China will be able to navigate around restrictions imposed by others, emerge more resilient: PM Wong

Business Times

3 days ago

[BEIJING] Whatever restrictions it may face from other countries, China is likely to find a way around them by developing its own capabilities, Prime Minister Lawrence Wong said on Wednesday (Jun 25).
China's response to increasing geopolitical contestation was among the topics that PM Wong tackled in a wrap-up interview with Singapore media, towards the end of his introductory visit to China.
He noted increasing attempts by countries 'to weaponise economic interdependencies and identify potential choke points as leverage, all in the name of security and resilience'.
But the more a country does this, the more others are incentivised to find alternative solutions and sources, he added.
'Be it high-end semiconductor chips or rare earth materials, there will always be alternatives. So what may appear to be leverage today may very well disappear, or the leverage will be minimised down the road.'
This is already playing out today, he said. 'Whatever the restrictions or controls (that) may be imposed on China, I'm quite sure China will find a way, navigate its way around them.'
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He added: 'China will redouble its efforts, as it's already doing, to develop its own indigenous technology, strengthen its R&D (research and development) base – which is happening – and emerge more resilient from this process.'
On China's economic prospects more broadly, he noted that its property market has become more stable and the economy continues to do well, with efforts to boost consumption.
A large share of the workforce is also still in the rural and agricultural sector, he noted. This means there are 'tremendous opportunities' for urbanisation and modernisation, to uplift hundreds of millions of Chinese.
Bringing temperatures down
While US-China relations are 'in a state of flux' and no one knows what will happen next, it is good that talks have 'helped to bring down the temperature', said PM Wong.
He hoped for continued constructive engagements that allow both sides to find a way forward.
Singapore and Asean member states have also been engaging the US, he noted. His hope is that the eventual reciprocal tariffs imposed by the US on Asean countries will be lowered 'closer to 10 per cent, if not 10 per cent'.
Even so, such a rate would still be three times higher than in the past, he cautioned. 'So we have to be realistic. We are going to be in a world where barriers are higher, and we will have to find ways to navigate around this new environment.'
As for other geopolitical tensions, including in the Middle East, PM Wong said that Singapore wants to have good relations – which goes beyond 'being friendly, saying polite words, handshakes and hugs'.
While good rapport is important, having good relations means building on substance, he said. 'Singapore must have relevance, and we must be able to offer something on the table to our partners.'
One way to stay relevant is by being an effective interlocutor, he said. Singapore has a reputation as 'a trusted, reliable, principled partner' and 'honest broker', trusted to facilitate conversations even among those who disagree.
This is even more important in a world of growing tensions and greater separation, he added.
Strengthening bilateral ties
Since arriving in China on Jun 22, PM Wong has met Chinese Premier Li Qiang and President Xi Jinping in Beijing, and attended the World Economic Forum's Summer Davos 2025 in Tianjin.
In his wrap-up interview, the prime minister reiterated that his visit builds on strong foundations laid by his predecessors.
Long-running joint projects, such as the Suzhou Industrial Park and Tianjin Eco-city, remain platforms for cooperation – and are entering new areas such as digital technologies, renewable energy and even modern services, he said.
Beyond two-way collaboration, a new area with 'some potential' is for Singapore and China to cooperate in a third country, said PM Wong, noting that this is the goal of the Third Country Training Programme announced on Monday.
The programme is for government officials from Asean member states and Timor Leste, which is slated to join the bloc. It aims to improve regional capacity to tackle long-term challenges in sustainability and resilience.
PM Wong said that he had good conversations with the Chinese leaders, 'quite candidly and openly' discussing not just bilateral issues but also regional and global developments.
He hoped to continue these valuable conversations and has invited Li and Xi to visit Singapore at their convenience.
On Wednesday night, the prime minister also met Singaporeans living in China, ahead of the end of his official trip on Thursday.