Japan, US, Philippines to Strengthen Cooperation in Supply Chain for Precious Metals

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Japan, US, Philippines to Strengthen Cooperation in Supply Chain for Precious Metals

Japan, the United States, and the Philippines have announced plans for strengthened collaboration in securing the supply chain for essential metals, with a focus on nickel used in electric vehicle technology. Despite the Philippines being the world's second-largest nickel producer after Indonesia, China has made substantial progress in nickel processing and refining activities within developing nations. This cooperation aims to reduce reliance on China for rare metals, a concern that has been raised by both Japan and the United States.

The upcoming Tokyo-Washington-Manila summit is not only expected to address national security issues but will also focus on economic security, particularly emphasizing the necessity to ensure stable mineral supplies for manufacturing purposes. The joint efforts are seen as crucial as demand for nickel and other critical metals continues to rise with the increasing shift towards electric vehicle production by automakers. Furthermore, discussions will also include cooperation on the joint development of small nuclear reactors for the Philippines, enhancing communication networks, improving distribution infrastructure, and addressing workforce needs for semiconductor manufacturing.

As part of security collaboration, joint training exercises are being arranged among the three countries this year to counter Chinese maritime activities in the South China Sea. President Marcos has highlighted a desire for stronger ties with the United States since assuming office in June 2022, while President Biden is striving to exhibit enhanced cooperation with Japan and the Philippines, similar to a trilateral summit held with South Korea in August 2023. The multifaceted partnership between Japan, the United States, and the Philippines underscores a strategic approach toward economic and security issues in the Asia-Pacific region.