A 15% tariff, but on what exactly? Singapore presses US for details
Singapore will engage the United States to seek clarity on how a potential new 15% tariff on goods entering the US will be implemented from February 24, Deputy Prime Minister Gan Kim Yong said on February 22, warning that the biggest issue for businesses is uncertainty.
“The keyword really is uncertainty because it’s not clear how it’s going to be implemented,” DPM Gan told reporters at a briefing.
His comments came after the US Supreme Court on February 20 rejected President Donald Trump’s authority to impose tariffs under a 1977 economic emergency powers law, prompting the White House to pivot to Section 122 of the Trade Act of 1974.
The White House initially announced a 10% global tariff under Section 122 for 150 days, effective 12.01 am on February 24, but Trump later said in a February 21 social media post that the rate would be raised to 15%.
“In all likelihood, this new 15 per cent across-the-board tariff will be applicable to Singapore. We need to be prepared for the impact,” DPM Gan said, adding that if a minimum tariff is applied broadly, it would be difficult for Singapore to negotiate exemptions.
The Ministry of Trade and Industry (MTI) said Singapore is also seeking details on tariff refund processes and on which items will be exempt. MTI noted that certain categories, including energy products, pharmaceuticals and ingredients, certain electronics and aerospace products, and some metals used in currency and bullion, are not covered by the Section 122 tariffs.
For now, Singapore is keeping its 2026 growth forecast at 2% to 4%, while monitoring what happens after the 150-day limit for Section 122 measures expires.
This story is written and edited by the Global South World team, you can contact us here.
