Hanoi (VNA) – Singaporean pharmaceutical companies are seeking clarification on whether they would qualify for an exemption from steep tariffs imposed by the US on their goods, Deputy Prime Minister Gan Kim Yong said on September 27.
As reported by Reuters, Singapore exports about 4 billion SGD (3.10 billion USD) of pharmaceutical products to the US and most of these exports are branded drugs, said Gan, who is also Minister for Trade and Industry.
According to the official, the high tariffs are a concern for Singapore as pharmaceuticals form around 13% of all local exports to the US. He said that many of the pharmaceutical firms in Singapore have existing plans to expand or build their business footprint in the US, which may qualify them for a tariff exemption.
Gan, who met US Secretary of Commerce Howard Lutnick in August, said trade talks with the US are ongoing, with officials on both sides working on details of possible deals for the pharmaceutical and semiconductor sectors.
Singapore's exports to the US are subject to a 10% baseline tariff despite a free trade agreement in place with the island nation since 2004. Broader sectoral tariffs could hurt demand for Singaporean products, including semiconductors, consumer electronics and pharmaceutical goods, which the Singaporean central bank in July said account for about 40% of exports to the US./.
VNA
