Biden to host summit that focuses on supply chains, migration, new investment

WASHINGTON — WASHINGTON (AP) — President Joe Biden is amassing leaders from international locations around the Americas on Friday within the U.S. capital to talk about the tightening of supply chains and addressing migration problems.

In a preview of the primary Americas Partnership for Economic Prosperity Leaders’ Summit, White House National Security Council spokesman John Kirby advised journalists Thursday that the two-day tournament can be a “once in a generation opportunity” to shift extra of the worldwide supply chains to the Western Hemisphere.

Kirby mentioned the summit would additionally contain the “shared migration challenge” and the development of “meaningful economic opportunity” a number of the international locations within the area.

Friday’s tournament was once introduced closing 12 months on the Summit of the Americas in Los Angeles. The focal point on business comes as pageant has intensified between the United States and China, the sector’s two biggest economies. Biden has supplied executive incentives to construct U.S. infrastructure and for corporations to assemble new factories. But after the pandemic disrupted production and world transport, there has has additionally been an effort to diversify business and cut back dependence on Chinese production.

In 2022, the U.S. exported $1.2 trillion value of products and services and products to different international locations within the Western Hemisphere, in accordance to the U.S. Trade Representative. It additionally imported $1.2 trillion in items and services and products from the ones international locations. But nearly all of that business was once with Canada and Mexico.

By distinction, the U.S. imported $562.9 billion value of products and services and products from China closing 12 months.

Treasury Secretary Janet Yellen defined the Biden management’s objectives in a Thursday speech on the Inter-American Development Bank. The U.S. needs to diversify supply chains with “trusted partners and allies,” a method that she mentioned had “super possible advantages for fueling expansion in Latin America and the Caribbean.”

Yellen, who regularly talks about her “friendshoring” strategy for increasing supply chain resilience by working primarily with friendly nations as opposed to geopolitical rivals like China, laid out her vision of new U.S. investment in South America at the development bank on Thursday.

The Inter-American Development Bank, which is the biggest multilateral lender to Latin America, would support new projects through grants, lending and new programs. The U.S. is the bank’s largest shareholder, with 30% of voting rights.

Increasingly, policymakers within the U.S. have expressed worry about China’s affect on the financial institution. While the Asian superpower holds not up to 0.1% balloting rights, it holds massive financial stakes in one of the crucial 48 member international locations of the financial institution.