Japan, Australia, India agree to beef up supply chains

Japan, Australia, India agree to beef up supply chains

TOKYO: Japan, Australia and India on Tuesday agreed to beef up their product supply systems as the novel coronavirus pandemic has heightened the risk of disruptions in the product and parts supply chains.

The three hope to diversify their supply networks and enhance industrial competitiveness, Jiji Press reported.

In a joint statement issued after a videoconference, economy ministers of the three countries said they “underscored the necessity and potential to enhance the resiliency of supply chains in the Indo-Pacific region.”

The countries confirmed that they will consider digitising trade procedures and promoting investments in order to create new supply chains.

They also agreed to ask members of the Association of Southeast Asian Nations (ASEAN) to join the initiative by the three nations. Japan and the ASEAN’s members have already started similar measures together.

“We need to diversify our supply sources, as we’ve seen how fragile our supply chains were during the coronavirus crisis,” said Japanese economy and trade minister Hiroshi Kajiyama, who hosted the session.