Singapore has become a global leader in the energy and chemical industry due to its impressive combination of refining, olefins production, chemicals manufacturing, as well as its business and innovation capabilities. It has attracted more than 100 prominent international chemical companies that have established significant operations within the country.
Singapore chemical business at the glance
Top 3 Reasons for picking Singapore chemical business
Outstanding infrastructure
Jurong Island serves as the focal point for Singapore’s refining, petrochemical, and specialty chemicals endeavors. Its remarkably interconnected infrastructure fosters close relationships between customers and suppliers, sometimes quite literally through interconnected pipelines. This cohesive ecosystem includes utilities and logistics service providers, fostering collaborative production efficiencies that result in cost savings for companies. To date, Jurong Island has drawn investments totaling more than S$50 billion.
Robust connectivity and skilled workforce
Singapore’s impressive logistics capabilities, extensive regional connectivity, and comprehensive free trade agreements simplify chemical import and export operations for businesses. Additionally, we have a workforce of 25,000 professionals who continuously enhance their skills through government-sponsored programs such as the SkillsFuture Earn and Learn Programme for Energy & Chemical. Prominent companies like Evonik and Syngenta leverage our innovative talent pool for their research and development centers in Singapore.
Sustainability and readiness for the future
Amid the global shift towards tailor-made blending and environmentally conscious formulations, Singapore has positioned itself as a sustainable and exceptionally efficient hub for chemical manufacturing. Our stringent intellectual property protection also offers companies assurance when utilizing our extensive public and private research infrastructure. Our robust intellectual property framework provides a secure environment for substantial and sensitive investments.
The numbers tell the Singapore chemical journey
- In 2019, Singapore held the 8th position as the world’s largest chemicals exporter according to the World Trade Statistical Review 2020. Singapore’s chemicals and energy sector also ranked among the top 10 globally.
- The energy and chemicals industry contributed S$81 billion to Singapore’s total output in 2015, equivalent to about one-third of the country’s total manufacturing output.
- Singapore’s chemicals industry attracted fixed asset investments totaling S$1.3 billion in 2016.
- In 2014, Jurong Island in Singapore refined 1.5 million barrels of oil per day, positioning the country among the top 10 exporters of refined oil products in Asia.
Chemical export and import business in Singapore overview
The chemical export and import business in Singapore refers to the trade and exchange of chemical products, both in terms of exports (selling chemical products to other countries) and imports (purchasing chemical products from other countries), within the context of Singapore’s vibrant and strategically located marketplace.
Chemical export business in Singapore generally, including:
- In 2021,Chemical export import business in Singapore amounted to $47.8 billion, positioning it as the 15th largest global exporter in this category. During the same year, Chemical Products ranked as the second most exported commodity from Singapore. The primary destinations for Singapore’s Chemical Products exports included China ($7.97 billion), the United States ($7.54 billion), Switzerland ($3.94 billion), Japan ($2.21 billion), and India ($2.05 billion).
- The most rapidly expanding export markets for Singapore’s Chemical Products between 2020 and 2021 were China (with an increase of $2.02 billion), the United States (with a growth of $1.76 billion), and Switzerland (with an uptick of $739 million).
Chemical import business in Singapore generally, including:
- In 2021, Singapore recorded imports of Chemical Products valued at $26.2 billion, securing its position as the 21st largest global importer of such products. During the same year, Chemical Products ranked as the third most frequently imported commodity in Singapore. Singapore’s primary sources for importing Chemical Products included the United States ($3.78 billion), Switzerland ($3.16 billion), France ($2.86 billion), China ($2.54 billion), and Japan ($2.21 billion).
- The most rapidly expanding import markets for Singapore’s Chemical Products between 2020 and 2021 were Switzerland (with an increase of $1.3 billion), Ireland (seeing growth of $599 million), and China (with an uptick of $547 million).
More insights about chemical export business in Singapore
Chemical export companies in Singapore experienced a surge in its earnings, climbing to 6,568.68 million SGD in July, up from 5,399.31 million SGD in June 2023.
Trade
During June 2023, Singapore’s primary exports comprised Electrical Machinery Apparatus & Appliances Nes… (valued at SGD 16.3 billion), Petroleum & Products & Related Materials (at SGD 6.08 billion), Oil Bunkers (at SGD 2.91 billion), Professional Scientific & Controlling Instruments &… (at SGD 2.21 billion), and Telecommunications & Sound-Recording & Reproducing Apparatus… (at SGD 2.17 billion).
Growth
In June 2023, the decline in Singapore’s year-on-year exports can mainly be attributed to reduced exports to Malaysia (a decrease of SGD -2.3 billion or -32.6%), Hong Kong (a decrease of SGD -1.75 billion or -22.7%), and Australia (a decrease of SGD -841 million or -38%). Additionally, there was a decrease in the export of products such as Electrical Machinery Apparatus & Appliances Nes… (a decrease of SGD -4.04 billion or -19.8%), Petroleum & Products & Related Materials (a decrease of SGD -2.53 billion or -29.4%), and Oil Bunkers (a decrease of SGD -1.13 billion or -28%).
Target
In June 2023, Singapore’s primary export destinations included China (amounting to SGD 7.86 billion), Hong Kong (at SGD 5.97 billion), the United States (at SGD 4.9 billion), Malaysia (at SGD 4.75 billion), and Indonesia (at SGD 3.75 billion).
More insights about chemical import business in Singapore
In June 2023, Singapore’s primary export destinations included China (amounting to SGD 7.86 billion), Hong Kong (at SGD 5.97 billion), the United States (at SGD 4.9 billion), Malaysia (at SGD 4.75 billion), and Indonesia (at SGD 3.75 billion). On the chemical import business in Singapore, Singapore primarily sourced goods from the United States (totaling SGD 6.6 billion), China (at SGD 5.98 billion), Malaysia (at SGD 5.87 billion), Chinese Taipei (at SGD 5.22 billion), and South Korea (at SGD 2.68 billion).
Trade
In the same export period above, the leading imports into Singapore encompassed Electrical Machinery Apparatus & Appliances Nes… (amounting to SGD 13 billion), Petroleum & Products & Related Materials (at SGD 8.51 billion), Office Machines & Automatic Data-Processing Machines (at SGD 1.81 billion), Telecommunications & Sound-Recording & Reproducing Apparatus… (at SGD 1.78 billion), and Miscellaneous Manufactured Articles Nes (at SGD 1.36 billion).
Growth
Similarly export figures, in June 2023, the drop in Singapore’s year-on-year imports was primarily due to reduced imports from Chinese Taipei (a decrease of SGD -2.33 billion or -30.9%), China (a decrease of SGD -2 billion or -25.1%), and Malaysia (a decrease of SGD -1.66 billion or -22%). There was also a decline in the import of products like Petroleum & Products & Related Materials (a decrease of SGD -4.61 billion or -35.1%), Electrical Machinery Apparatus & Appliances Nes… (a decrease of SGD -4.52 billion or -25.8%), and Organic Chemicals (a decrease of SGD -709 million or -47.4%).
Target
On the import side, Singapore primarily sourced goods from the United States (totaling SGD 6.6 billion), China (at SGD 5.98 billion), Malaysia (at SGD 5.87 billion), Chinese Taipei (at SGD 5.22 billion), and South Korea (at SGD 2.68 billion).
Conclusion,
With this insightful knowledge, you’re well-equipped to thrive in the Singapore chemical business. Whether you’re focused on chemical export, import, or both, you’ll find valuable insights to bolster your success. Seize the opportunities in this thriving industry and elevate your chemical business in Singapore today.
