Japan, Australia, and India Unite to 'Check China'... Formation of the 'Supply Chain Restoration Initiative'

Cooperation to Restore Local Supply Chains in Automotive and Medical Devices Sectors

Online Meeting of Economic Ministers from Japan, Australia, and India
Photo by Ministry of Economy, Trade and Industry of Japan

[Asia Economy Reporter Kim Suhwan] Japan, Australia, and India have agreed to cooperate in restoring supply chains as a measure to counter China.

According to Bloomberg on the 27th (local time), the economic ministers of Japan, Australia, and India held a video conference and agreed to establish a new cooperation framework called the "Supply Chain Resilience Initiative." The ministers participating in the meeting were Hiroshi Kajiyama, Japan's Minister of Economy, Trade and Industry; Dan Tehan, Australia's Minister for Trade, Tourism and Investment; and Piyush Goyal, India's Minister of Commerce and Industry.

At the meeting, the three ministers agreed to create a new cooperation framework to strengthen regional supply chains in sectors such as automobiles and medical devices. They also announced plans to cooperate in areas including the use of digital technologies by companies, trade, and investment.

They shared the view that, due to concerns about supply chain vulnerabilities caused by the spread of COVID-19, it is important to manage risks to avoid disruptions in supplies and to prepare response plans for emergencies. They also agreed to hold regular annual meetings to promote efforts for supply chain cooperation.

This meeting was attended by the three countries of the Quad security alliance aimed at countering China, excluding the United States, and is interpreted as effectively countering China's expanding influence in the economic and technological fields.

Bloomberg stated, "With China's influence growing recently, geopolitical risks are increasing," and analyzed that "Japan, Australia, and India declaring cooperation to strengthen supply chains appears to be aimed at countering China's economic influence."

This content was produced with the assistance of AI translation services.