During a conversation at the Economic Club of Washington, DC on 1 May 2024, Singapore’s Minister for Trade and Industry, Gan Kim Yong, discussed the ongoing competition between the United States and China. He stated that while competition is expected to intensify, it is not the most alarming issue. Instead, the absence of effective communication and trust between the two global powers poses a bigger threat.

Gan explained that for Singapore, which is accustomed to competing in an open global economy, the real concern is not the rivalry but the misunderstandings that may arise due to limited communication. He emphasized the need for regular dialogue and engagement to ensure both sides understand each other’s intentions and avoid potential misinterpretations.

The Minister expressed hope that the recent resumption of contact between the US and China would continue, as this is crucial in addressing global challenges such as climate change. He noted that these issues require collective solutions, and cooperation between the two countries is essential for progress.

In his speech, Gan also highlighted the role that businesses can play in improving US-China relations. He encouraged multinational companies, like Siemens, to act as intermediaries, promoting constructive competition and mutual understanding between the two nations.

Regarding Singapore’s position, Gan reiterated the city-state’s role as a gateway to the Asia-Pacific region, particularly ASEAN. He emphasized the need for frank discussions to address the differing concerns of both countries while fostering collaboration that benefits all parties involved.

Gan concluded by affirming Singapore’s commitment to supporting businesses through an efficient government and regulatory system. Despite higher operational costs, he assured investors that the country’s robust infrastructure and business-friendly environment make it a worthwhile destination.

In response to a question about Singapore’s future, Gan acknowledged challenges such as limited land and manpower. However, he reaffirmed the nation’s focus on creating strategic solutions to ensure its economic success.