1. INTRODUCTION There is no doubt that an effective transportation system is the backbone of a healthy economic society (Bloomberg, Hanna, & Murray, 1998). Comtois (2007) also recognizes that transport plays a considerable role in the economy with its omnipresence throughout the production chain, at all geographical scales. Singapore Review (2007) stated that Singapore is highly dependent on exports; therefore freight transport plays an important role in stimulating Singapore's economy and making it what it is today. Singapore is located in a favorable geographical position, which makes it the number one hub for the transshipment of goods to and from all over the world. Singapore also enhances world-class port and airport facilities and an extensive expressway network, enabling the efficient and effective transfer of goods between multiple modes of transportation. This paper will discuss the economic role of freight in Singapore's economy and how Singapore's advancement in the global economy impacts the demand for freight locally.2. THE ECONOMIC ROLE OF FREIGHT SHIPPING IN SINGAPOREWorld Trade Magazine (December 2007, p. 14) states that countries with good shipping logistics tend to attract export-oriented foreign direct investment, seen, along with trade, as a way to access to knowledge and technology. In a Web survey conducted by a World Bank study in 2007 with approximately 900 freight forwarders and express couriers in international logistics operations in 100 countries, Singapore ranked first out of 150 countries in speed of clearing export shipments, competence of customs brokers and a corruption-free logistics environment, etc. From here it can be seen that the efficiency of freight transportation in Singapore also plays an important role in attracting foreign organizations to establish operational bases here for the distribution of goods and services regionally as well as internationally. One such organization is Broadcom, a company specializing in the manufacturing of electronic products. Broadcom CEO Rick Hodgman made the following comment in World Trade Magazine in 2005: "We use Singapore as a shipping hub. The airport, customs and logistics are very important to us because the material we produce across Asia it comes through Singapore. Broadcom needs a great logistics base and Singapore has the best of any Asian country." Another large company that chose Singapore to open one of its regional offices was Toyota Motor Asia Pacific Pte. Ltd. Its Vice President of Corporate Affairs Division, Kenichi Yamaguchi, who is also