The Indian Ocean, as a maritime crossroads of international trade, is a key area of competition between China and the United States.

Success or failure is closely linked to China’s ability to influence its own neighborhood, as America’s real purpose is the creation of a NATO-style regional alliance. For the U.S., much depends on whether it can accommodate the concerns of countries that don’t want to take sides.

IPEF negotiations are underway and four joining statements were recently released at the first in-person IPEF ministerial meeting. But Washington’s motives and the direction they lead negotiations remains to be seen, as they seek to build allyship in the Pacific and increase competition with China.

Is the U.S. ready to meaningfully engage with the Asia-Pacific region? Their latest offering comes in the form of the IPEF, and the differences between the U.S.-led trade pact and competing ones led by Asian powers will show whether American leadership has brought enough to the table.

U.S. President Joe Biden formally launched the Indo-Pacific Economic Framework in June, but the initiative falls short of providing an actual trade agreement. In order for the IPEF to work long term, the Biden administration must include interlocking development initiatives that are multilateral and backed by public-private partnership agreements.

India and Pakistan share a deeply intertwined and embattled history. And now that India sees China entering the picture to back Pakistani development, the thought of two neighboring rivals growing closer has put India on notice.

America finally issued a broad statement on its Indo-Pacific strategy, predictably addressing concerns about China’s influence and spelling out its intention to play into its allies' favor. Meanwhile, ASEAN must respond to the latest development to retain their own autonomy and stability in what many are sure to see as rising tensions.

The Biden administration recognizes the importance of sustained engagement in the region, but it can’t ignore Washington’s other interests around the world. Thus, the prospects for America’s Indo-Pacific Strategy are uncertain.

There is no need for China to overreact to the latest strategy report, but it needs to be prepared for pressure from the United States, which will likely focus on the Indo-Pacific region for decades to come.

The Indo-Pacific Economic Framework proposed by the United States should blend with existing regional free trade arrangements, which are already well-developed. A quick look at the numbers shows there’s no advantage to leaving out Asia’s trade behemoth.