Speech by Min(EST) Tan See Leng at the Launch of SMART & Sustainable Advanced Manufacturing (SSAM) Industry Joint Labs

Distinguished guests

Ladies and gentlemen

Introduction

1. Good morning! I am delighted to be here today for the launch of four joint labs between A*STAR, Rolls-Royce, Singapore Aero Engine Services Private Limited (SAESL), and our industry partners. These new labs, backed by a combined investment of over S$55 million, show the strength of partnerships between the Government, industry and research.

2. Advanced manufacturing has long been a cornerstone of our economy. Despite the global uncertainty, industries like aerospace and semiconductors continue to grow. To stay ahead, Singapore must double down on innovation in all of these growth sectors.

Building partnerships to deepen companies’ technological advantage and drive economic growth

3. I would like to highlight three ways today’s collaboration between local enterprises, multinational corporations, and public R&D institutions are creating real value for Singapore.

4. First, they help us anchor high-value activities here in Singapore.

   1. The Smart Manufacturing Joint Lab by A*STAR, Rolls-Royce, and SAESL is a strong example. Launched in 2017, it has yielded 18 breakthrough technologies that improve fan blade manufacturing and repair.

   2. One success is the automation of a coating process that has raised productivity, reduced scrap, and made work safer. Improvements like these are expected to generate operational efficiencies for Rolls-Royce and SAESL over the next decade.

   3. The partnership also enabled more than 20 per cent increase in productivity recorded in 2024 compared with 2017, without expanding Rolls-Royce’s factory footprint. For SAESL, which is a joint venture between Rolls-Royce and SIA Engineering Company, the automated technologies have boosted productivity significantly.

5. More than 200 local SMEs were engaged through the lab, creating over S$4.5 million in new business opportunities and eight local SMEs have been added to Rolls-Royce and SAESL’s approved vendor list. The next phase of the joint lab will build on these successes to strengthen Singapore as a hub for next-generation aerospace manufacturing and servicing.

6. Second, collaboration empowers our local SMEs to scale up and compete on the global stage.

   1. Take Applied Total Control Treatment (ATC), a local surface treatment company as example. Some of the copper trims on Singapore Airlines business class seats have been given a new lease of life by ATC. Working with A*STAR, ATC co-developed the know-how to refurbish these parts and even gained a new capability in polymer metallisation.

      1. Today, ATC and A*STAR are elevating their partnership, setting up a joint lab to develop advanced surface technologies. This will open new doors for ATC to serve more global companies and position itself as a key supply chain partner in high-value industries like semiconductors, MedTech, and precision engineering.

   2.   Another SME which has benefitted is Abrasive Engineering. It was a traditional business with more than 70 per cent of its revenue coming from trading and services like abrasive blasting. Working with A*STAR, it transformed into a technology-driven product company, doubling its revenue to S$12 million.

      1. Its first joint lab phase produced six new product lines, including an automated sandblasting system, and added S$3.5 million in revenue over three years. This year, Abrasive Engineering even expanded overseas to markets like Korea and China.

      2. In the second phase of their collaboration with A*STAR, the company will build next-generation surface treatment solutions to support global growth. A “surface” collaboration that runs deep!

7. Third, collaboration allows us to break new grounds in future industries.

   1. The Grand Venture Technology (GVT) – A*STAR Joint Lab is my third example. It will focus on developing high-value ceramics, which are materials designed to withstand extreme heat, pressure, and wear. These ceramics are critical in growth sectors such as aerospace, life sciences, and semiconductors.

      1. But manufacturing them is highly complex. It requires defect-free production with precise dimensional control. Few companies in the world have mastered this. Through this joint lab, GVT will build new and differentiated capabilities in advanced ceramics, positioning itself to serve global markets and to capture opportunities in high-tech manufacturing.

8. Together, today’s efforts reflect Singapore’s broader strategy to pioneer advanced manufacturing processes that are innovative, sustainable, and future-ready.

Conclusion

9. To conclude, Singapore is committed to not just keeping pace but setting the pace in advanced manufacturing. As we witness the launch of the four joint labs today, let us celebrate the progress we have made and look forward to the opportunities and breakthroughs ahead. With the strong spirit of partnership between the Government, the industry and the research community, I am confident that we will spark more bold ideas, build resilience, and open new opportunities for our people.

10. Thank you.