Addressing the official opening ceremony of GlobalTRONICS 2008, Senior Minister of State for Trade and Industry, S. Iswaran, highlighted the electronics sector as being a key driver for growth of the manufacturing industry. He said: "The continued growth and competitiveness of the electronics sector is important to Singapore as it forms the bedrock of our manufacturing sector.” According to the Senior Minister, electronics products (which include office and data machines, telecommunication apparatus and electrical machinery) accounted for 45 percent of Singapore’s total exports last year. "According to data from the Economic Development Board, the electronics sector underpinned Singapore’s economic growth last year, contributing an output of S$73 billion and employing more than90,000 workers. " 
Noting the volatility that is characteristic of the industry such as product cycles, technology obsolescence and intense competition, Iswaran highlighted that the electronics Purchasing Manager’ Index (PMI) dip in May 2008 to 49.4 was largely due to the global slowdown and weaker US demand. He added that as a consequence of the two adverse factors, there is a need to diversify activities within the electronics industry. He said: "We have identified new areas and are developing our capabilities to move up the value chain. In particular, we aim to secure more capital-intensive projects such as the multi-billion dollar wafer fabrication plants, as well as breakthrough projects like the solar cell plant of Switzerland’s Oerlikon Solar, and Rolls-Royce’s first Asian plant in Singapore to manufacture enginesfor large commercial aircraft.” Despite the global outlook for 2008 being overshadowed by rising oil prices and economic uncertainties in the United States, sentiment for Asia’s electronics manufacturing sector remains strong. This is despite the compounding effect of the emergence of low-cost manufacturing locations. The reason for this optimism, according to Iswaran, is that the operations of electronics manufacturing services (EMS) providers in Singapore have evolved over the years from the supply of components into higher value-added activities such as product design, logistics and supplychain management. 
In concluding his address, the Senior Minister said: "We will continue to grow our R & D capabilities in Singapore to help our companies stay at the cutting-edge of new technologies, and to continue to offer an open and supportive environment for businesses to implement ventures and projects speedily and efficiently." This year’s GlobalTRONICS event includes EDN Asia Embedded Systems Seminar, GlobalTRONICS Supply Chain and Logistics Conference, as well as workshops on emerging technologies. Theevent ends on September 12. | 
