As per the supply chain resilience agreement inked earlier this year, the 14-member plurilateral group led by the United States (US) and prompted by the Indo-Pacific Economic Framework (IPEF) for Prosperity has recognized semiconductors, vital minerals, batteries, and chemicals as critical industries.
India, Australia, Brunei, Fiji, Indonesia, Japan, Korea, Malaysia, New Zealand, the Philippines, Singapore, Thailand, the United States, and Vietnam are among the 14 members. Within a month of its formation, partner nations that are interested can join the "action plan teams" to discuss potential cooperative actions to improve supply chain resilience for these particular crucial industries and essential items.
Some industries, such clean energy, electronics, defense, transportation, telecommunications, fertilisers, and pharmaceuticals, depend heavily on the use of certain key minerals. Due to its concentration and the dynamics of the global market, one of the main challenges is supply risk, which can lead to price volatility and uncertainty and supply disruptions.
As they collaborate to develop practical policies and recommendations aimed at bolstering supply chain resilience throughout the IPEF region, partner countries of the IPEF, including India, are dedicated to actively participating in the action plan teams and subcommittees of their interest.