Japan, US, and Philippines to Strengthen Supply Chain for Precious Metals
Japan, the United States, and the Philippines are set to collaborate on strengthening the supply chain for precious metals, particularly nickel, a crucial component for fuel cells used in electric vehicles. This agreement will be included in a joint statement issued after the April 11 meeting in Washington between Prime Minister Fumio Kishida, U.S. President Joe Biden, and Philippine President Ferdinand Marcos Jr.
The Philippines, the world's second-largest nickel producer after Indonesia, has seen China take significant strides in processing and refining nickel in developing nations. This upcoming summit, the first of its kind between Tokyo, Washington, and Manila, will address national security cooperation, with economic security also taking center stage.
The joint statement is expected to emphasize the need for cooperation in securing stable supplies of minerals used in manufacturing. As automakers shift production towards EVs, the demand for nickel is anticipated to surge further. Japan and the United States have already expressed concerns about the heavy reliance on China for such rare metals.
The May 2023 G7 summit in Hiroshima also highlighted the need to strengthen the supply chain for critical metals. In addition to nickel cooperation, the three leaders will discuss joint development of small nuclear reactors for the Philippines, building high-speed communication networks, and other support for Manila to improve its distribution infrastructure.
Fostering personnel for semiconductor manufacturing is another likely agenda item. On the security front, the three nations are planning joint training exercises for this year in response to China's maritime advancements in the South China Sea.
President Marcos has emphasized stronger ties with the United States since assuming office in June 2022. President Biden, similarly, seeks to demonstrate closer cooperation with Japan and the Philippines, mirroring the August 2023 trilateral summit with Prime Minister Kishida and South Korean President Yoon Suk-yeol.