Cross border digital collaborations pave the way for new business opportunities between Singapore and China in the digital economy

SINGAPORE – 23 AUG 2021

At the International Dedicated Connectivity (IDC) Forum held as part of Smart China Expo (SCE) 2021, new Memoranda of Understanding (MOUs) between Singapore and Chongqing businesses were inked to further cross border digital collaborations in a wide range of sectors, including manufacturing, trade and logistics, and healthcare.

These MOUs are built on the back of deepened bilateral relation between Chongqing and Singapore to spur collaboration and innovation between companies from both sides. The companies are tapping into the growing opportunities in the digital economy, with Asia increasingly becoming the centre of the world economy. A McKinsey report¹ estimated that by 2040, the region could account for more than half of Global GDP and about 40% of global consumption. China is a key driving force within Asia, and Singapore, as an open, trusted and well-connected digital hub of the region, plays an important role in linking up China with Southeast Asia. Chongqing’s trade with the Regional Comprehensive Economic Partnership (RCEP) countries, including ASEAN members, has grown 26 per cent (118.59 billion RMB) year-on-year in the first half of 2021. Moving forward, the China-Singapore (Chongqing) Demonstration Initiative on Strategic Connectivity (CCI) will continue to serve as a strong catalyst for wider collaboration between Western China and ASEAN, which is Chongqing’s largest trading partner.

A significant initiative between Chongqing and Singapore is the IDC led by IMDA and the Chongqing government. Launched in 2019, it was the first point-to-point internet connectivity between China and a foreign country, linking Singapore with seven districts across Chongqing, to provide high quality and fast digital connectivity between Southeast Asia through Singapore and Western China through Chongqing. Bandwidth intensive companies who serve both markets in sectors such as media, games, video conferencing, education and healthcare will stand to benefit most. An example is Haifu and Farrer Park Hospital’s collaboration on cross border ultrasonic diagnostics.

Speaking at the IDC Forum, Mr Lew Chuen Hong, Chief Executive, Infocomm Media Development Authority (IMDA), said, “Today, the IDC has become one of the hallmark projects for Singapore-China collaboration. This digital connectivity enables companies in ASEAN to better provide digital services in the Western China market via the connection through Singapore and vice versa. We have laid a solid foundation to catalyse collaborations and innovation between Singapore and Chongqing companies. In the next five years, we will drive more iconic projects in areas such as trade and logistics.” He also called on the participants to play a more active part in shaping the future of digital trade and supply chains across Asia and the world.

One of the MOUs signed today was between Singapore’s Combuilder and Chongqing’s Genmulu, where both estate builders will look to integrate smart property solutions in Chongqing to enhance the experience of residents. Another MOU that was inked facilitated the collaboration between Singapore startup EyRIS and Beijing’s Aurora International Trading to provide autonomous screening of retinal diseases faced by an ageing population through the indigenous use of AI algorithms.