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Pillar II – Supply Chains

  • U.S. Secretary of Commerce Gina Raimondo signs the IPEF Supply Chain Agreement on November 14, 2023 in San Francisco, CA

The Indo-Pacific Economic Framework for Prosperity (IPEF) Agreement Relating to Supply Chain Resilience, generally referred to as the Supply Chain Agreement, provides the tools for IPEF partners to identify supply chain vulnerabilities and work together to prevent, mitigate, and respond to disruptions that risk harm to our national security, public health and safety, and the economic well-being of our workers, companies, and consumers. The Supply Chain Agreement lays the foundation for closer cooperation and collaboration through the establishment of three supply chain bodies, each tailored to address different aspects of supply chain resilience. Through the Supply Chain Council, IPEF partners will target critical sectors and key goods to align policies and build initiatives to proactively build resilient, competitive, and diversified supply chains. To better respond to disruptions that do occur, the Crisis Response Network will provide a critical communication channel to share information and request assistance, as well as a forum to organize stress tests, tabletop exercises, and other simulations to identify vulnerabilities. As part of the Biden-Harris Administration’s commitment to a worker-centric trade policy, the novel tri-partite Labor Rights Advisory Board will give workers a seat at the table with employers and governments to promote labor rights and workforce development across IPEF supply chains. These bodies will help catalyze joint initiatives on supply chain resilience, including business matchmaking, encouraging investment, regulatory alignment, sharing best practices and exchanging information, and issuing public advisories, among other actions.

The IPEF Supply Chain Agreement entered into force on February 24, 2024. This was a critical step in bringing the landmark, first-of-its-kind agreement into action and promoting coordination among the IPEF partners on building resilient, efficient, productive, sustainable, transparent, diversified, secure, fair, and inclusive supply chains.

⇒ Read the Entry Into Force Announcement

⇒ Read the IPEF Pillar II Final Text

⇒ Read the Joint Press Statement on the Substantial Conclusion of IPEF Supply Chain Agreement Negotiations.

⇒ Read the U.S. Fact Sheet on the Substantial Conclusion of Negotiations on the IPEF Supply Chain Agreement

⇒ Read the September 2022 Ministerial Statement for Pillar II.

⇒ Read the U.S. Summary of the Zero Draft Text for Pillar II.