Last updated at: (Beijing Time) Wednesday, May 07, 2003
US, Singapore Sign Free Trade Pact
US President George W. Bush and Singapore's Prime Minister Goh Chok Tong signed a free-trade agreement on Tuesday that would wipe out tariffs and other trade barriers on about US$33 billion in annual trade.
US President George W. Bush and Singapore's Prime Minister Goh Chok Tong signed a free-trade agreement on Tuesday that would wipe out tariffs and other trade barriers on about US$33 billion in annual trade.
If approved by US Congress, Singapore would become the fifth nation to have such a duty-free arrangement with the United States, and the first in Asia.
The agreement also would give US banks and companies more access to one of Asia's main financial centres. Mr. Bush called the agreement 'a crucial step forward' for both countries.
"Singapore is a nation that is small in size but large in influence. With this agreement, Singapore becomes an even more valued economic partner of the United States," he said.
Mr. Goh called the pact "an ambitious and comprehensive agreement." He said it would "enhance our close economic relations and also signal the US long-term commitment to engage South-east Asia and contribute to its development."
Singapore is the United States' 11th largest trading partner. But because Singapore already imposes few import tariffs, the main advantage to the US in the agreement will be in greater access to Singapore's financial and service sectors.
"This free trade agreement will increase access to Singapore's dynamic markets for American exporters, service providers and investors," Mr. Bush said.
The agreement must be approved by the Republican-controlled Congress and he called on Congress to act quickly.
The two leaders also praised one another for being staunch allies in the war on terrorism.