Special Economic Zones in the OIC Region:
Learning from Experience
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Sumitomo Chemical, CIBA and Huntsman. Within the ‘Chemical Hub’ there are now
approximately 8,000 employees and it has attracted over SGD 30 billion of fixed asset
investments.90
Sectoral Focus
The Jurong Port was set up in in the 1960s with the support of industrial areas that were
producing labour intensive products for local consumption. With the support of the port, Jurong
industrial zone became export orientated. During the 1980s, the production shifted to higher
value added goods. This coincided with the opening and rebranding of zones, including the
petrochemical based Jurong Island. Currently, the industrial zones, with the support of Jurong
port, produce very high value goods. Additionally, Jurong port has engaged in the knowledge
economy by establishing a multi-disciplinary consultancy group known as Jurong International.
This shift to high value technologically advanced activities has diversified Singapore’s export
portfolio and given it an advantage over its regional competitors.
A clustering of industries encouraged by the set-up of zones designated for specific activities has
allowed for sectoral integration between firms up and down value chains. A ‘plug and play’
model has been applied, all of the buildings and infrastructure have been developed, and firms
simply have to move in.
Jurong Island now has the world’s largest petrochemical (plastics, petroleum, chemicals)
industries operating within it, bringing quality high value employment. Jurong is also in the top
10 petrochemical hubs. Many of the world’s leading energy and chemical companies, have
established a presence on Jurong Island, including BASF, ExxonMobil, Lanxess
Shell and Sumitomo Chemicals. Presently, Jurong Island has successfully attracted investments
in excess of S$35 billion.91
Real Estate
Industrial facilities provided by JTC include:
 Ready-built standard factories, ranging in size from 944m² to 4 200m², providing a
functional layout for the different needs of customers;
 Flatted factories, located in 35 of the industrial parks in Singapore. These industries are
designed to integrate marketing, management, production, storage and other industrial
facilities, with sufficient open production areas, lifts and loading bays; and
 Stack-up factories.
90 DE International (2014) Singapore – Oil and Petrochemical Industry
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