Singapore makes first comments on Manus case, says it does not violate Singapore law, respects China-US security considerations

In response to China's halt of Meta's acquisition of Manus, an AI enterprise founded in China and later relocated to Singapore, Singapore's Minister for National Development Desmond Lee made his first public statement, saying that the Singapore government had not previously commented on the matter because Manus had not violated Singaporean law. He stated, "The Chinese government and the US government each have their own national security and strategic considerations, and we respect that."

Lee added that whether a technology company is allowed to leave its home country and move to Singapore is not a decision made by the Singapore government, but rather depends on the judgment of the company's home country government based on its own national security considerations.

According to Singapore's Lianhe Zaobao, Lee made these remarks on Monday (January 6) at the 8th Singapore-China Forum.

Sino-US Relations Still Require Prudent Management

At the forum, Lee also touched on the current state of Sino-US relations. He pointed out that although relations between China and the US have stabilized after the meeting of their leaders, this does not mean that all issues have been resolved. The bilateral relationship still requires continuous and careful management.

He stressed that Sino-US relations are an extremely important bilateral relationship, and both sides must invest time and effort to ensure a stable and positive relationship can continue. "This is not a one-time event, but a long-term, ongoing process."

US tech giant Meta acquired Manus for $2 billion at the end of last year. In April, Beijing ordered a halt to the deal and demanded its revocation, citing concerns over key technologies and data security. In response, China's state broadcaster CCTV earlier reported that what China prohibits is the non-compliant practice of "bath-and-leave outbound investment," meaning the transaction would allow Manus to move its core business entirely out of China, leaving only non-core operations domestically. This has sparked discussion on whether Chinese AI companies going overseas to Singapore can still escape the influence of US-China tech competition.

Last month, China's State Council also issued new regulations on outbound investment, effective from July, explicitly prohibiting companies from exporting technology, services, and related data without permission. The new rules require investors to go through procedures such as filing for approval, information reporting, and cross-border capital registration when conducting outbound investment activities. The State Council also has the authority to conduct security reviews of overseas investments or asset transfers that may affect national security, and can order investors to dispose of shares, stop investments, or impose fines for violations.

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NDRC: Prohibits Foreign Acquisition of Manus, Demands Transaction Revocation