The Biden administration has announced that many Indo-Pacific countries will join the US in a massive economic initiative to counter China’s influence in the region.

According to the White House, the countries participating in the Indo-Pacific Economic Framework (IPEF) together account for about 40 per cent of global gross domestic product, which has called its launch a major achievement on President Joe Biden’s first trip to Asia. Including Australia, India, Japan, South Korea and New Zealand, and seven countries in Southeast Asia.

“The US is investing a lot in the Indo-Pacific,” Biden said Monday at an event in Tokyo to launch the partnership. “We are committed to long-term growth.”

The framework is the most significant US effort to engage Asia economically since the withdrawal of the Trans-Pacific Partnership agreement by Donald Trump, negotiated under former President Obama’s administration. But unlike that trade agreement, the new structure does not include any tariff reductions, and it is unclear which parts are bound, making it difficult to measure economic benefits.

“This framework is intended to promote resilience, sustainability, inclusion, economic growth, fairness and competitiveness for our economies,” the countries said in a joint statement. “Through this initiative, we aim to contribute to cooperation, stability, prosperity, development, and peace.”

Democrats and Republicans in Congress have questioned the move because it does not include the goal of negotiating a reduction in mutual tariffs to make US exports cheaper for consumers in foreign markets, a common purpose of past trade talks. Under the framework, participants will be asked to make “high-quality commitments” in at least four areas: trade, supply chain, clean energy and fairness.

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NSA of US Jack Sullivan said Sunday that the 13 founding nations would set the criteria for other members to join, including China.