March 24, 2025 | Singapore — During the opening of Singapore Maritime Week, Senior Minister Lee Hsien Loong reaffirmed the nation's steadfast commitment to open international trade, stressing its critical role in a volatile global landscape.

Speaking at the high-level event, Lee underlined that trade is not just beneficial — but essential — for countries like Singapore, where economic survival hinges on global connectivity. Citing the fact that over 80% of the world’s population lives in net food-importing countries, he emphasized that trade plays a pivotal role in ensuring food security worldwide.

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Key Global Trade Shifts Identified

Lee identified two major forces reshaping global trade:

1. Geopolitical Tensions

Rising geopolitical strains are reshaping supply chains through friend-shoring, near-shoring, and re-shoring strategies. He noted:

“Restrictions on semiconductors, critical minerals, and data are being used to either preserve advantages or deny rivals access to key technologies.”

Lee also warned of a growing trend where some major powers adopt transactional or coercive policies, often prioritizing short-term interests at the expense of global cooperation.

2. Climate Change

Lee cited the impact of climate change on critical trade infrastructure, using the Panama Canal drought as an example:

“Such events raise shipping costs and create uncertainty in global logistics.”