US Secretary of the Treasury Janet Yellen on July 16 said that her country sees India as an “indispensable partner” with regard to its policy of “friend-shoring.”
Addressing the media ahead of her participation in the G20 summit in Gandhinagar, Gujarat, Yellen said that derisking and friend-shoring are important priorities for the United States that the country is promoting in India.
Friend-shoring is a policy of encouraging companies to shift manufacturing away from authoritarian states and towards allies. The term is shorthand for the practice of relocating supply chains to countries where the risk of disruption from political chaos is low. An important policy to increase the resilience of the US supply chain, friend-shoring helps the country source raw materials, components and even manufactured goods from countries that share its values.
Yellen said that the US-India bilateral ties have reached an all-time high, and the two countries are looking to see it grow even more. Private sector is a really important point of friendshoring, and private firms have continued to make announcements of investing in India as they see India as “an excellent place to be producing and exporting to the US,” she added.