Trump's tariffs have limited direct impact 'for now' but consequences could be 'wider and more profound': PM Wong
Singapore may be placed in the lowest base tier - with a tariff of 10 per cent on goods - but there are «wider and more profound consequences», said Prime Minister Lawrence Wong in a YouTube video on Friday (April 4).
This is even though the direct impact on Singapore may be limited «for now», he said.
His comments come two days after US President Donald Trump imposed sweeping new tariffs on goods imported from the rest of the world on what he called «Liberation Day».
Trump claims that the tariffs will boost the US economy and protect jobs.
PM Wong pointed out that if other countries adopt the same approach as the US, Singapore may take a bigger hit than others, because of our heavy reliance on trade.
«Singapore has decided not to impose retaliatory tariffs. But other countries may not exercise the same restraint.
»The likelihood of a full-blown global trade war is growing.
«The impact of the higher tariffs, plus the uncertainty of what countries may do next, will weigh heavily on the global economy. International trade and investments will suffer, and global growth will slow,» he said.
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