US economic diplomacy in Asia

U.S. President Joe Biden poses with India Prime Minister Narendra Modi (left) and Japan Prime Minister Fumio Kishida as he announced the countries that are joining the new Indo-Pacific Economic Framework on Monday (May 23) during his visit to Tokyo. Biden launched his plan for U.S. economic engagement in Asia on Monday by initiating the new Indo-Pacific Economic Framework with 13 founding countries. Speaking at the launch event in Tokyo, Biden said that the future of the 21st Century economy will be written in the Indo-Pacific. The 13 initial members of the group, the Indo-Pacific Economic Framework (IPEF), are the U.S., Japan, India, South Korea, Australia, Indonesia, Thailand, Singapore, Malaysia, the Philippines, Vietnam, New Zealand and Brunei, the Biden administration said Monday. The members accounting for about 40% of the world's gross domestic product.

President Biden recently completed his first trip to Asia, during which he launched Indo-Pacific Economic Framework for Prosperity with a dozen partners in the region. On this episode, David Dollar speaks with retired U.S. diplomat Susan Thornton about the pillars of the new framework, its relationship to existing trade relationships like CPTPP, RCEP, and ASEAN, and what incentives nations in the region have for cooperation with the U.S. and China. Thornton, a senior fellow in the Paul Tsai China Center at Yale Law School and a nonresident senior fellow John L. Thornton China Center at Brookings, also addresses U.S. economic diplomacy with Europe and how Russia’s war on Ukraine may affect America’s relationship with China and Asia more broadly.