghai.

A total of six memoranda of understanding/letters of intent were signed at the SCTIF in the areas of logistics, digital innovation, education and cosmetic products.

The event was organised by SBF and supported by Enterprise Singapore.