Sourcing in Singapore

Overview by
Type of Production

Manufacturing and services are the twin engines of the Singapore economy and account for 25% and 70% respectively of country's GDP. The electronics and the chemical sectors are the two leading sectors of the manufacturing industry, each contributing nearly 30% to the GDP.

To maintain its competitive position despite rising wages, the government seeks to promote higher value-added activities in the manufacturing and services sectors. It also has opened the financial services, telecommunications, and power generation and retailing sectors to foreign service providers and greater competition.

Manufacturers Associations of the Main Industries
Singapore Manufacturers Federation (SMa)
Singapore Food Manufacturers Association (SFMA)
The Association of Electronic Industries in Singapore (AEIS)
Singapore Association of Pharmaceutical Industries (SAPI)
Singapore Precision Engineering & Tooling Association (SPETA)
Singapore Industrial Automation Association
Singapore Contractors Association Ltd. (SCAL)
Singapore Plastic Industry Association (SPIA)

Type of Manufacturers

Original Equipment Manufacturers
A number of OEMs have established themselves in the country, particularly in sectors like electronics, pharmaceutical, and high-end engineering equipment. One of the major reasons behind growth of the OEMs in Singapore is the world-class infrastructural facilities, especially its ports which help it to make it a regional hub for exports.
Original Design Manufacturers

The designing activity in now gathering momentum in the country. There are very good R&D professionals available in Singapore which have been an asset for those multinational companies who have set up their design centers in the country. Most of the designing activities are focused on high-technology and bio-medical research.

The government of Singapore has set up a Research, Innovation and Enterprise Council (RIEC) to promote R&D in the country.


With rising labor costs and higher cost of living, Singapore is loosing its attraction as a destination for subcontracting. Most of the labour-intensive manufacturing activities are being relocated to China. However, it is still an attractive subcontracting destination for high-technology and high-end products.

Useful Resources
Singapore International Chamber of Commerce
Singapore Chinese Chamber of Commerce and Industry
Singapore Indian Chamber of Commerce and Industry

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  • Manufacturing Technologies in Singapore

    As the regional powerhouse for advanced manufacturing technologies, Singapore provides an excellent opportunity for U.S. manufacturing companies to enter the ASEAN region. Manufacturing represents a significant component of Singapore’s GDP -- 21% according to Singapore’s Economic Development Board (EDB) --...

    U.S. Commercial Service Singapore on 18 Feb 2010 related to Sourcing in Singapore

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