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PH eyes more ‘nodes’ beyond Pax Silica
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PH eyes more ‘nodes’ beyond Pax Silica

Logan Kal-El M. Zapanta

Manila is laying out a broader vision for the country’s industrial push that goes beyond the planned Pax Silica hub in New Clark City, which would build on initiatives the Philippines had already been pursuing even before the controversial project came into the picture.

Trade Undersecretary Ceferino Rodolfo said the Pax Silica hub could serve as one of several “building blocks” in a wider strategy linking advanced manufacturing, semiconductor design, critical minerals and, potentially, artificial intelligence (AI) computing infrastructure.

“Pax Silica is just one of the partnerships that we can benefit from in implementing an AI-driven industrialization node,” Rodolfo told reporters.

Under that plan, the first node would center on advanced manufacturing in New Clark City, while another would focus on integrated circuit design in Metro Manila. A third would cover critical minerals and mineral processing, building on recent government reforms in the mining sector.

A fourth could involve AI computing infrastructure, including data centers, although Rodolfo stressed that these would not necessarily be located in Clark.

Instead, the government would identify locations better suited for power- and water-intensive high-technology facilities, while taking into account environmental and community concerns.

Gov’t-to-gov’t deal

“[We will spread the nodes] not only to democratize everything, but also because each location brings to the table different sets of strengths and their appropriateness for specific activities,” Rodolfo said.

When the Philippines signed on to the Pax Silica initiative in April, it offered 1,619 hectares of land in New Clark City to serve as the partnership’s “golden node” and anchor projects such as semiconductor and electronics manufacturing.

Rodolfo said the Philippines could even develop some of the envisioned nodes on its own. Many of the country’s industrialization initiatives, after all, predate Pax Silica, he added.

What Pax Silica brings to the table, Rodolfo said, is the Philippines’ designation as a trusted partner in the AI technology ecosystem, as well as a mechanism for coordinating investors and preparing projects for eventual financing.

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The proposed Pax Silica framework itself is being negotiated between the Bases Conversion and Development Authority and a US government counterpart and would serve as a blueprint for agreements with prospective locators.

Rodolfo, however, said the specific American agency that would sign the “master agreement” had yet to be finalized.

The Philippines, he added, remains optimistic about completing the framework by November.

“Of course, (that is) while addressing the concerns, ensuring that there are sufficient safeguards, and consultation,” he said.

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