Global pressures will continue to intensify...Singapore closes free trade deal with U.S.
Friday, January 17, 2003
Thought the North American Free Trade agreement changed things? Just wait.
The U.S. has concluded our first free trade deal with an Asian country, Singapore. It's scheduled to go into effect in January, 2004.
Here's what will happen: As Singapore costs go down as a result of the FTA, US demand for Singapore produced products will increase. This means more US investment will flow into Singapore, and and a new cycle of higher Singapore exports to the US. will begin.
Competition will intensify. Singapore, which traditionally has been strong in attracting multinational corporations to its shores, has also stepped up its efforts in recent years to coax start-ups and VC firms to set up shop. So it's not just cheaper labor. Higher end technology jobs in the US will also be threatened.
posted by Ed Morrison |
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Global pressures will continue to intensify...Singapore closes free trade deal with U.S.
