May 15, 2015
U.S.-Singapore Relations
Overview
Perceptions of generational changes in Singapore were
Though only about three times the size of Washington, DC,
highlighted further by the March 22, 2015, death of former
and with a population of 5.3 million, the city-state of
Prime Minister Lee Kuan Yew at age 91. Lee, Singapore’s
Singapore exercises economic and diplomatic influence on
first prime minister, was widely heralded as the architect of
a par with much larger countries. Its stable government,
Singapore’s success as a nation and its rapid economic
strong economic performance, educated citizenry, and
development, although much of the country’s authoritarian
strategic position along key shipping lanes afford it
politics derived from Lee’s efforts to constrain political
leverage and a role in regional and global affairs. As the
opposition. Lee served as prime minister from Singapore’s
United States implements the Obama Administration’s
independence in 1959 until 1991, and Lee‘s eldest son is
strategic “rebalance” to Asia, Singapore is a partner in both
current Prime Minister Lee Hsien Loong, who has been in
trade and security cooperation.. At the same time,
office since 2004.
Singapore’s leaders aim to strike a balance among the
region’s powers and also maintain close relations with
Singapore’s leaders have acknowledged a “contract” with
China.
the Singaporean people, under which individual rights are
curtailed in the interest of maintaining a stable, prosperous
The U.S.-Singapore Free Trade Agreement (FTA) went into
society. Supporters praise Singapore’s pragmatism, noting
effect in January 2004—the United States’ first bilateral
its sustained economic growth and high standards of living.
FTA with an Asian country—and trade has burgeoned. In
Others criticize the approach as stunting creativity and
2013, Singapore was the 17th largest U.S. trading partner,
entrepreneurship, and contributing to rising disparities of
with $50 billion in total two-way goods trade, and a
income in Singapore’s expanding population.
substantial destination for U.S. foreign direct investment. It
is one of 12 nations negotiating the Trans-Pacific
Although it has been elected by a comfortable majority in
Partnership (TPP), the Obama Administration’s signature
every election since Singapore’s founding, the PAP “has
economic initiative in Asia. Mutual security interests also
used the government’s extensive powers to place
strengthen ties between Singapore and the United States. A
formidable obstacles in the path of political opponents.”
formal strategic partnership agreement allows the United
according to the U.S. State Department’s 2013 Country
States to access Singapore military facilities and provides
Report on Human Rights Practices. According to Amnesty
the basis for U.S.-Singapore cooperation in
International, defamation suits by PAP leaders to
counterterrorism, counter-proliferation of weapons of mass
discourage opposition are widespread. The political careers
destruction, joint military exercises, policy dialogues, and
of several opposition politicians are marked by
shared defense technology.
characteristic obstacles erected by the ruling party,
including being forced to declare bankruptcy for failing to
Singapore Politics
pay libel damages to prominent PAP members.
The People’s Action Party (PAP) has won every general
U.S.-Singapore Defense Cooperation
election since the end of the colonial era in 1959, aided by
its success in delivering consistent economic growth, as
The 2005 “Strategic Framework Agreement” formalizes the
well as Singapore’s fragmented opposition and electoral
bilateral security and defense relationship between the
procedures that strongly favor the ruling party. In recent
United States and Singapore. The agreement, the first of its
years, some observers have pointed to changes in the
kind that the United States signed with a non-ally since the
political and social environment that may portend more
Cold War, builds on the U.S. strategy of “places-not-bases”
political pluralism, including generational changes and an
in the region, a concept that allows the U.S. military access
increasingly international outlook among Singaporeans. In
to facilities on a rotational basis without bringing up
May 2011, opposition parties claimed their most successful
sensitive sovereignty issues. The agreement allows the
results in history, taking six of the unicameral Parliament’s
United States to operate resupply vessels from Singapore
87 elected seats, and garnering about 40% of the popular
and to use a naval base, a ship repair facility, and an airfield
vote. Though this still left the PAP with an overwhelming
on the island-state. The U.S. Navy also maintains a
majority in Parliament, the ruling party described the
logistical command unit—Commander, Logistics Group
election as a watershed moment for Singapore and vowed
Western Pacific—in Singapore that serves to coordinate
to reform the party to respond to the public’s concerns,
warship deployment and logistics in the region. Singapore’s
which appeared to focus mainly on the growing cost of
Changi Naval base is one of the few facilities in the world
living and wealth disparities.
that can accommodate a U.S. aircraft carrier.
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U.S.-Singapore Relations
Starting in 2013, the U.S. Navy deployed a littoral combat
16-nation group of Asian nations that is negotiating a free
ship (LCS) to Singapore for a 10-month tour, and then
trade agreement at the same time some of its members are
deployed a second beginning in 2014. By 2018, the Navy
working on the TPP. (RCEP’s members include ASEAN’s
plans to rotationally deploy four LCS ships from the
10 nations, plus Australia, China, India, Japan, New
Seventh Fleet in Singapore. The stationing of the LCSs is
Zealand and South Korea. The nations that are involved in
emblematic of the role that Singapore can play in the U.S.
both TPP and RCEP are Australia, Brunei, Japan, Malaysia,
“strategic rebalancing” to the region by providing a U.S.
New Zealand, and Vietnam.) Singapore does not face some
Navy presence in Southeast and Northeast Asia. The USS
of the obstacles that other countries do in trade negotiations
Freedom, the first LCS stationed in Singapore, performed
because, in addition to having a mature, globalized
patrols in the South China Sea, participated in exercises
economy, it has virtually no agricultural sector and its
with other countries, and delivered relief supplies to the
manufacturing is limited to specialized sectors such as high-
Philippines in the wake of Typhoon Haiyan. The second
end electronic products and pharmaceuticals.
LCS, the USS Fort Worth, participated in search and rescue
operations for a commercial aircraft operated by Air Asia
Singapore’s Regional Role
that crashed in Indonesian waters in early 2015.
Singapore was a founding member of the Association of
Law Enforcement Cooperation
Southeast Asian Nations (ASEAN), the 10-member
regional forum that helps Southeast Asia’s mostly small
The United States and Singapore engage in ongoing law
countries to influence regional diplomacy, particularly vis-
enforcement cooperation. Singapore is a transit point for a
à-vis China. (ASEAN’s members are Brunei, Burma
wide range of individuals, including suspected terrorists
(Myanmar), Cambodia, Indonesia, Laos, Malaysia, the
from neighboring countries, and its active port is a trans-
Philippines, Singapore, Thailand, and Vietnam.) Singapore
shipment point. In the past, some U.S. officials have
has praised the Administration’s “rebalancing” effort
expressed concerns about the strength of cooperation. The
toward Asia, yet has been careful to warn that anti-China
State Department’s 2013 country report on terrorism,
rhetoric or efforts to “contain” China’s rise will be
however, said that cooperation has “benefited from
counterproductive. Singapore often portrays itself as a
improved working level dialogue on many of the issues that
useful balancer and intermediary between major powers in
had previously impeded the development of more strategic
the region. In ongoing territorial and sovereignty disputes in
and productive agency-to-agency relationships.” Among
the South China Sea, Singapore, a non-claimant, has
U.S. priorities are improvements in Singapore’s port
characterized its stance on the issue as neutral, yet
security, where the Department of Homeland Security
concerned because of the threat to maritime stability.
hopes to see Singapore make greater use of advance
Singapore’s ties with Beijing are multifaceted and extend to
manifests to screen containers through its busy port, and
cultural, political, and educational exchanges as well.
improvements to the bilateral extradition treaty.
Singapore adheres to a one-China policy, but has an
extensive relationship with Taiwan and has managed to
Singapore Economy and U.S. Trade
avoid jeopardizing its strong relations with Beijing.
Relations
Emma Chanlett-Avery, echanlettavery@crs.loc.gov,
Singapore’s GDP per capita is $55,182 (2013 estimate), one
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of the highest in the world. The city-state’s role as a
Ben Dolven, bdolven@crs.loc.gov, 7-7626
regional trading hub means its economy depends heavily on

trade. Annual trade volumes processed through the
Singapore port are around three times Singapore’s domestic
IF10228
GDP. It relies on exports of consumer electronics,
information technology products, pharmaceuticals, and
financial services. China, Malaysia, and the United States
are Singapore’s largest trading partners. Cumulative U.S.
foreign direct investment (FDI) in Singapore exceeds $138
billion, making it the largest Southeast Asian destination for
U.S. foreign direct investment (FDI).
The TPP participants represent a third of the world’s trade.
Singapore’s record of championing rigorous trade pacts
raises its prominence as a negotiating partner in pushing for
a comprehensive agreement. However, trade observers say
that, in the TPP, Singapore faces sensitive issues in
negotiations over financial services and the imposition of
free-market disciplines on state-owned enterprises.
Singapore has concluded at least 18 free trade agreements
(FTAs) and is pursuing several more, including the
Regional Comprehensive Economic Partnership (RCEP), a
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