Singapore's economic growth slowed in the second quarter, and tension in the Middle East dragged down the chemical and biomedical manufacturing industries. According to preliminary estimates released on Tuesday, Singapore's GDP grew 5.7% year over year in the second quarter. This growth rate is lower than the revised 6.3% in the first quarter, but higher than the median estimate of 5.3% predicted by economists surveyed by the media. After seasonal adjustments, the country's economy grew 1.1% month-on-month, and the revised increase in the first quarter was 1.3%. The economists surveyed had expected a 1.0% increase. Singapore's Ministry of Trade and Industry said the growth was mainly driven by increased output in the electronics and precision engineering sector, while demand for artificial intelligence-related semiconductors and semiconductor manufacturing equipment is strong. The ministry added, however, that the chemical and biomedical manufacturing clusters have shrunk, with the former being impacted by disruptions in the supply of raw materials caused by the Middle East conflict.

Singapore's economic growth slowed in the second quarter, and tension in the Middle East dragged down the chemical and biomedical manufacturing industries. According to preliminary estimates released on Tuesday, Singapore's GDP grew 5.7% year over year in the second quarter. This growth rate is lower than the revised 6.3% in the first quarter, but higher than the median estimate of 5.3% predicted by economists surveyed by the media. After seasonal adjustments, the country's economy grew 1.1% month-on-month, and the revised increase in the first quarter was 1.3%. The economists surveyed had expected a 1.0% increase. Singapore's Ministry of Trade and Industry said the growth was mainly driven by increased output in the electronics and precision engineering sector, while demand for artificial intelligence-related semiconductors and semiconductor manufacturing equipment is strong. The ministry added, however, that the chemical and biomedical manufacturing clusters have shrunk, with the former being impacted by disruptions in the supply of raw materials caused by the Middle East conflict.