Singapore’s trade performance continued to expand in the first quarter of 2026, driven by strong AI-related demand in electronics exports despite global uncertainties linked to the Middle East conflict and trade tensions.
Enterprise Singapore announced on 25 May 2026 that Singapore recorded continued growth in both merchandise and services trade during the first quarter of 2026.
Singapore’s Non-Oil Domestic Exports (NODX) grew by 9.6 per cent in 1Q 2026, following a 12.7 per cent increase in the previous quarter. The growth was largely supported by strong electronics demand linked to artificial intelligence technologies. Electronic NODX surged by 57.8 per cent, led by integrated circuits, disk media products, and personal computers.
Among non-electronic exports, however, sectors such as food preparations, petrochemicals, and measuring instruments recorded declines during the quarter.
Singapore’s top export markets also recorded growth, with Taiwan, Hong Kong, and South Korea contributing the most to the increase in NODX.
Enterprise Singapore upgraded the 2026 NODX forecast to between “+3.0% and +5.0%”, citing stronger-than-expected first-quarter performance and resilient AI-related demand globally.
The agency noted that the World Trade Organization raised its global merchandise trade growth forecast for 2026 to 1.9 per cent, while the International Monetary Fund also increased its global trade growth projection to 2.8 per cent.
At the same time, Enterprise Singapore warned that downside risks remain due to the ongoing Middle East conflict and the possibility of renewed global trade tensions.
Non-oil re-exports (NORX) expanded sharply by 45.4 per cent in 1Q 2026, extending the previous quarter’s 19.7 per cent growth. Electronics re-exports climbed by 68.0 per cent, driven by strong demand for PCs, integrated circuits, and telecommunications equipment.
Total merchandise trade increased by 25.6 per cent in the first quarter. Total exports rose by 27.9 per cent, while imports expanded by 23.1 per cent. Growth was mainly supported by non-oil exports, even as oil exports declined.
Singapore’s services trade also continued to grow, increasing by 4.4 per cent in 1Q 2026. Services exports grew by 3.9 per cent, supported by stronger performance in business services, financial services, and travel services.
Enterprise Singapore said the strong momentum in AI-related trade and technology demand is expected to continue supporting Singapore’s trade outlook throughout the rest of 2026.
Source: Enterprise Singapore
