- Singapore’s manufacturing contributes 21.6 percent GDP, driven by high-value, innovation-led, technology-intensive industrial processes.
- Semiconductors, biomedical sciences, electronics, and precision engineering anchor Singapore’s advanced manufacturing leadership regionally.
- Manufacturing 2030 strategy boosts competitiveness through investment incentives, R&D support, and skills development initiatives nationwide.
The manufacturing sector in Singapore today contributes about 21.6 percent of gross domestic product (GDP) in this global city-state, led mainly by high-value and high-tech processes, based on current industry updates.
This reflects heavily on innovation-drivens manufacturing and not much on mass production, making it one of the most innovative and ready manufacturing industries in this region of the world.
The sectors most active in this innovative move of this manufacturing industry in Singapore today are the semiconductors, biomedical sciences, precision engineering, and electronics industries.
The presence of advanced manufacturing in Singapore can also be attributed to the fact that it functions as the Asia-Pacific headquarters of nearly half of the multinationals in this region, in addition to the EU-Singapore Free Trade Agreement, whose trade agreement has contributed towards the foreign direct investments flowing into the advanced manufacturing of semiconductors, among others, in the country.
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The government’s policy is also an important factor in determining the future for this industry. The Singaporean Manufacturing 2030 plan has outlined the country’s strategies to add 50% value to the manufacturing and services sectors by the end of the next decade.
This plan is supported by investment incentives, R&D investment support, and human resource development initiatives that focus on making this industry more competitive in the international marketplace.
The sectors under focus are capital-intensive and based on technology due to constraints such as a shortage of industrial land and operating expenses.
On a broader scale, it can be noted that the manufacturing sector in Singapore is a representation of its aim at becoming a leader in high technology manufacturing.