Embarrassing himself at a public forum again, Trade Minister Chan Chun Sing said he doesn’t know whether local prices will increase after giving a lengthy speech about the trade war between China and US.
The former army general who possessed no experience in economics and business, first gave motherhood statements to state media reporters about increased risks:
“What we can certainly say is that for the global economy, the downside risks have just increased. So we must make sure that we continue to watch this very carefully, and make sure that we make our moves carefully to position ourselves well. So, for the rest of the year, I think we must not underestimate the challenges that the global economy will face.”
Minister Chan Chun Sing then stumbled when asked whether Singapore will see price increase locally:
“It is still too early to tell. I don’t think we are just looking at the direct impact between the US and China. But when the US and China trade patterns shift, there will also be a knock-on impact, the indirect impact on the rest of the global economy — that part is much harder to estimate.”
The ignorant PAP Minister is incapable to analyze that the US-China trade war will instead benefit the markets of their respective allies in the longer term, and that the stock market has only over-reacted within the few weeks of the news breakout. The two sides are also continuing dialogues and there have been intense pressure and lobbying from corporations from both countries to end the conflict.
In the worst-case scenario where the trade war drag out, the Americans will be seeing an election by end-2020, where President Donald Trump is popularly believed to lose power.
Singaporeans should instead be more worried about the GST increase that will be implemented next year, tax increases on utility supply and tariffs on domestic food products from Malaysia.