Singapore - Country Commercial Guide

This is a best prospect industry sector for this country.  Includes a market overview and trade data.

Last published date: 2022-08-11


Singapore has become one of the most important shipping centers in Asia and is one of the world’s top five oil trading and refining hubs.  In addition, Singapore is one of the market leaders for floating production, storage and offloading (FPSOs) conversions and offshore jack-up rigs.  A liquified natural gas (LNG) import terminal is being expanded in phases to enhance Singapore’s position as the premier regional center for the oil and gas industry. 

Natural gas accounts for more than 93% of Singapore’s electricity generation.  Other sub-sectors contributing to the overall energy sector in Singapore are petrochemicals, electricity infrastructure (including smart grids), renewable energy (such as solar energy on rooftops and even on reservoirs), and clean energy (such as fuel cells and the use of hydrogen which is likely to replace natural gas from 2030 onwards). Singapore is also looking to import electricity from other countries and is even considering the use of nuclear energy from 2040 onwards.

However, uncertainties in the global economy due to fluctuating oil prices, geopolitics, trade wars, etc. are affecting new projects coming on stream.  As the regional hub for Southeast Asia and with its friendly business environment, there will be opportunities for U.S. exporters in Singapore, especially if there is an uptick in subsea exploration and refinery activities as well as the wider adoption of more renewable/clean energy sources.

Table: Energy Market Size, million USD





2022 estimated

Total Local Production





Total Exports





Total Imports





Imports from the US





Total Market Size





Exchange Rates





Units: $ millions
Source: IHS Markit

Leading Sub-Sectors

Singapore has many product and component requirements for American companies including:

  • Supply of equipment such as boring or sinking machinery for upstream and downstream oil and gas, shipbuilding, marine, mechanical and electrical construction, oxidation additives, and various control systems;
  • Renewable energy equipment such as performance monitoring / tracking systems, power optimizers, inverters, grid connectors, waterproof cables for floating solar panels; and
  • Electrolyzes, electrodes, hydrides, gas generators, purifiers and safety sensors which are used for hydrogen energy and fuel cells.


Singapore is often listed as the leading oil trading hub in Asia (third largest in the world after New York and London), and among the world’s top five oil refining centers.  It is also a world leader in the construction of exploration and production platforms and FPSOs conversions as well as for jack-up rigs.  According to industry sources and feedback from Singapore companies, the stability and economics of oil prices are very important.  In addition, cash flow has an impact on new projects such as construction of new rigs so many companies are consolidating, restructuring or adopting new innovative / digital technologies to be more efficient.  One example of a project that is in progress is the US$200 million semi-submersible floating production topside, which Shell USA is building in Singapore and will eventually be located in 4000-ft. depth of water in the Gulf of Mexico, and this is the second one on order.

Clean and sustainable energy will have more emphasis in Singapore’s drive to achieve at least 2GW of additional peak power capacity in 10-12 years’ time.  Peaking power plants represent only 1% of total electricity demand currently, but Singapore’s planned expansion would quadruple the amount of peaking capacity and allow for greater use of intermittent renewable energy sources.  This is in line with global objectives in the shift towards a low-carbon world.  According to press reports, Singapore also plans to deploy 200MW of energy storage capacity over the next decade to balance demand fluctuation to ensure system reliability.  Two clean and sustainable sources of energy that Singapore is adding into the mix are the use of floating solar power panels and hydrogen energy.  Despite Singapore being hit by the covid pandemic for more than two years, the industry sector is slowly opening up again as shown by the figures in the table.

In land-scarce Singapore, even reservoirs are being used to generate electricity.  The Public Utilities Board is currently looking at the feasibility of installing more solar panels on reservoirs (as well as on roof tops) to generate electricity as a form of renewable energy and reduce carbon footprint.  Singapore’s first large-scale floating solar photovoltaic (PV) system is being deployed at Tengeh Reservoir as an initial pilot project.  Moreover, the cost of solar energy has dropped from 40 US cents per KWh to 10 US cents per KWh over the past 10 years.

Another ongoing pilot project is the use of hydrogen energy to completely power a 3-storey building which is not connected to the national electricity grid.  This is the first zero-emission building in Singapore and ASEAN to be powered by green hydrogen.  The Hydrogen Energy System, which is housed within a container outside the building, also tackles supply fluctuations and intermittency issues which are common shortcomings of renewable energy.


Trade Shows  


November 15-17, 2022  

Singapore Government Offices 

Enterprise Singapore (EnterpriseSG)   

Singapore Economic Development Board (SEDB)   

Singapore Energy Market Authority   

Singapore Public Utilities Board   

Singapore Power   


U.S. Commercial Service, Singapore Contact  

Mr. Chan Y K, Commercial Specialist