Roadmap for Answer Writing

1. Introduction

Objective: Define friendshoring concisely and explain its relevance.

• Define friendshoring: Strategy focusing on aligning trade and investments with like-minded nations to reduce supply chain risks.
• Mention its global context: Increasing reliance on China and disruptions like Russia’s gas supply to Europe during the Ukraine crisis.

Fact to Use:

• As per global trends, the U.S. has incorporated friendshoring in its trade policies to enhance supply chain resilience.

2. Explanation of Friendshoring

Objective: Detail its key components and current trends.

• Aligns trade with nations having shared values (e.g., democratic setups, economic stability).
• Encourages investment in stable economies offering reliability in supply chains.

Fact to Use:

• Major countries like the U.S. and EU have initiated partnerships under frameworks such as the Indo-Pacific Economic Framework.

3. How Friendshoring Can Contribute to India’s Development

Subheadings:

3.1 Integration into Global Supply Chains

• Opportunities under friendshoring to position India as a trusted partner.
• Example: India’s role in the Indo-Pacific Economic Framework and the Minerals Security Partnership.

3.2 Boost to Manufacturing

• Growth in key industries like semiconductors, electronics, and defense.
• Example: Apple and Foxconn’s investments in India .

3.3 Infrastructure Development

• Increased investments encourage better logistics and manufacturing competitiveness.

3.4 Job Creation and Innovation

• Potential for domestic and international employment.
• Collaboration with advanced countries fosters technology transfer and innovation.

3.5 Addressing Global Challenges

• Aligning with global goals like climate change, sustainable development, and poverty reduction.

4. Challenges and Recommendations

Objective: Highlight challenges and solutions to optimize friendshoring benefits.

• Challenges: Bureaucratic delays, lack of advanced infrastructure, and competition from other emerging markets.
• Recommendations: Improve ease of doing business, streamline policies, and promote investment-friendly reforms.

5. Conclusion

Objective: Summarize and emphasize the need for decisive action.

• Friendshoring is a strategic opportunity for India to enhance its economic and developmental trajectory.
• India must efficiently implement policies to maximize friendshoring benefits.

Relevant Facts for Use

1. Global Context:
   • “The U.S. and its allies have embraced friendshoring to counter overreliance on China.”.
2. Indian Investment Context:
   • Apple and Foxconn’s significant manufacturing investments in India.
3. Technological Growth:
   • India’s semiconductor and electronics industries have the potential to grow with global partnerships under friendshoring. .
4. Job Creation:
   • Friendshoring-driven collaborations can create thousands of jobs in manufacturing and allied sectors.