President Joe Biden on Thursday made America’s case to CEOs attending the Asia-Pacific summit in San Francisco that the United States is committed to high standards in trade and to partnerships that will benefit economies across the Pacific.
Quick Read
- President Joe Biden made a strong case to CEOs at the Asia-Pacific summit in San Francisco about the U.S.’s commitment to high trade standards and partnerships benefiting Pacific economies.
- Following his meeting with Chinese President Xi Jinping, Biden emphasized that the U.S. is diversifying but not decoupling from Beijing, offering a better business option than China.
- Biden’s speech focused on American leadership amid global challenges like Middle East and European wars and the post-pandemic economic situation.
- He reassured Indo-Pacific leaders of the U.S.’s commitment to economic ties in the region.
- Biden is participating in the Asia-Pacific Economic Cooperation summit and the Indo-Pacific Economic Framework, involving APEC members and countries like India.
- He highlighted the U.S.’s efforts to strengthen ties with the region, noting significant mutual investments supporting American jobs.
- Biden’s discussions with APEC leaders were expected to address sustainability, climate change, and clean energy transition.
- The U.S. last hosted the APEC summit in 2011, and Biden had previously sent Vice President Kamala Harris to represent the U.S. at a Bangkok summit.
- Biden and Xi’s meeting aimed to manage the strained U.S.-China relationship and to ensure global economic stability.
- Demonstrations related to the Israel-Hamas conflict occurred near the APEC summit venue.
- Business leaders face challenges in the global economy due to wars, supply chain issues, climate change, and technological shifts.
- Xi Jinping met with American business leaders, emphasizing Sino-American cooperation and signaling the return of pandas to the U.S.
- The Indo-Pacific Economic Framework, announced in May 2022, aims to strengthen U.S. alliances in the Pacific without official trade deals.
- The framework’s four pillars include supply chains, climate, anti-corruption, and trade, with agreements on three pillars already completed.
The Associated Press has the story:
Biden to Asia-Pacific leaders: US ‘not going anywhere’ as it looks to build economic ties
Newslooks- SAN FRANCISCO (AP)
President Joe Biden on Thursday made America’s case to CEOs attending the Asia-Pacific summit in San Francisco that the United States is committed to high standards in trade and to partnerships that will benefit economies across the Pacific.
Fresh off his meeting with Chinese President Xi Jinping, Biden also told business leaders that the U.S. was “de-risking and diversifying” but not “decoupling.” from Beijing. But he did not mince words in suggesting the U.S. and friends in the Pacific could offer businesses a better option than China.
“This is not all kumbaya but it’s straightforward,” Biden said. “We have real differences with Beijing when it comes to maintaining a fair and level economic playing field and protecting your intellectual property. ”
Biden sought to send a clear message about American leadership as business leaders grapple with the risks of doing businesses in the midst of wars in the Middle East and Europe and a still shaky post-pandemic economy. He was also spending time on Thursday letting Indo-Pacific leaders know that the U.S. is committed to nurturing economic ties throughout the region.
“We’re not going anywhere,” Biden said.
Biden is courting world leaders at the Asia-Pacific Economic Cooperation summit and through his administration’s Indo-Pacific Economic Framework, a group that includes most of the 21 APEC member economies and a few others, like India, that aren’t members of the larger forum.
Biden in his remarks to the CEOs sought to highlight his administration’s efforts to strengthen ties with the region. APEC members have invested $1.7 trillion in the U.S. economy, supporting some 2.3 million American jobs. U.S. companies, in turn, have invested about $1.4 trillion in APEC economies.
Later, during talks with APEC leaders, Biden was expected to focus on sustainability, climate change and a transition to clean energy.
The U.S. hasn’t hosted the annual leaders’ summit — started in 1993 by President Bill Clinton — since 2011. The group met virtually in 2020 and 2021 because of the coronavirus pandemic. Leaders did gather in Bangkok last year, but Biden skipped the summit because his granddaughter was getting married, and he sent Vice President Kamala Harris in his place.
The annual leaders’ conference brings together heads of nations and other top economic and diplomatic leaders. Biden told those who gathered Wednesday evening at a welcome party — including Russia’s representative, Deputy Prime Minister Alexei Overchuk — that today’s challenges were unlike those faced by previous APEC leaders.
Biden also sought to underscore that he was seeking to responsibly manage the United States’ strained relationship with China one day after he and Xi sat down for more than four hours of talks at bucolic Filoli Estate outside of San Francisco.
“A stable relationship between the world’s two largest economies is not merely good for the two economies but for the world,” Biden said. “A stable relationship. It’s good for everyone.”
Demonstrations in and around APEC continued on Thursday. Hours before leaders were to gather at the Moscone Center for the summit, protesters calling for a cease-fire in the Israel-Hamas war were detained by police after shutting down all traffic over a major commuting bridge heading into San Francisco.
After decades of trade built on the premise of keeping prices low, accessing new markets and maximizing profits, many companies are now finding a vulnerable global economy. The Russia-Ukraine and Israel-Hamas conflicts aren’t helping matters.
The COVID-19 pandemic exposed frailties in their supply chains. Climate change has intensified natural disasters that can close factories. The Israel-Hamas war and Ukraine’s defense against the Russian invasion have generated new financial risks, and new technologies such as artificial intelligence could change how companies operate and displace workers.
Xi too, met with American business leaders — at a $2,000-per-plate dinner Wednesday evening. It was a rare opportunity for the business leaders to hear directly from the Chinese president as they seek clarification on Beijing’s expanding security rules that could choke foreign investment.
“China is pursuing high-quality development, and the United States is revitalizing its economy,” he said, according to an English language translation. “There is plenty of room for our cooperation, and we are fully able to help each other succeed and achieve win-win outcomes.”
He signaled that China would send the U.S. new giant pandas, just a week after three from the Smithsonian National Zoo were returned to China, much to the dismay of Americans. There are only four pandas left in the United States, at the Atlanta Zoo.
Biden and Xi understand that the complicated ties between the two nations have major global impacts. Their meeting Wednesday at a Northern California estate was in part an effort to show the world that while they are global economic competitors, the U.S. and China aren’t rivals seeking conflict.
With his characteristic optimism, Biden sketched a vision of leaders who manage competition “responsibly,” adding, “That’s what the United States wants and what we intend to do.”
Xi, though, was gloomier about the state of the post-pandemic global economy. China’s economy remains in the doldrums, with prices falling due to slack demand from consumers and businesses.
“The global economy is recovering, but its momentum remains sluggish,” Xi said. “Industrial and supply chains are still under the threat of interruption, and protectionism is rising. All these are grave problems.”
White House officials said Biden has been bolstered by signs the U.S. economy is in a stronger position than China’s and that the U.S. was building stronger alliances throughout the Pacific.
Part of that is through the Indo-Pacific Economic Framework, announced during a May 2022 trip to Tokyo. It came six years after the U.S. unilaterally withdrew from the Trans-Pacific Partnership, a trade deal that was signed by 12 countries.
Commerce Secretary Gina Raimondo said the signing of agreements in the IPEF reflected the U.S. commitment to other Asian countries. A broader theme of the APEC meeting, she said, was that “the U.S. is a durable, enduring, reliable partner for countries in that region.”
The new framework has four major pillars: supply chains, climate, anti-corruption and trade. There won’t be any official trade deals to announce — the “framework” label allows Biden to bypass Congress on any agreements reached with the 13 countries. Raimondo said at a ministers meeting on Tuesday that work on three of the four pillars had been completed.
While U.S. allies are still are looking to hammer out comprehensive trade agreements with Washington., Biden administration officials are underscoring that IPEF has helped the U.S. and partners take action at a far faster clip than traditional trade deals.
“Most trade negotiations take years to complete,” said Mike Pyle, Biden’s deputy national security adviser for international economics. “The issues that are at the cutting edge of the global economic conversation, issues like supply chains, clean energy, good government —- we have struck agreements around them in just 18 months, with a full set of IPEF partners.”
