Value of Locally Produced High-end AI Chips and Efforts to Overcome Existing Key Constraints from 2020 to 2025

Mr Chua Kheng Wee Louis asked the Deputy Prime Minister and Minister for Trade and Industry (a) in each of the last five years, what is the dollar value of advanced computing commodities and high-end artificial intelligence chips that are produced locally; (b) what are the key constraints in raising the share of high-end chipmaking in Singapore; and (c) what efforts are being undertaken to overcome them.

Singapore's semiconductor output grew from $100 billion in 2020 to $133 billion in 2024. Companies do not disclose product-specific data to the Government.

High-end chipmaking is attractive because it is technologically complex and capital intensive. It can potentially produce higher value but also carries higher risks. As a result, global competition for semiconductor investments is intense and has increased over the last few years, as countries seek to participate in the supply of artificial intelligence chips. However, chipmaking is land and energy intensive, which requires Singapore to be selective as to the projects we pursue.

We adopt a multi-pronged strategy to grow high-end chipmaking in Singapore.

We are expanding the manufacturing footprint of globally leading semiconductor companies in Singapore. Recent wins include KLA's new manufacturing facility for some of its most advanced inspection tools and Micron's $30 billion investment to build a new NAND flash memory chip plant in Singapore.

We are also promoting these semiconductor companies and promising semiconductor start-ups to establish and expand their research and development (R&D) activities here, to deepen our technological capabilities in high-end chipmaking. An example is A*STAR's partnership with GlobalFoundries to accelerate advanced packaging and silicon photonics innovation in Singapore.

In addition, we are deepening our public R&D capabilities, including the setting up of national platforms that support companies and start-ups in their translational research, such as A*STAR's National Semiconductor Translation and Innovation Centre. Doing so uplifts the semiconductor ecosystem to remain globally competitive and attractive to leading semiconductor companies to invest in Singapore.