Indo-Pacific Economic Framework Launches with 13 Countries on Board

On Monday, May 23, 2022, in Tokyo, Japan, United States President Biden, together with a dozen partner countries representing 40% of the world’s GDP, launched the first non-traditional trade agreement of its kind, the Indo-Pacific Economic Framework for Prosperity (IPEF).

The Indo-Pacific Economic Framework for Prosperity (IPEF) is a 21st century economic arrangement designed to tackle 21st century economic challenges, ranging from setting the rules of the road for the digital economy, to ensuring secure and resilient supply chains, to helping make the kinds of major investments necessary in clean energy infrastructure and the clean energy transition, to raising standards for transparency, fair taxation, and anti-corruption.

IPEF Partner Countries

United States, Australia, Brunei, India, Indonesia, Japan, the Republic of Korea, Malaysia, New Zealand, the Philippines, Singapore, Thailand, and Vietnam.

Not A Typical Trade Agreement

During a White House on-the-record press call on the launch of the Indo-Pacific Economic Framework, United States representatives pointed out key features that specifically differ from traditional trade agreements, such as;

• an open platform that allows other countries to conceivably join the IPEF is developed
• different elements could end up going live at different speeds; IPEF will not need to be fully complete before rolling out developed components

WHITE HOUSE PRESS BRIEFING: On-the-Record Press Call on the Launch of the Indo-Pacific Economic Framework

INDO-PACIFIC STRATEGY OF THE UNITED STATES

February 2022

In the formal strategy document, published in February 2022, the United States outlined five framework objectives:

1. Advance a Free and Open Indo-Pacific
2. Build Connections Within and Beyond the Region
3. Drive Regional Prosperity
4. Bolster Indo-Pacific Security
5. Build Regional Resilience to Transnational Threats

The same Indo-Pacific strategy document also detailed ten areas of implementation focus for partner countries to action over the next 12 to 24 months:

1. Drive new resources to the Indo-Pacific
2. Lead an Indo-Pacific economic framework
3. Reinforce deterrence
   1. Pacific Deterrence Initiative
   2. Maritime Security Initiative
4. Strengthen an empowered and unified ASEAN
5. Support India’s continued rise and regional leadership
6. Deliver on the Quad Fellowship for emerging technologies
7. Expand U.S.-Japan-ROK Cooperation
8. Partner to build resilience in the Pacific Islands
9. Support good governance and accountability
10. Support open, resilient, secure, and trustworthy technologies

WHITE HOUSE: Indo-Pacific Strategy of the United States February 2022 [PDF]

FOUR PILLARS OF IPEF

The May 23^rd White House Fact Sheet, however, simplified the strategy into four key pillars:

• Connected Economy
• Resilient Economy
• Clean Economy
• Fair Economy

WHITE HOUSE FACT SHEET: In Asia, President Biden and a Dozen Indo-Pacific Partners Launch the Indo-Pacific Economic Framework for Prosperity

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