Free Trade Agreements/Partnerships
Pacific Alliance-Singapore Free Trade Agreement (PASFTA)
The Pacific Alliance-Singapore Free Trade Agreement (PASFTA) is Singapore’s first FTA with a Maritime Chapter.
About the Pacific Alliance-Singapore FTA (PASFTA)
The PASFTA is Singapore’s first FTA with a Maritime Chapter. It is also the first FTA Singapore has with Colombia. The Pacific Alliance comprises of Chile, Colombia, Mexico and Peru. The PASFTA entered into force between Singapore, Chile and Peru in May 2025. It is currently pending Colombia and Mexico’s ratification.
Minister for Trade and Industry Gan Kim Yong with Mexican Finance Secretary Rogelio Ramírez de la O, Colombian President Iván Duque, Chilean President Sebastián Piñera, Peruvian President Pedro Castillo, and Ecuadorian President Guillermo Lasso at the 16th Summit of the Pacific Alliance in Bahía Málaga, Colombia, 26 January 2022.
Key Features of the PASFTA
Trade in Goods
Tariff elimination on the majority of the tariff lines.
Improved transparency and smoother processing in customs procedures.
Materials originating in another Party can contribute towards the originating status of a good produced to qualify more easily for preferential tariffs.
Transparent and non-discriminatory rules for developing technical regulations, and sufficient time given to businesses to meet any new technical regulations.
Trade in Services and Investment
Singapore service suppliers and investors are treated as favourably as those in the Pacific Alliance, in committed sectors.
Singapore service providers are not required to establish or maintain a local representative office in the Pacific Alliance for sectors which have been committed.
Singapore companies operating in the Pacific Alliance are not required to appoint individuals of any particular nationality to senior management, in committed sectors.
Singapore service suppliers have preferential market access in: (i) legal services; (ii) construction services; and (iii) tax advisory services.
Government Procurement
Singapore companies can bid for the Pacific Alliance’s government procurement projects.
E-Commerce
No customs duties on electronic transmissions.
Companies which sell products with embedded software are not obliged to release their source code.
International Maritime Transport Services
Cooperation in maritime activities with the removal of barriers to the supply of maritime transport services.