Singapore Analytical Brief: PM Lee Urges U.S. Engagement with Asia During Washington, DC Visit

Singapore Analytical Brief | October 26, 2017
Authors: Riley Smith and Kim Yaeger
 
ANALYTICAL BRIEF
 
 

PM Lee Urges U.S. Engagement with Asia During Washington, DC Visit
Singapore’s Prime Minister Lee made an official working visit to Washington, DC, from October 21-26 with the aim of building on Singapore’s and the United States’ 51-year-old “wide-ranging and robust partnership,” according to a statement issued by the Prime Minister’s Office (PMO).  The visit was Lee’s first to the United States since Donald Trump was elected President last November, and he used it as a way to set up themes meant to inform Trump’s upcoming trip to Asia in November, where trade will be an important topic in Trump's trips to China, Vietnam, Japan, the Philippines, and South Korea.  In addition to meeting with President Trump, the Prime Minister also met with Cabinet Secretaries, White House officials, and key members of Congress.  The official press release for Prime Minister Lee's visit to Washington, DC, which can be found here, lists all the U.S. Government officials and members of Congress with whom he was scheduled to meet.  Along with a speaking engagement at The Economic Club of Washington D.C., the Prime Minister also spoke at the Council on Foreign Relations.  Lee also witnessed the signing ceremony for a deal that will see Singapore Airlines purchase 39 airplanes, worth approximately US$13.8 billion, from U.S. aircraft manufacturer Boeing. 

During the bilateral meeting at the White House, Prime Minister Lee and President Trump affirmed the strong partnership between Singapore and the United States that is a result of close economic, defense, security, and people-to-people ties.  According to the joint statement that was issued following the meeting, both leaders cited the success of the United States-Singapore Free Trade Agreement (USSFTA) in strengthening economic relations between two countries.  By 2016, the 13-year-old agreement had helped bring about a near doubling of trade flows – to more US$68 billion – from pre-FTA levels.  Lee and Trump also noted that the United States has maintained a consistent trade surplus with Singapore under the USSFTA, and that, while the United States is the largest source of FDI into Singapore, the city-state is one of the largest investors from Asia in the United States.  The two leaders also noted how the 2016 Memorandum of Understanding on e-Commerce, Smart Cities, Infrastructure and Financial Technology has further expanded commercial cooperation.  Lee and Trump also discussed cybersecurity threats and the progress that Singapore and the United States have made countering such threats as part of the 2016 Memorandum of Understanding on Cybersecurity Cooperation.

With 2018 being the year that Singapore assumes the role of ASEAN Chair, Prime Minister Lee and President Trump also discussed the importance of the U.S.-ASEAN relationship during the October 23 meeting at the White House.  Given Singapore’s intent to focus on the digital economy during its ASEAN Chairmanship year, the two leaders affirmed their commitment to ensuring that the digital economy serves as a “key engine for future economic growth,” according to the joint statement.  They also recognized the 50th anniversary of ASEAN and the 40th anniversary of U.S.-ASEAN relations, as well as affirming continued support for the Third Country Training Program.  Lastly, Lee and Trump reemphasized the commitment of Singapore and the United States to ASEAN centrality and to strengthening the regional architecture so that transnational issues such as maritime security, cybersecurity, and countering violent extremism can be addressed effectively.  In reaffirming this commitment, both leaders noted the importance of the U.S.-ASEAN strategic partnership and the principles, as enumerated in the 2016 Sunnylands Declaration, that underpin this partnership.  The full joint statement on the meeting between Singapore Prime Minister Lee and U.S. President Trump can be found here

Prior to his October 23 meeting with U.S. President Donald Trump, Lee spoke at The Economic Club of Washington D.C., delivering a speech that emphasized how stability in the Asia Pacific depends upon the United States’ continued security, economic, and diplomatic engagement in the region.  Given recent rhetoric coming out of the White House on China, especially on trade issues, a good portion of the speech was devoted to explaining why countries in the broader Asia Pacific region should not need to choose between China and the United States in their economic relations, and why the United States should continue to uphold free trade in the region.  The Prime Minister emphasized that opportunities exist for both in the region, and that collective prosperity would come from an "open and inclusive regional architecture" instead of a "world divided into rival blocks."  The message is not a surprising one coming from a heavily trade-dependent country that counts China as its top trading partner and the United States as its top source of FDI.  Lee did emphasize, however, that it is ultimately the stance of the United States that will be the key determinant.  How the United States approaches economic relations with countries in the Asia Pacific, especially China – whether it still believes that it benefits the most from an “interdependent world, open exchanges and multilateral rules” – will be central to prosperity and stability of the region, as well as the prosperity of the United States.  The full text of the Prime Minister’s speech can be found here.

The Singapore Government officials who accompanied the Prime Minister on his trip may offer some insight into the closely watched, largely behind-the-scenes contest for who may eventually be favored to succeed Lee.  Accompanying the Prime Minister on his trip were Minister for Defence Dr. Ng Eng Hen, Minister for Foreign Affairs Dr. Vivian Balakrishnan, Minister for Trade & Industry (Industry) S Iswaran, and Minister for Education (Higher Education and Skills) and Second Minister for Defence Ong Ye Kung.  The latter’s inclusion on this trip undoubtedly owes much to strong U.S.-Singapore military ties.  However, it is also worth noting that out of the three Cabinet members believed to be in the running to be the fourth Premier of Singapore, Minister Ong is the only one accompanying Lee on this important trip to meet the new administration in Washington, DC.  The other two contenders for the premiership are widely considered to be Minister in the Prime Minister’s Office Chan Chun Sing and Minister for Finance Heng Swee Keat.