TOKYO – With US President Joe Biden visiting Japan and South Korea, the three countries are looking for common ground on the world stage. One place they are looking for is a semiconductor.
Biden’s first stop in his first swing through Asia as president was a Samsung factory in South Korea.
“These tiny chips, just a few nanometers thick, are the key to driving us into the next age of human technological development,” Biden said Friday.
South Korea’s new president, Eun Sook-eol, said over the weekend that he and Biden could be described as “global epicenters” of the sophisticated semiconductor industry. There, I was able to feel our strength. Economic and technological alliances. “
Chips are an integral part of everything from automobiles to household items, and they will play an essential role in the development of artificial intelligence and quantum technology. In the case of semiconductors, the leaders of the three countries have avoided mentioning China, but export control is also on the agenda.
“The main thing that interests investors [from Biden’s trip to Asia] What they say about supply chains and semiconductors and how sensitive they are to regulate the export of sensitive technologies to China and invest in the United States, “said Michael J. Green, senior vice president of international research at the Center for Strategic and Chair Asia in Japan and Japan.
US Secretary of Commerce Gina Raimondo met with Japanese Commerce Minister Koichi Hagiuda in Tokyo on Monday. Against the backdrop of economic uncertainty around the world, the two democracies are working to move their alliance forward. US Ambassador to Japan Raham Emanuel is on the left.
Ted Kemp | CNBC
On Monday, U.S. Commerce Secretary Gina Raymondo met with her Japanese counterpart Koichi Hagiuda in Tokyo. According to a CNBC translation of a statement from Japan’s Ministry of Economy, Trade and Industry, the two discussed “cooperation in areas such as semiconductors and export controls.”
Japan and South Korea are longtime American allies, and both are technologically powerful. However, as of 2020, the two countries also have larger export relations with China than with the United States
In order to play a central role in geopolitics around semiconductors, the Biden administration acknowledges that the United States needs to increase its economic relevance in Asia.
While in Tokyo, Biden is expected to outline the Indo-Pacific Economic Framework, an agreement that will focus on shared values around digital technology and the supply chain.
Although the IPEF will not be a free trade agreement.
Internally, Biden will have to deal with American voters on both the left and right who are skeptical about the trade deal.
The United States was expected to sign a giant free trade agreement, the Trans-Pacific Partnership, or TPP, which former President Donald Trump signed into office in 2017.
The TPP includes twelve countries in Asia-Pacific, North America and South America.
Trump’s rival for the presidency, Hillary Clinton, said during the campaign that she would scrap the TPP, even though she is personally working on it as Secretary of State under President Barack Obama.
After the United States unilaterally withdrew and reduced the TPP, the remaining 11 countries proceeded to form the Comprehensive and Progressive Trans-Pacific Partnership – which China has formally requested to enter.