More than six months after the US announced its “liberation day” tariffs, firms in Asia are showing signs of adaption and stabilization, their concerns around revenue have eased and a new trade map is shaping up, according to a recent report.

Furthermore, certain markets in Asia report that recent trade policy shifts are boosting rather than hindering their short-term growth, finds the HSBC Global Trade Pulse Survey report, which also reveals that more than two in three ( 68% ) of Asian respondents feel more certain about the impact of trade policy than they did six months ago.

With the tariff dust beginning to settle, firms in Asia, the report shares, expect supply-chain disruption to have a slightly lower impact on revenue than six months ago. On average, Asian respondents forecast a 13% negative impact on revenue over the next two years, down from 18% in the report’s survey from approximately six months ago.

“Research data suggest that companies in Asia are adapting to the new environment,” says Aditya Gahlaut, HSBC’s regional head of global trade solutions for Asia. “Though their concerns around revenue have eased slightly, they remain alert to risks.

“Tariff uncertainty has galvanized Asia, while a growing sense of certainty is enabling companies across the region to make more informed decisions and plan ahead.”

Singapore businesses resilient, optimistic

Despite a slight dip in confidence from six months ago ( 83% ), nearly four in five ( 79% ) Singapore businesses remain optimistic about growing international trade over the next two years, notes the report, whose survey, conducted in October 2025, included responses from 6,750 corporates across 17 markets, with 250 responses from businesses based in Singapore.

Additionally, over half ( 57% ) of Singapore businesses are more certain about trade policy affecting their business than they were six months ago.

The percentage of Singapore businesses expecting significant revenue loss of over 15% from supply-chain disruptions, the report points out, has decreased sharply from 72% to 40% over the past six months, indicating enhanced risk management and resilience.

While 78% of businesses anticipate increased costs due to tariffs and trade uncertainties, firms in Singapore remain confident of their long-term growth and strategy, the report details, with over one in two having plans to enter into new markets ( 53% ), diversify their revenue streams ( 51% ) or rebalancing their product or service mix ( 57% ).

In terms of markets, Singapore businesses are increasing sales in key markets, such as Malaysia, Australia, India, mainland China and Japan. Notably, 29% of businesses in the technology, media and telecommunications sector are expanding sales in Malaysia, significantly above the global average of 12%.

Asia for Asia gains momentum

As the tariff landscape becomes clearer, a new trade map is shaping up, the report argues, with Asian firms dialling up their focus on Asia in their trade strategy. Among Asian firms, 41% plan to increase reliance on Southeast Asia, 34% plan to increase reliance on East and North Asia and 29% plan to increase reliance on South Asia.

Likewise in Singapore, more than one in two ( 53% ) Singapore businesses are notably more likely to increase reliance on Southeast Asia ( 18 points higher than the global average ). This shift, the report adds, is driven by Singapore‘s largest firms – those with S$2 billion ( US$1.54 billion )-plus turnover – which show stronger regional focus at 56%.

Other regions where Singapore businesses are planning to increase reliance on include East/North Asia ( includes mainland China, Japan, Hong Kong, South Korea and Taiwan ) at 47%, South Asia ( includes India, Bangladesh and Sri Lanka ) at 45%, and Oceania and Europe at 36% respectively.

“What has been increasingly certain from this tariff situation is the growth and potential of Southeast Asia as a trading bloc, and Singapore’s role as a trading hub for the region,” states Runa Baksi, HSBC’s head of global trade solutions for Southeast Asia. “We should expect to see more intra-Asia and intra-Asean [Association of Southeast Asian Nations] trade in the years ahead.”