{"id":852829,"date":"2025-06-02T09:11:57","date_gmt":"2025-06-02T14:11:57","guid":{"rendered":"https:\/\/newsycanuse.com\/index.php\/2025\/06\/02\/singapore-signs-new-digital-trade-deal-with-eu\/"},"modified":"2025-06-02T09:11:57","modified_gmt":"2025-06-02T14:11:57","slug":"singapore-signs-new-digital-trade-deal-with-eu","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2025\/06\/02\/singapore-signs-new-digital-trade-deal-with-eu\/","title":{"rendered":"Singapore signs new digital trade deal with EU"},"content":{"rendered":"
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  7. Singapore signs new digital trade deal with EU<\/li>\n<\/ol>\n<\/div>\n

    Singapore<\/a>\u00a0has signed a new deal with the European Union to boost digital trade, promote innovation and enhance data flow.<\/p>\n

    The European Union-Singapore Digital Trade Agreement (EUSDTA) was signed by the EU\u2019s Trade Commissioner Maro\u0161 \u0160ef\u010dovi\u010d and Singapore\u2019s Trade Relations Minister, Grace Fu. It\u2019s the EU\u2019s first digital economy agreement with a Southeast Asian nation.<\/p>\n

    Under the deal<\/a>, the two will establish new data exchange and digital trade standards. It aims to remove digital barriers such as data localization laws that limit the target market for Singaporean and European companies. It also provides new guidelines for cybersecurity<\/a>, spam, digital signatures<\/a>, data storage and privacy, digital contracts and consumer protection.<\/p>\n

    The new deal \u201creflects our shared commitment to foster a trusted, secure and inclusive digital economy, and create new opportunities for our companies and citizens in digital trade,\u201d commented Singapore\u2019s Fu.<\/p>\n

    \u201cAs the EU\u2019s first bilateral digital economy agreement with an Asean country, the EUSDTA will also support greater region-to-region digital connectivity.\u201d<\/p>\n

    The EU<\/a>\u00a0remains one of Singapore\u2019s most important markets. Last year, the Asian nation traded over $100 billion worth of goods with the 27-member bloc, accounting for 8% of its total exports.<\/p>\n

    The EU is Singapore\u2019s second-largest trading partner in the services sector, with over $110 billion in bilateral trade. Half the services are delivered digitally, making the new agreement crucial for thousands of businesses.<\/p>\n

    Singapore\u2019s digital trade push<\/strong><\/p>\n

    Digital trade<\/a>\u00a0is becoming an increasingly critical sector for most economies globally as rapid smartphone and Internet penetration<\/a>\u00a0fuels parabolic growth. In 2023, digitally delivered services hit $4.5 trillion globally, and experts expect the sector to be among the fastest growing over the next decade.<\/p>\n

    This growth has seen several governments invest heavily in expanding their digital economy<\/a>, with Singapore among the leaders in Asia.<\/p>\n

    \n

    The new deal with the EU is the latest initiative in the $500 billion economy, and according to Ang Yuit, a local expert, it could be a game-changer. Yuit, who heads Singapore\u2019s Association of Small and Medium Enterprises, told<\/a>\u00a0one local outlet that one of the key benefits will be a reduced burden on compliance costs. The EU is renowned for its onerous digital economy regulations, such as GDPR, which place a heavy compliance cost on operators.<\/p>\n

    Singapore is home to 5.9 million residents, offering a much smaller market than its regional peers like the Philippines, Bangladesh and Vietnam, with over 100 million residents each. As such, Singaporean firms must explore foreign markets, and with a $20 trillion GDP, the EU is a prime target.\n<\/p>\n<\/div>\n

    \u201cHaving additional access in the European digital market and making it easier through reduced compliance will really help us by giving us opportunities to expand,\u201d Yuit told Channel News Asia.<\/p>\n

    Nele Cornelis, who heads the European Chamber of Commerce in Singapore, added<\/a>\u00a0that the deal will be a catalyst for stronger alignment and collaboration.<\/p>\n

    \u201cIt enables businesses to trade more efficiently, scale globally with confidence, and operate within a secure and forward-looking digital environment,\u201d she stated.<\/p>\n

    Elsewhere, Singapore is among the Southeast Asian nations that have signed<\/a>\u00a0the ASEAN Digital Economy Framework Agreement (DEFA), a first-of-its-kind deal to unlock digital trade in the 10-member bloc.<\/p>\n

    The new framework covers new-age technologies, ranging from artificial intelligence (AI) and blockchain to cloud computing and machine learning.<\/p>\n

    Thailand eyes Google\u2019s investment in digital economy<\/strong><\/p>\n

    Elsewhere in Southeast Asia, Thailand<\/a>\u00a0has invited global tech giant Google (NASDAQ: GOOGL<\/a>) to invest in the country\u2019s digital economy amid concerns about the effect Trump\u2019s tariffs will have on the sector.<\/p>\n

    The Minister of Commerce, Pichai Naripthaphan, met<\/a>\u00a0with Google executives on the sidelines of the Asia-Pacific Economic Cooperation (APEC) Ministers Responsible for Trade in South Korea, where the Thai digital economy was among the key topics discussed.<\/p>\n

    Like in most other Asian nations, digital trade in Thailand is thriving. Last year, its value was estimated<\/a>\u00a0at 4.44 trillion baht ($136 billion), accounting for nearly a quarter of the Thai economy.<\/p>\n

    In the meeting, Google pledged to continue investing in Thailand, setting up data centers for the AI sector and expanding its cloud services. The $2 trillion firm also plans to set up manufacturing facilities for circuit boards and hard drives.<\/p>\n

    Following the meeting, Bangkok announced<\/a>\u00a0that it had partnered with Google to use its AI services to control traffic and ease congestion.<\/p>\n

    Watch: Future of trading with DLT Finance Group\u2019s Roger Wurzel on CoinGeek Backstage<\/p>\n