SINGAPORE, Oct 14, 2025 (BSS/AFP) - Singapore's economy expanded 2.9 percent in the third quarter, slowing down from the previous three months, preliminary official data showed Tuesday, as US tariffs weighed on key manufacturing sectors.

Southeast Asia's second-largest economy is heavily reliant on international trade and is vulnerable to any global slowdown induced by the tariffs, even though it only faces a baseline 10 percent levy from US President Donald Trump.

While beating economists' forecasts, the gross domestic product (GDP) growth for July-September was the slowest this year, according to trade ministry data. GDP grew 4.1 percent in the first quarter and 4.5 percent in the second.

Singapore's export-driven manufacturing sector was flat year-on-year in the third quarter, compared with the 5.0 percent growth in the second quarter, according to the ministry.

"Growth was weighed down by output declines in the biomedical manufacturing and general manufacturing cluster," it said.

The preliminary GDP figures are based on economic performance in the first two months of the quarter and are subject to revision.

They reflect data released last month showing softer shipments to the city-state's important export markets.

Singapore's non-oil domestic exports shrank 11.3 percent in August, accelerating from the 4.7 percent fall in July.

Exports to the United States tumbled nearly 29 percent in August, extending a 42.8 percent decline in July.

And exports to China tumbled 21.5 percent, steeper than the 12.3 percent decrease in July.

Singapore's trade ministry in August raised its 2025 growth forecast to 1.5-2.5 percent from an earlier range of 0-2.0 percent, but warned that global uncertainties remained.