US reshoring casts a long shadow over Singapore manufacturing

Singapore’s manufacturing sector is under pressure as US reshoring policies shift investment away from Asia. Over half of the city-state’s US exports now face a 10% tariff—primarily targeting electronics and machinery. With the CHIPS and Inflation Reduction Acts fuelling domestic production in North America, high-value sectors like semiconductors, medical devices, and precision engineering are at risk of losing ground.

The rise of “just-in-region” supply chains further threatens Singapore’s role as a key transhipment and logistics hub. While the country continues to attract strong investment in knowledge-intensive manufacturing, the structural shift is clear: localisation is the new global.

Singapore’s strategic position and skilled workforce could still appeal to companies diversifying beyond China. But with FDI patterns shifting and US demand softening, manufacturers need to re-evaluate their regional strategies.

Read the full article to understand what this means for global supply chains and your next move.