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Sapio Insights

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Rethink Reposition: Why Chinese Companies Should Consider Setting Up in Singapore Amid Rising US Tariffs?

· Corporate Business | Market Insights,Corporate Business|Going Global
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As new US tariff measures take effect, businesses across Asia – particularly Chinese exporters – are facing mounting challenges to maintain price competitiveness and secure global market share. But where there’s disruption, there’s also opportunity. At Sapio Insights Group, we believe the time is ripe for forward-looking Chinese enterprises to take a bold step: register a Singapore company and establish a new international base for global expansion.

US reciprocal tariff rates applied to each Asia Pacific territory

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Source:Pwc

The Global Trade Landscape Has Changed

The US has intensified its trade restrictions, imposing up to 54% in tariffs on certain Chinese-origin goods. Simultaneously, it has removed the duty-free threshold for small shipments from China (including Hong Kong SAR), effective May 2, 2025 — placing greater pressure on exporters, especially in consumer goods, e-commerce, and tech.

What this means is clear: Chinese companies heavily reliant on direct exports to the US are seeing shrinking margins and rising compliance risks.

Why Singapore?——The strategic gateway for Chinese enterprises to expand internationally

Singapore isn’t just a location – it’s a global launchpad.

Here’s why Chinese companies are choosing Singapore to internationalize their businesses and safeguard against geopolitical volatility:

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What’s Possible with a Singapore Entity?

Once a Singapore company is registered, Chinese enterprises gain:

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Who Should Consider Registering in Singapore?

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How Sapio Insights Can Help You?

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If you have any related inquiries, feel free to contact us

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-Global Hotline: 400-9678-176

Scan the QR code for a free consultation:

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