Singapore Prime Minister and Finance Minister Lawrence Wong, who wrapped up his Africa visit this week — the G20 summit in South Africa; and then a trip to Ethiopia for an official visit — has said that the priority of global trade needs to shift from efficiency to resilience. He said this in the context of the United States of America raising trade barriers and scaling down its global engagement.
The G20 summit, for instance, was not attended by US President Donald Trump, who has, for several months now, been in the news mainly for imposing trade tariffs or threatening such tariffs on various countries.
India-US trade has been the worst hit — 50 per cent Trump tariffs have been imposed on Indian exports to the US, a damaging development not just economically but also diplomatically.
In light of the shifting sands of global trade, with no certainty any more, PM Wong told Singapore media representatives in Addis Ababa, Ethiopia, on Monday that the WTO era was all about efficiency, whereas “countries are putting more emphasis around resilience and security [now]”. Therefore, “a different balance” was necessary for the present era, he said, as per a CNA report.
The Singapore leader worked to strengthen this balance during his Ethiopia visit. In an X post yesterday, he wrote: “We had a fruitful discussion on strengthening cooperation and opening new doors for our businesses, and witnessed MOUs on skills development and carbon credits.” In the media interaction in Addis Ababa, he referred to the African markets as the “new frontier areas”.
New ways needed to overcome challenges
Over the past several months, the Singapore prime minister has put forth the idea that the global community needs to find new ways to overcome challenges.
Celebrating SG60 this year, PM Wong had said, “Now at 60, Singapore stands at another fork in the road. Three months ago, I spoke about a changed world. Since then, the situation has grown graver. New conflicts have broken out. Geopolitical tensions have deepened. Barriers to trade are hardening. And protectionist sentiments are worsening.”
Following his thumping general election win and swearing-in this year, PM Wong had said, “In a world of shifting alliances, we will be a steady and constructive partner, one willing and able to contribute to peace and stability, to advance dialogue and fraternity, and support a rules-based global order.”
Speaking to the media in Ethiopia on Monday, he reiterated that countries needed to continue working together, reinforcing and reshaping multilateral institutions.
“You need to address today’s strategic realities while still facilitating interdependency between countries, trade and investments between countries,” he said.
The US still remained the “biggest pole” in a world moving towards multi-polarity, said the Singapore leader, and US leadership was still vital. However, the US stepping back “should not stop the rest of the world from coming together and finding ways on our own to guide the direction forward or to find a way forward amongst ourselves”.
New diplomatic bridge with Ethiopia
While in Ethiopia, the Singapore prime minister opened a new diplomatic bridge. He wrote on X that Ethiopian Prime Minister Abiy Ahmed Ali “welcomed Singapore’s decision to open a new embassy in Addis Ababa, a key milestone that will deepen our ties with Ethiopia, the African Union, and the wider continent. By strengthening our partnership, we’re building a bridge between Southeast Asia and Africa.”
PM Wong also visited the Repi Wilmar plant in Ethiopia, “a partnership between Singapore’s Wilmar International and local Ethiopian partners”. He wrote on X: “It’s heartening to see it grow into one of Ethiopia’s leading manufacturers, with brands like Largo, Ajax, and Rol now household names.”
Speaking to the media in Addis Ababa, the Singapore prime minister said, “We can’t just stick to familiar markets, we have to look at new areas. And these new frontier areas are in places like Africa.”
On Monday, in a joint press conference addressed by PM Abiy Ahmed Ali and PM Wong, the latter said, “Prime Minister Abiy said just now that Ethiopia is stepping up its engagements with developed countries, to match Ethiopia’s needs and demands with the resources and capabilities of developed countries.
“To be clear, Singapore is not a developed country. We see ourselves as a tiny little island; always vulnerable, exposed to so many external challenges and always trying to keep ahead. On the other hand, we see Ethiopia as an ancient civilisation with a long and proud history, a diverse people and tremendous potential to do much more going forward.
“So this is not about us teaching Ethiopia at all or offering lessons. It is a partnership of equals. It is a partnership of us working together closely for win-win partnership. That is how we see this relationship going forward.”
