The ongoing spread of a new coronavirus — which shut down major business hubs in China — serves as "a very good lesson" for companies and economies on the importance of diversifying their supply chains, said Singapore's trade minister on Wednesday.

Many countries around the world depend on China to buy their products, as well as to supply them materials and parts to make goods for exports. But that status quo is now under threat, especially after much of China was shut down as authorities work to contain the virus outbreak.

"Today, China is not just producing low-end, low-value products, they are also in the supply chains of many of the high-end products. And that means that the impact on the supply chains will be significant across the entire globe," Chan Chun Sing, Singapore's minister for trade and industry, told CNBC's "Squawk Box Asia."

"I think this is a very good lesson for everyone to really look at the supply chain resilience," he said.