Britain and Singapore forge closer links, centred on emerging tech

British Deputy Prime Minister Oliver Dowden signed two new agreements covering emerging tech and data during his official visit to Singapore.

Britain and Singapore can combine their strengths in emerging technologies, including artificial intelligence (AI), data and quantum computing to upgrade their strategic relationship, according to British Deputy Prime Minister Oliver Dowden.

Mr Dowden, who was on his first official visit to Singapore from June 27 to 29, signed two new agreements covering emerging tech as well as data.

“This builds on work we’ve already done,” he said in an interview with The Straits Times, referring to the fact that Britain and Singapore already have a digital economy agreement as well as a free-trade agreement (FTA).
 

Britain is a powerhouse in emerging technology, said Mr Dowden, who previously served as the country’s digital secretary.

“We have a trillion-dollar tech economy and more unicorns (companies valued at more than US$1 billion or S$1.35 billion) than anywhere else in Europe, more than France, Germany and Sweden combined,’’ he pointed out.

He added that in the field of AI, which is poised for a revolution over the next five years, the three labs that are at the frontier of the industry – OpenAI, DeepMind and Anthropic – “have a presence in the UK, the only country outside the US where they do“.

Singapore also has significant strengths, said Mr Dowden. For example, its AI Verify regulation – which is an AI-governance testing framework and toolkit for companies – “is world leading”.

Britain and Singapore can combine their strengths, help to shape the global architecture of AI and attract investments to both countries, he said, adding that AI-related initiatives featured prominently in his discussions with Prime Minister Lee Hsien Loong, Deputy Prime Minister Lawrence Wong, Singapore’s investment company Temasek and sovereign wealth fund GIC.

Post-Brexit, Britain is also upgrading its relationships across Asia, said Mr Dowden. Besides its bilateral FTAs with Australia, Japan, New Zealand and Singapore, it has joined the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) as the trade grouping’s 12th member.

Although Britain already had bilateral trade agreements with most CPTPP members and its own government estimated that its accession to the agreement would add less than 0.1 per cent to its gross domestic product over 15 years, Mr Dowden pointed to several potential benefits.

“Ninety-nine per cent of our trade with CPTPP members is now tariff-free, and for the first time, we’ve got a free-trade agreement with Malaysia,” he said.

Moreover, joining the CPTPP “enables the UK to be a strong free-trade voice within that group. And most importantly, it is a statement of intent about the UK’s commitment to the Indo-Pacific and the wider Pacific. It is entrenching us in this region for generations to come.”

The move also enables Britain to play a part in the Asia-Pacific community, he added, alongside its status as a dialogue partner in ASEAN, and its commitment to defence and security in this region through Aukus, a security pact involving Australia, the United Kingdom and the United States.

“The UK isn’t just saying it is committed to Southeast Asia – we’re doing it,’’ he said.
 

The Brexit dividend

Mr Dowden also defended the benefits of Brexit for Britain, particularly on trade.

“Britain has gained the ability to shape its own rules in a way that creates greater freedom and more business opportunities,’’ he said. “We’ve been straight out of the blocks, signing extensive FTAs around the world, and there are many more in the pipeline.”

Britain has more than 70 FTAs in force and is negotiating others with Canada, India, Israel, Mexico and the Gulf Cooperation Council.

Although it no longer enjoys the benefits of the European Union’s trade agreements, Mr Dowden claimed that Britain now has the freedom to negotiate more comprehensive and bespoke trade deals.

“For example, we had an FTA with Japan through the EU. But the FTA we have signed with Japan subsequently has a very extensive digital chapter to it, including on emerging tech. That is something we didn’t have previously,” he pointed out.

“And if you look across our pipeline of FTAs, we’re able to reach more appropriate deals because we can focus on what’s just in the interests of the UK and the other bilateral partner. We don’t have to trade off wider European interests.”

He noted that many areas of emerging tech, in particular, are not covered by existing EU FTAs. So, many of Britain’s new trade deals are not inherited or being rolled over from the EU’s FTAs.

“We’re actually creating fresh opportunities in those high-growth areas,” he said.

He added that at the same time, Britain has a broad trade agreement with the EU and has recently resolved a major outstanding issue relating to trade between the EU and Northern Ireland through the so-called Windsor Framework, which simplifies the rules governing that trade and has been accepted by the EU.

Although several opinion polls indicate a significant proportion of Britons favour rejoining the EU, Mr Dowden ruled out that possibility.

“The British people have made a decision in the referendum,’’ he said.

“And finally, now, particularly after the Windsor Framework, we’ve reached a settled and positive position with the EU. And we, as a government, are focused on the opportunities which come with that and on projecting Britain onto the global stage.”

Source: The Straits Times © SPH Media Limited. Permission required for reproduction.