What IPEF offers India: Opportunities, tough negotiations
The official launch of the Biden Administration’s Indo-Pacific Economic Framework (IPEF), the US’s de facto foreign economic policy for Asia, has been lauded and welcomed. Countries like India that hew close to the United States have ostensibly breathed a sigh of relief after months of waiting for the administration to deliver a regional economic strategy to accompany its security focus.
What is Indo-Pacific Economic Framework (IPEF)?
- Four Pillars- It’s a framework or a starting point for these Indo-Pacific countries to regulate trade and commerce across four key pillars: Digital economy, supply chains, clean energy, and governance.
- Address constraints left by Covid-19- The IPEF’s focus on these pillars reflects the Biden administration’s desire to address constraints left by Covid-19 globally, namely inflation and supply chain shocks, and devise new standards to advance Biden’s domestic economic agenda, specifically climate change, tax evasion, worker rights, and retaining America’s technological primacy.
- America’s economic leadership across Asia -The IPEF, in a nutshell, internationalises Biden’s economic agenda to protect and prolong America’s economic leadership across Asia while chipping away at China’s ascendance through compelling signatories to negotiate domestic standards that comport with Washington’s vision.