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CongressbonaI Research Serv ce
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Updated November   14, 2023


The Pacific Islands


Overview
The Pacific Islands region in the Southwest Pacific has
emerged  as an area of growing interest to major powers,
due to the region's strategic location and significant
resources. The region has strategic significance for the
United States; it includes the state of Hawaii, several U.S.
territories, and three freely associated countries, and hosts
key U.S. military installations. Congressional
considerations include bolstering diplomacy in the region;
funding assistance in areas such as climate change,
sustainable fisheries, and economic development;
addressing security and other threats posed by the People's
Republic of China (PRC or China), including by working
with allies; and extending assistance to the Freely
Associated States (FAS, see below).
Some  Pacific Island countries (PICs), such as Papua New
Guinea (PNG)  and Fiji, are relatively large with extensive
natural resources; others are quite small, sitting on top of
low-lying coral atolls, with limited economic prospects and
high vulnerability to the effects of climate change and sea
level rise. Many PICs rely on fisheries, tourism, and
remittances as their chief sources of revenue. PICs were
among  the first countries to ratify the 2015 Paris Climate
Agreement  on climate change. PIC leaders agreed on an
expanded concept of security in the 2018 Boe Declaration
on Regional Security, which states that climate change
remains the single greatest threat to the Pacific.
The Trump  Administration increased foreign assistance to
the Pacific Islands, and the Biden Administration has
further expanded U.S. engagement in the region. The Biden
Administration held the first U.S.-Pacific Islands Forum
Summit  in September 2022, during which it announced the
U.S. Pacific Partnership Strategy and other initiatives, as
well as $810 million in additional expanded programs for
the region, subject to congressional approval.
At the second U.S.-Pacific Islands Forum Summit, held in
September 2023, the Biden Administration announced that
it would ask Congress for $200 million in additional
funding for the region. Since 2022, proposed expanded
programing for the region has included support for
managing  fisheries and combatting illegal, unreported, and
unregulated (IUU) fishing; addressing the effects of climate
change; infrastructure investment; development financing;
security cooperation; and digital connectivity and
cybersecurity. Other U.S. efforts include the following:
       The United States has established new embassies
        in the Solomon Islands (SI) and Tonga, with plans
        to open embassies in Vanuatu and Kiribati.
       In 2022, the State Department designated
        Ambassador  Frankie Reed as the first-ever U.S.
        Envoy  to the Pacific Islands Forum.


       In 2022, Fiji became the first PIC to join the Indo-
        Pacific Economic Framework  for Prosperity
        (IPEF) initiative, launched by the Biden
        Administration in 2022.

       In May  2023, the United States and Papua New
        Guinea  signed a Defense Cooperation Agreement
        (DCA)  and an Agreement  Concerning Counter
        Illicit Transnational Maritime Activity Operations.
        The DCA   allows the U.S. military to develop and
        operate out of bases in PNG with the PNG
        government's  approval.
       In September 2023, the U.S. government
        announced  that it would establish formal
        diplomatic relations with the Cook Islands and
        Niue, two countries that have free association
        status with New Zealand.
Bills in the 118th Congress that support the above and
related efforts in the Pacific Islands region include H.R.
4538, S. 1220, and the National Defense Authorization Act
for FY2024 (H.R. 2670, §§1368 and 6405).

Figure  I. The Pacific Islands Region and Subregions


Source: Congressional Research Service


G eopolitical Context
The PICs are scattered over a broad expanse of ocean and
divided among three subregions-Melanesia, Polynesia,
and Micronesia (see Figure 1). The United States has long
held major economic and strategic roles in the Micronesian
subregion, home to two U.S. territories (Guam and the
Northern Mariana Islands) and to the Freely Associated
States-Republic  of the Marshall Islands (RMI), Federated
States of Micronesia (FSM), and Republic of Palau. U.S.
territory American Samoa lies in the Polynesian subregion,
where France has territories and military bases. Australia
and New  Zealand maintain strong relations with much of
the region, particularly in Melanesia.

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