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Media Release MEDIA RELEASE More trade and connectivity opportunities for Singapore companies in Shandong province Modern services and sustainable development are also key areas of interests MR No.: 067/19 Singapore, Thursday, 31 October 2019 1. Singapore companies are pursuing more opportunities in trade and connectivity, modern services and sustainable development in Shandong. These areas of collaboration were discussed at the 21st Singapore-Shandong Business Council (SSBC) meeting in Singapore today, co-chaired by Mr Chee Hong Tat, Senior Minister of State for Trade & Industry and Education, and Ms Ren Airong, Shandong Vice Governor. Mr Chee and Ms Ren witnessed 12 project signings at the meeting. 2. Said Mr Chee, “Shandong is transforming its economy and encouraging its businesses to internationalise. This creates opportunities for Singapore companies in trade and connectivity. We can also partner Shandong companies as they look to expand into Southeast Asia, using Singapore as a regional hub.” Exploring more trade and connectivity opportunities in Shandong 3. In the first half of 2019, bilateral trade between Singapore and Shandong grew 3.9% to reach RMB7.28 billion 1 . There is potential to strengthen the two-way trade linkages between Singapore and Shandong. 4. One potential growth area is the trading of food products. Shandong is the leading agricultural province in China, and the top exporter of agricultural produce to Singapore among the Chinese provinces. Key products exported to Singapore include apples, pears and Chinese cabbages. There is opportunity for Singapore traders and distributors to import a wider range of produce from Shandong that are in demand in Singapore, 1 Source: Shandong Department of Commerce. especially premium fruits and vegetables such as cherries and black garlics. For example, Singapore company Siji Trading is collaborating with NTUC Fairprice to promote Shandong fruits and vegetables in their outlets. 5. At the same time, there are more opportunities for Singapore logistics companies to offer end-to-end services to facilitate trade flows. Earlier this year, GSH Corporation Limited entered a joint venture with a Qingdao company to set up the Qingdao Timi Supply Chain Co. to handle frozen meat trading and supply chain financing. Modern services and sustainable development remain key areas of collaboration 6. Shandong enterprises looking to expand overseas can tap Singapore’s network of professional services. One way they can do so is through the business services platform, which will include interested Singapore companies such as OCBC, UOB, Rajah & Tann and SGX. This platform, projected to launch in the first half of 2020, is a result of the collaboration between Enterprise Singapore and the Qingdao Bureau of Commerce. The interested companies will offer expertise in financing, listing and legal advisory to support Shandong enterprises’ overseas expansion into Southeast Asia. 7. Singapore companies can also partner Shandong in sustainable development, as the province steers its traditional industries such as oil & gas towards more environmentally sustainable practices. These include water and waste management, optimisation of energy utilities and the upgrading efforts of refineries to improve operational efficiency and quality of products. For example, Singapore Vac-Tech Engineering is partnering Yantai’s oilfield services company, Jereh Group, to customise an advanced tank cleaning solution to achieve greater efficiency. The solution is currently undergoing test-bedding on Singapore’s Jurong Island, and will potentially be deployed in Shandong and other markets. Strengthening cooperation with Qingdao 8. Accounting for 16% of Shandong’s GDP in 2018, Qingdao city is a key logistics and business hub in the North China region. To step up collaboration between the two cities, Enterprise Singapore signed a Memoranda of Understanding (MOU) with the Qingdao Municipal People’s Government to work on partnerships in five strategic areas – innovation, connectivity, modern services, food and sustainable development. To raise awareness about Qingdao’s product offerings and promote trade, Enterprise Singapore Page 2 of 13 and the Qingdao Municipal People’s Government are supporting the Qingdao Bureau of Commerce to organise an inaugural Qingdao Festival in Singapore. Happening from 31 October to 1 November at Clifford Square, the Festival will feature products from about 15 Qingdao companies, including Laoshan mineral water from Qingdao Beverages Group, Qingdao Beer and smart household appliances by Haier. 9. Over 180 Singapore and Shandong government and business representatives attended the council meeting today. After the meeting, Mr Chee and Vice Governor Ren will officiate the opening of the Qingdao Festival. Vice Governor Ren is currently in Singapore on a four-day business mission with more than 90 officials and company representatives from Shandong. Annex 1: List of project signings at the 21st SSBC meeting Annex 2: Speech by SMS Chee Hong Tat at the 21st SSBC meeting Annex 3: Background on Shandong and Singapore-Shandong economic relations -End- For media enquiries and/or photos, please contact: Ms Karen KOH Business Partner Corporate Communications DID : +65 6279 3628 Mobile : +65 9889 8816 Email : [email protected] About Enterprise Singapore Enterprise Singapore is the government agency championing enterprise development. We work with committed companies to build capabilities, innovate and internationalise. We also support the growth of Singapore as a hub for global trading and startups, and build trust in Singapore’s products and services through quality and standards. Visit www.enterprisesg.gov.sg for more information. Page 3 of 13 About Singapore–Shandong Business Council (SSBC) The Singapore-Shandong Business Council (SSBC) is the first bilateral business council formed between Singapore and a Chinese Province. Inaugurated in November 1993, the Council aims to promote economic exchanges and cooperation between Singapore and Shandong Province. Mr Chee Hong Tat, Senior Minister of State (SMS) for Trade & Industry and Education and Shandong Vice Governor Ren Airong, are the Co-Chairmen of the Council. Comprising leaders, government officials and private sector representatives from Singapore and Shandong, the Council shall endeavour to achieve its objectives through the following means: a. exchange of economic data and information, and familiarise each other on the respective economic policies; b. promote, guide and assist in bilateral trade and investment; c. organise exchange activities between Singapore and Shandong to expand cooperation in various areas / sectors; d. resolve difficulties encountered in collaborative projects, establishing an excellent cooperation merchandise and an environment conducive for cooperation; e. other forms of work that both parties think are beneficial for economic and social development Page 4 of 13 ANNEX 1 List of project signings at the 21st SSBC meeting S/N Project Description 1 Enterprise Singapore – Qingdao Municipal Government MOU to facilitate partnerships between Singapore and Qingdao enterprises in 5 key strategic areas – innovation, connectivity, modern services, food and sustainability 2 Add In Technologies Pte Ltd – Qingdao Yimu Group Co. Ltd Partnership to set up businesses in China and ASEAN markets, focusing on areas including interior design, decoration, engineering, cross-border e-commerce, furniture and home furnishing 3 Bamboo System Technology Pte Ltd – Qingdao Weidong Education Cloud Ltd Collaboration to develop an online training platform for driving, targeted at driving school students and people working in the transport industry 4 ST Electronics Pte Ltd – Qingdao Weidong Education Cloud Ltd Partnership to develop a new system that will be mainly used for transportation in the Oil & Gas and electricity industries. The system will incorporate the use of advanced technology such as Artificial Intelligence to improve operational efficiency 5 Tyrone Enterprise Pte Ltd – Qingdao Beverage Group Limited Joint investment in a manufacturing facility with the aim to increase the presence of Laoshan mineral water in Southeast Asia region 6 Mapletree Huaxin Management Consultancy Co Ltd – Jinan Prior Zone for Replacing Old Growth Drivers with New Ones Partnership to build central kitchen and warehouses targeting sectors in need of cold chain and urban logistics 7 Nanyang Technological University – Shandong University – Shanda Dareway Software Co Ltd – Jinan Zhangqiu District Government Agreement to embark on a partnership programme to: a. Research and develop technologies for the healthcare sector; b. Build a service platform for elderly care, rehabilitation and medical care; and c. Facilitate exchanges and training of talents. 8 The Place Holdings Ltd – Jinan Prior Zone for Replacing Old Growth Drivers with New Ones – The International University Innovation Alliance – Guoran Capital Cooperation to set up a cross-border fund to acquire and invest in emerging strategic sectors such as advanced manufacturing, education and healthcare 9 CITIC Envirotech Ltd – Yantai Muping District Government MOU for Singapore CITIC to participate in the expansion works of a wastewater treatment plant in Muping District Page 5 of 13 10 Nanyang Technological University – Shandong Commercial Group Co., Ltd Collaboration to set up an executive training programme in areas such as smart city, enterprise management, retail, culture and tourism 11 ChemOne Holdings Pte
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