Q: What is the Indo Pacific Economic Framework (IPEF)?
A: The Indo Pacific Economic Framework (IPEF) is a regional initiative launched by US President Joe Biden, aiming to promote economic cooperation and trade among countries in the Indo-Pacific region. It seeks to counter China's influence in the region and establish new supply chains based on emerging technologies.
Q: Who are the members of the IPEF?
A: The IPEF includes 14 countries, mostly dynamic economic powers in the Indo-Pacific region. Notably, China and its three close allies from ASEAN — Myanmar, Laos, and Cambodia — are not part of the framework.
Q: What is India's role in the IPEF?
A: India is participating in the IPEF negotiations. While the framework focuses on promoting economic cooperation and trade, India has kept away from the trade pillar of the IPEF. Instead, India is expected to benefit from increased business and manufacturing opportunities as member countries shift their supply chains away from China and explore emerging technologies.
Q: Why was the IPEF launched?
A: The IPEF was launched as part of the US' efforts to repivot to the east and counter China's economic influence in the Indo-Pacific region. By excluding China and its close allies, the IPEF aims to establish an alternative economic narrative and supply chains that align with the interests of the participating countries.
Q: What is the significance of India's participation in the IPEF?
A: India's participation in the IPEF could lead to increased economic opportunities and manufacturing growth as member countries seek alternatives to China for their supply chains. While India has not joined the trade pillar, its involvement could lead to diversification and collaboration in economic activities in the region.
Q: What are the pillars of the Indo Pacific Economic Framework (IPEF) under the Economic Initiative?
A: The IPEF's Economic Initiative comprises four pillars:
Trade: Enhancing economic ties, promoting trade, and facilitating cross-border commerce among member countries.
Supply-Chain Resilience: Fostering diversification of supply chains away from single-source dependencies, contributing to greater economic resilience.
Clean Economy: Collaborating on environmentally sustainable practices and technologies, promoting a transition to cleaner energy sources and resource-efficient production methods.
Fair Economy (Tax and Anti-Corruption): Working towards ensuring fairness in economic activities by addressing tax issues and combating corruption through cooperative efforts.
