By Kashif Anwar,
In May, 2022, US President Joe Biden and Indian Prime Minister Narendra Modi announced the US-India initiative on Critical and Emerging Technologies (iCET) to elevate their strategic partnership and to counter China gaining dominance in the critical technologies. As iCET was officially launched by India’s NSA Ajit Doval and the US NSA Jake Sullivan on January 31, 2023, focusses on addressing concern around concentration of supply chain by China and using its dominance to prevent others from getting access to such critical technologies. India views iCET as a positive development which will put India and US as trusted technological partners through building a technological value chain along with supporting the co-production and co-development of items. On the other hand, the US view initiative will elevate and further expand strategic technological partnership and defence cooperation between India and US.
What is iCET?
Considering growing power politics between the US and China which now spans from increasing their influence worldwide to ensure their dominance in critical and advanced technologies, it resulted in a US-China trade war. Further, as a result of the pandemic it impacted the global supply chain and transformed the global geopolitics. With the US-China trade war continuing at a full speed, pushing the US to transform its relationship with China as countering China has become one of its main agenda or moves. Considering China’s hold on the supply of semiconductor, gaining dominance in critical and advanced technologies pushed the US to collaborate with India which resulted in the announcement of iCET. As under iCET, India and the US aim to emphasize and cooperate on key areas and tech domains to accelerate cooperation and technology cooperation from Outer Space to Artificial Intelligence (AI) to Defence Cooperation to telecommunication and supply of semiconductor.
Under iCET, India and the US agreed to strengthen the Indo-US Innovation Ecosystem and ensure robust cooperation and collaboration in AI and Quantum Technologies. To build a robust Indo-US innovation ecosystem, initiative established the Implementation Arrangement for Research Agency Partnership and Indo-US Quantum Coordination Mechanism. On the other hand, as India and the US are aiming to enhance defence cooperation and increase defence trade, under the initiative will promote cooperation in the Defence Innovation and Technology Cooperation. It resulted in the setting up of a road map which will speed up the joint production and development of jet engines, munition related technologies and other systems. As a result, India will get access to jointly developed General Electric (GE) jet engines which will be used in jet aircrafts operated and indigenously produced Light Combat Aircraft by India.
Regarding ensuring semiconductor supply chains are resilient and not dominated by one country alone, iCET allows India and US to ensure smooth development of the semiconductor ecosystem in India. As such development will give the needed boost to India’s Semiconductor Mission and role and position in the global semiconductor value chain. Further to secure the supply chain of semiconductor, India and US agreed to develop a pool of skilled workforce to support the supply chain globally and promote a Indo-US joint venture and technology partnership. On the other hand, such an initiative will allow NASA and ISRO to collaborate in human spaceflight, such development came when India is currently planning to launch a crew of 3 members under its Gaganyaan-3 by 2024. With space becoming important for major space powers, under the initiative, India and the US will further work for planetary defence under the US-India Civil Space Joint Working Group.
Implications for India and China’s Response
As iCET positioned India and the US as trusted technology partners, the meeting between Doval and Sullivan ensures the objective and aim highlighted under iCET is achieved to promote Indo-US cooperation in innovation and technology ecosystem. However, the development of iCET was also caused by the challenges posed by China to the US to its technology dominance which pushed the Biden administration to impose export restrictions on China. However, development of iCET could also be viewed from another dimension as the US saw the need to secure its strategic interest with growing Indo-US strategic partnership. It allowed the US, on the other hand, to promote and support India’s rise as a global power.
US view the initiative will enhance the relationship between two friends, for India, the initiative will lift US existing export controls and address its trade barriers allowing India to enhance technology cooperation and explore joint ventures in the defence industry with the US. As India emphasised Make in India and Atma Nirbhar Bharat, the initiative will strengthen such programs, with the Indian defence industry getting the boost and PM Modi’s push to invite US industries to participate, co-developed and manufacture in India.
China believes assistance from the US in terms of funds and cooperation in emerging advanced technologies will accelerate India’s position and replace China in the global industrial and supply chain. As India’s demand and a push for advancement in critical and advanced technologies to secure its rise in the global production and value in supply chain has worried China. On iCET, Global Times argues that the iCET is a microcosm of ‘same bed, different dream’ – a Chinese adage. China used such an adage to highlight Indo-US relationship and interests are intertwined but they continue to have different intents. It sees the US is luring India to counter China and its growing dominance in critical and advanced technologies which will remain the US wishful thinking considering India’s emphasis on pursuing non-alignment and strategic autonomy. As China states, the iCET will contain and counter China’s rise, ensuring India replaces China as a major supplier in the supply chain, it further argues India will not become Japan, a US little brother and US attempt to exploit India to contain China is only heavily dwarfed. On the other hand, iCET didn’t label China, instead emphasizing cooperation between India and US on the need for such an initiative to secure supply chain and critical and emerging technologies.
Conclusion
India and US realised there is a need to explore and ensure greater cooperation in critical and emerging technologies and promote co-production and co-development to deepen Indo-US connectivity across various domains. In this regards, the development of iCET in coming times will play an important role which apart from elevating Indo-US strategic partnership, establish innovation bridges in key sectors, promote cooperation in biotechnology, rare earth processing and advanced materials in coming years and aimed to resolves regulatory barrier especially on the US side and also promote business and talent mobility from both sides.
Development of iCET is in-line with the US push to counter China’s growing dominance in advanced technology. The initiative provides India and the US a real opportunity to enhance relationship and the Indo-US trade and defence cooperation. As the agenda and aims under the initiative provides India and the US to further their defence ties and create a momentum in the Indo-US trade. With iCET being an outcome-oriented cooperation, it will strengthen the US-India strategic engagement, promote joint mechanisms in critical technologies including the defence technology. The iCET, on the other hand, will herald a new era in Indo-US strategic cooperation in the coming years.
The author is Research Associate, CAPS.
Disclaimer: Views expressed are personal and do not reflect the official position or policy of Financial Express Online. Reproducing this content without permission is prohibited.