Feasibility Study of Establishing Domestic Rare Earth Processing Capabilities
Ministry of Trade and IndustrySpeakers
Summary
This question concerns the feasibility of establishing domestic rare earth processing capabilities and the regulatory barriers related to radioactive waste management. Mr Kenneth Tiong Boon Kiat inquired about strategies for securing critical materials for aerospace and defence. Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong noted that local producers currently import processed products and the government is monitoring supply chain developments. He emphasized a multi-pronged strategy involving international trade rules, partner diversification, and potential local production based on economic viability and resource constraints. Furthermore, any projects must comply with the Radiation Protection Act and Environmental Protection and Management Act to ensure worker safety and pollution control.
Transcript
5 Mr Kenneth Tiong Boon Kiat asked the Deputy Prime Minister and Minister for Trade and Industry (a) whether the Ministry has assessed the feasibility of establishing rare earth processing capabilities in Singapore given their strategic importance to aerospace and defence supply chains; (b) what environmental and regulatory barriers exist, particularly regarding radioactive byproduct disposal; and (c) what alternative strategies Singapore is pursuing to secure access to critical rare earth materials.
Mr Gan Kim Yong: Our producers primarily import intermediate or final products containing rare earth rather than its raw form. While they have not raised immediate concerns, we are monitoring developments regarding the supply of rare earths.
More broadly, we adopt a multi-pronged approach to strengthen Singapore's supply chain resilience. This includes supporting a rules-based international trading system, deepening bilateral partnerships with trusted partners and encouraging our essential firms to diversify their sources of critical supplies. Where necessary and economically viable, local production capabilities may also be considered, taking into account competing national priorities and resource constraints
We would welcome interest from industry to undertake rare earth-related projects in Singapore. Like all heavy industrial activities with environmental impacts including radioactive waste generation, these projects would need to comply with Singapore’s environmental and safety regulatory frameworks. These include requirements stipulated in the Radiation Protection Act (RPA) and Environmental Protection and Management Act (EPMA). For instance, the RPA ensures workers are protected from radiation exposure and that radioactive waste is managed properly. Similarly, the EPMA requires businesses to abide by pollution control requirements.