As a major trading and financial hub, Singapore has the infrastructure and expertise that Chinese corporates need to effectively access other ASEAN markets. The country’s stable tax, legal and regulatory systems and business-friendly environment make it easier to do business here. With topnotch infrastructure and services, and a highly capable workforce, Singapore offers an excellent base to expand into the rest of ASEAN.
Singapore’s economic and strategic role in ASEAN and trading partnership with China make it the top destination for Chinese businesses. Tap HSBC's group expertise to help expand your business into Singapore and ASEAN.
Why Singapore
A leading financial centre
Singapore is a leading global financial hub with a AAA credit rating from all three major credit agencies. It is Asia Pacific’s largest foreign exchange centre1 and manages two-thirds of all project financing in ASEAN.
Importantly, Singapore is the financial conduit between China and Southeast Asia. It is one of the largest offshore clearing centres for the renminbi and services global inflows from ASEAN markets.
A Southeast Asian trading hub
Singapore is located where major East and West shipping lanes converge and is one of Asia’s largest trading hubs. Its central role in ASEAN and economic partnership with China mean that it is becoming the focal point of commercial activity in the region, making it an effective springboard for regional opportunities.
Partner to China
Doing business in Singapore is easier for Chinese corporates because of the city-state’s partnership with China. The two countries are working together to build trading routes across Asia and are cooperating in infrastructure, financial services, transportation and logistics among key areas. Their government-to-government projects include the Chongqing Connectivity Initiative, Suzhou Industrial Park and Tianjin Eco-city.
A business-friendly environment
Singapore offers a world-class business environment for Chinese companies looking to set up in the city-state. The banking system is efficient, there’s a good supply of skilled workers, and everything works – from registering a business to enforcing contracts. It is no surprise then that the World Bank has ranked Singapore second globally for ease of doing business (PDF, 2.8MB).
Capturing international business expansion opportunities
Singapore has kept its doors open to trade. This has allowed it to draw considerable foreign direct investment (FDI) and become one of the top countries in the world for FDI. In 2018, for example, it attracted around USD77 billion in investments – more than 53 per cent of the USD145 billion that flowed into Asia2.
Dedicated support from an experienced business banking partner
Singapore’s competitive and robust economy can support Chinese corporates’ growth momentum. The country sits at the top of many indices measuring all aspects of life and has a stable macro-economic environment with healthy public finances. Singapore has 21 free trade agreements with 32 trading partners. Chinese companies can leverage this to expand their businesses within and even beyond ASEAN.
Capturing international business expansion opportunities
Mandarin is widely spoken in Singapore. Although English is the administrative language and the medium of instruction in schools, the Singapore government promotes the teaching of two languages to all school children. As a result, a high proportion of Singapore’s population today speak Mandarin as their first or second language.
Find out more about HSBC China SG Corridor
Singapore: China's Gateway to ASEAN
Discover the opportunities that the Belt and Road Initiative (BRI) will bring to ASEAN and the ways Chinese corporates with expansion goals can take advantage of the China-Singapore Corridor to tap the potential of the region.
Enter ASEAN confidently with HSBC
With HSBC's deep expertise in partnering Chinese corporates to scale across borders, find the solutions you need to gain access to the ASEAN network.
HSBC China Desk: Your partner for growth
When you're ready to scale your business beyond China, HSBC provides dedicated support from HSBC Desk Network in Singapore to help with your expansion plans.
1http://www.mas.gov.sg/News-and-Publications/Media-Releases/2016/Singapore-Reinforces-Position-as-the-Largest-FX-Centre-in-the-Asia-Pacific.aspx
2https://unctad.org/en/PublicationsLibrary/diaeiainf2019d1_en.pdf?user=46
Disclaimer
The content on this page (“Singapore-China corridor website”) was prepared by The Hongkong and Shanghai Banking Corporation Limited, Singapore Branch (“HSBC” or “we”).
The information contained in this Singapore-China corridor website is derived from sources we believe to be reliable but which we have not independently verified. HSBC makes no representation or warranty (express or implied) of any nature nor is any responsibility of any kind accepted with respect to the completeness or accuracy of any information, projection, representation or warranty (expressed or implied) in, or omission from, this Singapore-China corridor website. No liability is accepted whatsoever for any direct, indirect or consequential loss (whether arising in contract, tort or otherwise) arising from the use of or reliance on this Singapore-China corridor website or any information contained herein by the recipient or any third party. If you seek to rely in any way whatsoever upon any content contained in this Singapore-China corridor website, you do so at your own risk.
This Singapore-China corridor website does not constitute an offer or solicitation for, or advice that you should enter into or start using, any of the arrangement, product or services mentioned in this Singapore-China corridor website. Recipients should not rely on this Singapore-China corridor website in making any decisions and they should make their own independent appraisal of and investigations into the information described in this Singapore-China corridor website. No consideration has been given to the particular business objectives, financial situation or particular needs of any recipient. Any examples given are for the purposes of illustration only.
All the information set out in this Singapore-China corridor website is provided in good faith to the best of HSBC’s knowledge and understanding of the current law, rules, regulations, directions and guidelines governing or otherwise applicable to the relevant services offered by HSBC but HSBC makes no guarantee, representation or warranty and accepts no liability as to its accuracy or completeness. Future changes in such law, rules, regulations etc. could affect the information in this International Subsidiary Banking website but HSBC is under no obligation to keep this information current or to update it. Expressions of opinion are those of HSBC only and are subject to change without notice.
Copyright © The Hongkong and Shanghai Banking Corporation Limited, Singapore Branch 2020. All rights reserved. No part of this Singapore-China corridor website may be reproduced, stored in a retrieval system, or transmitted, on any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of HSBC.
Issued by The Hongkong and Shanghai Banking Corporation Limited, Singapore Branch (UEN S16FC0010A). The Hongkong and Shanghai Banking Corporation Limited is incorporated in the Hong Kong SAR with limited liability.
Need help?
Get in touch to learn more about our banking solutions and how we can help you drive your business forward.