SINGAPORE: There is no question that the “Liberation Day” tariffs announced by United States President Donald Trump last week have caused a lot of disruption.
In response to the tariffs, Prime Minister Lawrence Wong on April 4 sounded a sober note warning of tough times ahead for trade-reliant Singapore. He also called for Singaporeans to pull together in unity, which Leader of the Opposition Pritam Singh echoed on April 5.
As for the Progress Singapore Party (PSP), Secretary-General Leong Mun Wai adopted a wait-and-see attitude on April 6, adding that he felt the topic of tariffs was “a little overblown”. PSP chair Tan Cheng Bock went a step further, saying he believed the ruling party’s response to the tariffs was “partly to instil fear in the voter”.
PM Wong has since announced that a task force will be formed to help workers and companies that would be affected by the tariffs, and the WP warned that they could impact employment and further raise living costs.
The Singapore Democratic Party (SDP), meanwhile, issued a statement calling for the Goods and Services Tax (GST) to be reduced immediately from 9% to 7% “to help Singaporeans cope with the effects of rising costs that may develop with the imposition of the tariffs”.
The PSP chief has since clarified his earlier remarks. In a lengthy Facebook post on April 8, Mr Leong began by saying that the party welcomed “the Prime Minister’s reassuring message to Singaporeans in Parliament” to not fear the tariffs.
He said that this is the same message PSP wants to send to Singaporeans.
Mr Leong wrote that the party has “no intention of downplaying the new tariffs”, which he called “a game-changer that signifies that the post-war system of free trade and globalisation that has underpinned Singapore’s prosperity for decades is likely over”.
Mr Leong also underlined that the PSP understands the worries many Singaporeans have concerning their jobs and livelihoods, as well as the anxiety that the turmoil of the financial markets has caused, particularly for those whose retirement may be affected.
“We will continue to represent Singaporeans’ concerns on these issues as we move through this crisis together,” he wrote, adding that Singapore has had a “good track record” of overcoming global crises.
Nevertheless, he appeared to take a dig at the ruling party, writing that “the right approach to dealing with adversity is to have free contestation of ideas and not groupthink. As a nation, we will be stronger if we can have robust policy debates with different views expressed in Parliament as we adapt to this new world order.”
The PSP chief went on to recommend what Singapore can do, beginning with securing a new trade deal with the US.
His post has since received a lot of attention, with many appearing to approve of Mr Leong’s clarifications.
Some, however, wondered if the party was doing damage control after the April 6 remarks of Mr Leong and Dr Tan. The post was received by some as PSP walking back its earlier remarks, a change in direction that some did not welcome.
“Only one person saying that? Okay, fine, I’ll give the benefit of the doubt — maybe they didn’t think it through.
[But] both Sec-Gen and chairman saying that? Seems more like a party seeking to run on spite instead of good intentions,” wrote one Reddit user.
Another commenter wrote, “I am glad you have come out to correct what you and (Dr Tan) said about the issue. What both of you and TCB said the other day was really not what responsible politicians in Singapore should do.” /TISG