Quad Nations Cooperation To Improve Supply Chain Of Critical Technologies

JAKARTA - The United States, Japan, India and Australia (Quad Nations) will work to improve supply chain security for critical technologies such as clean energy and to reduce global semiconductor shortages, Australian Prime Minister Scott Morrison said.

The Quad nations, in their first in-person summit on Friday, September 24 in Washington, agreed on a partnership to secure critical infrastructure, said a White House source.

Morrison told reporters after the meeting this would include linking Australia's raw minerals with manufacturing and processing capabilities, and with end users in the United States, India and Japan, according to a transcript released on Saturday September 25 as quoted by Reuters.

Australia is the world's largest supplier of rare earth metals outside of China, and is a major supplier of minerals used in electric vehicle batteries, such as nickel, copper and cobalt.

While the leaders do not publicly refer to China, they have repeatedly insisted on rules-based behavior in the region, where China has tried to flex its muscles. Beijing criticized the group as "destined to fail."

Other Quad leaders expressed appreciation for Australia's role in supplying critical materials. "The material is a necessary supply for many of the industries and processing jobs they operate themselves," Morrison said.

"In essential minerals, Australia is one of the largest producers, but we believe we can play a bigger role in the critical supply chains that underpin future technologies," Morrison added.

"Australia will also host a clean energy supply chain summit next year, which aims to develop a roadmap for building such a supply chain in the Indo-Pacific region," Morrison said.

The Quad also discussed ways to better secure semiconductor supplies, Morrison said, as global automakers and other manufacturers have cut output due to shortages exacerbated by the COVID-19 resurgence in Asia's major semiconductor manufacturing hubs.