Overview
A more connected Asia
By 2030, Asia expects its middle class to grow by an additional 2.5 billion people as more become educated, socially engaged and internationally connected.
The desire to travel will lead to significant growth in air, land travel and consumer goods movements, which necessitates more efficient transport and logistics. Intra-ASEAN trade is further projected to grow exponentially under the ASEAN Economic Community 2015 plan.
Focal point of exchange
Singapore is well-placed to facilitate these developments as a leading logistics and supply chain hub, with robust aviation and maritime capabilities. Through the Singapore Aviation Academy and the Singapore Maritime Institute, Singapore has also trained thousands of regional personnel in these two sectors.
With over 100 aerospace companies such as ST Aerospace, Goodrich, Rolls Royce, and Pratt & Whitney based here, Singapore’s aerospace industry accounts for a quarter of Asia’s Maintenance, Repair and Overhaul (MRO) output, supported by Seletar Aerospace Park.
Concurrently, with a strategically positioned global hub seaport connected to 600 ports in over 120 countries, Singapore is the ideal Asian gateway for global leaders in shipping finance, ship broking, risk management and marine insurance. Singapore is the busiest port in the world in terms of shipping tonnage, with more than 130,000 vessel calls annually1. Little wonder that some 130 of the world’s top shipping groups have established their presence here.
Global leader in supply chain management and logistics
Singapore’s flourishing logistics hub is ranked in the top 5 performers among 155 countries in The World Bank’s 2016 Logistics Performance Index1. Some 21 of the top 25 global logistics players, including DHL, TNT, FedEx, Kuehne + Nagel, Sankyu, Schenker, Toll Logistics, UPS and Yusen Logistics, centralise their regional supply chain operations in Singapore.
Singapore’s investment in world-class infrastructure includes the Airport Logistics Park in the airport’s free trade zone, Singapore FreePort which provides the largest maximum-security facility for fine art and collectibles, and Coolport@Changi which is the first airport facility in Asia to handle perishable cargo.
Aerospace & Logistics Business Events: Opportunities for growth
Current business events landscape
It is no surprise that business events in these sectors have flourished in Singapore. The Singapore Airshow is one of the world’s top three international airshows, with over US$12.7 billion worth of transactions inked in 20162. Rotorcraft Asia, the first of its kind in Asia, gathers the entire civil helicopter industry in one convenient location, catering to the growing civil, medical, rescue and parapublic aviation needs. It is co-located with Unmanned Systems Asia which focuses on the latest drone technologies and solutions in aerial, ground, surface and underwater systems. Key events for the Maritime industry include Asia Pacific Maritime, Asia's premier exhibition and conference focusing on shipbuilding & marine, workboat and offshore. Singapore Maritime Week, with its anchor event Sea Asia, gathers the international maritime community in celebration of all things maritime while highlighting Asia’s pivotal role in the global shipping world.
Opportunities
As Asia progressively accounts for a bigger share of global trade and transportation, the strong growth of Asia’s emerging economies will boost the intra-regional movement of goods and people. Burgeoning passenger numbers call for immediate infrastructure, indicating potential for business events which facilitate partnerships to address infrastructure gaps and investment models. As oil prices fluctuate and developing economies battle with pollution, sustainable travel and logistics is shaping up to be an important focus area, as is the unique realm of user-centred comfort and design.
Specifically for the supply chain and logistics sector, the recently unveiled 2016 Logistics Industry Transformation Map in Singapore aims to transform the logistics sector and reinforce Singapore's position as a global logistics hub. This, in line with global trends, will create demand for niche events that focus on innovation in areas such as Advanced Infrastructure, Process Automation, Systems integration and Analytics. Singapore’s strategic location, highly developed infrastructure, technological advancements and global connections make it a promising entry point for such niche events into the region.
Did you know?
- Singapore boasts the world’s busiest transshipment hub, handling about one-seventh of the world’s container transshipment throughput or 30.62 million Twenty-Foot Equivalent Units (TEU) of containers in 20152.
- The Asia Pacific MRO spend is forecast to grow from US$18.3 billion to US$34.8 billion in 20253.
- The Asia Pacific remains by far the largest transport infrastructure market, with investments expected to grow from US$557 billion per year to nearly US$900 billion per year in 20254. More than 62.2 million passengers passed through Changi Airport in 2017. With the opening of Jewel Changi Airport and the completion of Changi’s Terminal 1 expansion in 2019, Changi Airport’s total handling capacity will increase to 85 million passengers per annum.
1https://www.mpa.gov.sg/web/portal/home/maritime-singapore/introduction-to-maritime-singapore/premier-hub-port
2http://lpi.worldbank.org/international/global
3http://supplychainasia.org/singapore-ranked-5th-logistics-performance-index/
4http://www.oliverwyman.com/insights/publications/2015/nov/2015-2025-mro-asia-market-forecast.html#.V-ScU_nvNhE
5http://press.pwc.com/News-releases/global-transport-infrastructure-investment-predicted-to-reach-unprecedented-levels/s/caf54072-69f8-4568-bc2c-e310e69ba555
