Includes the barriers (tariff and non-tariff) that U.S. companies face when exporting to this country.
Last Published: 6/13/2019

Singapore maintains one of the most liberal trading regimes in the world, but U.S. companies face several trade barriers. Singapore maintains a tiered motorcycle operator licensing system based on engine displacement, which, along with a road tax based on engine size, adversely affects U.S. exports of large motorcycles. In 2017, Singapore further discouraged motorcycle imports by introducing a tiered system of additional registration fees, which serve as a de facto additional tax on motorcycles and significantly increases their price. Compared to the previous flat rate of 15 percent, motorcycle owners must now pay a rate of 50 percent on excess value above approximately $3800 and a rate of 100 percent on excess value above approximately $7600. 

Singapore also restricts the import and sale of non-medicinal chewing gum. For social and/or environmental reasons, it levies high excise taxes on distilled spirits and wine, tobacco products, and motor vehicles.

Services barriers include sectors such as pay TV, audiovisual and media services, licensing of online news websites, legal services, banking, and cloud computing services for financial institutions. Details can be found in the USTR Report on Foreign Trade Barriers that is available online.

As of April 1, 2019, the Singapore Agri-Food and Veterinary Authority (AVA) restructured to form the Singapore Food Agency (SFA) and the Singapore Animal and Veterinary Service (AVS). SFA is under the Ministry of the Environment and Water Resources and oversees all food-related matters including food safety and security. AVS is under the National Parks Board (NParks) and oversees all non-food related animal, plant, and wildlife management matters.   

It is assumed SFA will continue to follow OIE and Codex guidelines. However, the new agency is also inheriting all AVA regulations, many of which have generated ongoing trade barrier issues (mostly SPS) with the United States.  For example, as it stands, SFA requires excessively stringent health certifications for a wide range of uncooked meats, poultry and shellfish despite the United States having rigorous, highly transparent food safety standards. Singaporean food inspectors also regularly pull imported product (that has already passed quarantine and customs inspection) off retail shelves for laboratory testing for preservatives and additives. Additionally, meat imports are frequently visually inspected and subjected to testing for a range of food hazards such as chemical contaminants (e.g. pesticide residues and drug residues such as antibiotics), and microbial contaminants (e.g. bacteria such as E. Coli, Salmonella and Listeria) despite a broad range of contaminant safeguards already being in place in the United States prior to export. Regarding Pathogen Reduction Treatments (PRTs), SFA only allows nine out of the 41 antimicrobial washes currently used in the United States (FAS Singapore and industry are working on approval for additional PRTs in Singapore). 
 As for U.S. pork and pork products, SFA requires U.S. fresh and chilled pork products to be tested for trichinae even though it is very rarely found in U.S. commercial swine due to stringent U.S. biosecurity protocols. The trichinae testing is both expensive and time consuming, and thus creates a barrier to trade. SFA also imposes excessively strict shelf life requirements on chilled, frozen, and processed meat/poultry products that limit the time after slaughter/manufacture a product can enter Singapore.

 The United States and Singapore concluded discussions in 2015 that allowed for a wider range of U.S. beef products into the Singapore market. These products include bone-in fillets and a diverse variety of processed beef and offal products. Prior to this agreement, Singapore restricted U.S. beef to only boneless beef from cattle less than 30 months of age. For beef offal and processed products, although the United States has been classified as risk-negligible since 2013 by the OIE, Singapore still applies added import requirements. Specifically, U.S. establishments exporting these products are required to register and send pre-approval documentation to SFA prior to export. After successful discussions between APHIS and AVA in 2017, temporary bans of U.S. poultry due to HPAI and LPAI outbreaks have been reduced from State/county levels to a 10 km radius from the affected premises. 

There are no restrictions on foreign ownership of business in Singapore, except for national security reasons and areas such as air transportation, public utilities, newspaper publishing, and shipping.  Singapore is an open economy and encourages trade and investment into the country.

Restrictions on Selling to the Government of the Country
Singapore is a signatory to the WTO Agreement on Government Procurement. The U.S.-Singapore FTA provides increased access for U.S. firms to Singapore’s central government procurement. U.S. firms generally find Singapore to be a receptive, open, and lucrative market. The Singaporean government procurement system is considered by many American firms to be fair and transparent. However, some U.S. and local firms have expressed concerns that government-owned and government-linked companies (GLCs) may receive preferential treatment in the government procurement process. Singapore denies that it gives any preferences to GLCs or that GLCs give preferences to other GLCs. Procurement recommendations are made at the technical level and then forwarded to management for concurrence. Bidders should work closely with the project manager to determine the relative importance of decision criteria such as technical capability and price. Bidders must meet the specifications set out in the tender. Post mortem hearings or meetings for losing bidders are not required or common. Government procurement regulations are contained in Instruction Manual 3, available from the Ministry of Finance. The Singapore Government also advertises its tenders on its website.
 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.