Future of Investment and Trade Partnership agrees on supply-chain resilience efforts at first meeting

[SINGAPORE] In their first ministerial meeting on Tuesday (Nov 18), Singapore and its like-minded pro-trade partners endorsed a declaration on working together for supply-chain resilience.

“This will enable faster, coordinated responses to major supply-chain risks and disruptions,” said Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong, who chaired the meeting.

The Future of Investment and Trade (FIT) Partnership was launched in September by 14 small and medium-sized countries, to advance “solutions-oriented initiatives” to strengthen the rules-based trading system.

Singapore was one of four co-conveners, alongside New Zealand, Switzerland and the United Arab Emirates (UAE). The other founding members were Brunei, Chile, Costa Rica, Iceland, Liechtenstein, Morocco, Norway, Panama, Rwanda and Uruguay.

At its first ministerial meeting held at Singapore’s Shangri-la hotel on Tuesday, the partnership welcomed two new member countries – Malaysia and Paraguay.

Thirteen of the 16 members endorsed a declaration on supply-chain resilience, which is not legally binding but sets out best practices in response to major risks and disruptions.

Morocco, Rwanda and Paraguay did not sign the declaration. Asked about this at a joint press conference after the meeting, DPM Gan said this was an illustration of the “flexible geometry” within the FIT Partnership.

This means those members that are ready can move forward with initiatives, even as the door remains open for others to join in the future.

Nevertheless, DPM Gan said non-member countries can participate in FIT initiatives, but only if at least 75 per cent of existing FIT members agree. 

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Helene Budliger Artieda, director of Switzerland’s state secretariat for economic affairs, noted that the declaration is just a “first result”.

The workstream, headed by Switzerland, will continue and explore other areas of supply-chain security, she added.

DPM Gan also clarified that the partnership neither intends to replace the World Trade Organization (WTO), nor act as a parallel track to it. He hopes the partnership can instead “complement WTO’s efforts in strengthening the rules-based trading system”.

The FIT Partnership’s next ministerial meeting has been scheduled for mid-2026 in Auckland, New Zealand.

Not “against” any country

Asked whether the FIT Partnership was a “show of solidarity” against US tariffs, DPM Gan said it was not. “It’s not (about) consolidating our efforts to go against any particular country.

“It’s really a recognition that the rules-based training system is very important for all of us.”

He noted that discussions started two years ago, long before the recent tariffs and before US President Donald Trump took office for his second term.

In Tuesday’s declaration, the members committed themselves to closer coordination during major supply-chain disruptions.

This includes sharing information, making efforts to remove non-tariff barriers, and refraining from unnecessary export restrictions on essential goods.

Partners also agreed to expedite customs clearance where possible, and establish national contact points to support rapid response during crises.

Asked how supply-chain resilience would work in practice, and whether it meant stockpiling medicines or essential goods, Budliger Artieda said stockpiling is not part of the current plan. 

DPM Gan added that the declaration sets broad parameters and that operational details, including possible future exercises, will be developed as the workstream evolves.

Budliger Artieda said the initiative reflects “a shared vision for stable, transparent and resilient supply chains”, advocating for continued openness and predictability in trade, even during major disruptions.

“(It is) easier to pick up the phone and ask for assistance when you know that you’re part of a team of countries that have agreed in principle to assist each other,” she added.

Digital trade and technology

On Tuesday, the FIT Partnership members also launched three new workstreams; these were for digital trade, strengthening the rules-based trading system, and technology. 

The first workstream, on digital and paperless trade, will promote the adoption of international standards and legislation to support the use and exchange of digital trade documents.

The second one, on strengthening the rules-based trading system, will “incubate solutions to contemporary trade challenges and be a pathfinder for reform of existing trade structures”, said the members in a joint statement.

The third workstream is on leveraging technology to address current trade frictions. It will provide opportunities for small and medium-sized enterprises specialising in trade technology to test and refine their innovative solutions to be scaled up.

This will explore innovative ways of exchanging goods and services, test new systems for payments and customs processes, and identify fresh areas for investment, said UAE Minister of Foreign Trade Thani bin Ahmad Al Zeyoudi, whose country leads the workstream.

In mid-2026, Singapore will hand over its “coordinating partner” role in the FIT Partnership to New Zealand.

New Zealand’s Minister for Trade and Investment, Todd McClay, said his country learned first-hand during the Covid-19 pandemic that “we can never be too prepared to respond to supply-chain disruption”.

The FIT partnership is an important contribution to collective resilience, he said.

“I look forward to continuing to drive this initiative forward to deliver practical benefits for our businesses, and supporting the rules-based trading system on which we all depend.”