03/27/2023 | Press release | Distributed by Public on 03/28/2023 08:29
The United States and Japan share a common interest in strengthening supply chains between like-minded partners and increasing resilience against threats such as economic coercion and non-market policies and practices, as well as encouraging high-road labor and environmental standards. The Agreement Between the Government of the United States of America and the Government of Japan on Strengthening Critical Minerals Supply Chains (the Agreement) supports workers and businesses in both countries' electric vehicle sectors and sets standards for other economies to emulate.
"This announcement is proof of President Biden's commitment to building resilient and secure supply chains," said Ambassador Katherine Tai. "Japan is one of our most valued trading partners and this agreement will enable us to deepen our existing bilateral relationship. This is a welcome moment as the United States continues to work with our allies and partners to strengthen supply chains for critical minerals, including through the Inflation Reduction Act."
Building on the 2019 U.S.-Japan Trade Agreement, the Agreement strengthens, secures, and diversifies critical minerals supply chains and promotes the adoption of electric vehicle battery technologies. Specifically, the Agreement operationalizes shared commitments by the United States and Japan with respect to the critical minerals sector in order to facilitate trade, promote fair competition and market-oriented conditions for trade in critical minerals, advance robust labor and environmental standards, and expand cooperation in efforts to ensure secure, sustainable, and equitable critical minerals supply chains.
This Agreement includes the following commitments:
Together, these provisions will encourage productive linkages between the two countries and support high standards for workers throughout both countries' supply chains - developments that should support increased prosperity and good-paying jobs in the United States and Japan.
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