Economic Impact of the Withdrawal of the GSP on Singapore

This study is part of an ESCAP/UNCTAD/UNDP regional project. The objectives for the Singapore case-study include identifying the products affected by the GSP withdrawal and assessing how Singapore can regain its competitiveness, which may involve the restructuring of such industries and, if need be, also relocation. First, the economic impact of the pre-graduation country scenario is analysed in terms of composition and structure of GSP exports, GSP export growth, and market shares. This covers overall GSP performance as well as GSP exports to the United States. This is followed by an analysis of the post-graduation country scenario, that is, the economic impact after the withdrawal of the U.S. GSP in 1989. The policy implications and options at both the government and business sector levels are assessed and the conclusions of the study, which may be useful to other target countries, are also provided.