Businesses in Singapore to receive new grant in October amid US tariffs

A new Business Adaptation Grant will be launched by October 2025 to help Singapore-based companies, particularly small and medium enterprises (SMEs), adjust to rising global trade tensions and tariff-related disruptions.

Eligible firms will receive up to S$100,000 over two years, with SMEs receiving more generous support than larger companies. Co-funding will be required from participating businesses.

The grant targets two main groups. Companies that export to or operate in overseas markets will receive support for advisory services, including free trade agreement (FTA) compliance, legal and contractual guidance, supply chain optimisation and market diversification. Meanwhile, firms with local or overseas manufacturing operations can receive funding to cover logistics and inventory holding costs or other supply chain reconfiguration expenses.

Minister for Manpower Tan See Leng announced at a Singapore Economic Resilience Taskforce (SERT) briefing on July 10, alongside Deputy Prime Minister Gan Kim Yong and other key government and business leaders. The grant aims to help local businesses stay competitive amid what officials called a “prolonged trade uncertainty.”

While Singapore has not been directly hit by the latest round of tariffs from the United States, eight out of ten ASEAN countries have received tariff notices. Officials said Singapore firms already feel the ripple effects with operations in affected regions, such as China’s Suzhou Industrial Park.

Gan noted that helping these firms remain viable while overseas is key to sustaining local jobs in sectors like finance, legal services, R&D and manufacturing.

The new grant complements existing support schemes, including the Market Readiness Assistance Grant, Enterprise Development Grant and Enterprise Financing Scheme, which provides loans of up to S$10 million.