Philippines Joined Pax Silica Alliance in April
The nation plans a massive AI hub in New Clark City to diversify tech supply chains by 2028.
Updated on Oct. 11, 2026 in Artificial Intelligence
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In April 2026, the Philippines joined the United States-led Pax Silica alliance, which aims to counter China's 90 percent control of rare earth refining. The country now plans to host a major AI innovation hub spanning 1,620 hectares in New Clark City.
Why it matters
This development marks a strategic shift to decentralize technology manufacturing away from China. The project is designed to attract $30 billion to $70 billion in investments and create 130,000 jobs by leveraging regional partnerships.
The proposed hub requires a daily water cooling volume of 65 million to 90 million liters, drawn from local rivers. Participating industries must adhere to a mandatory 70 percent water recycling rate to minimize environmental impact.
The players
Pax Silica
An international alliance of over 30 member states initiated by the United States to counter China's dominance in technology manufacturing.
Momentum Research
A research entity that conducted an August 2026 survey on public sentiment regarding the New Clark City development.
The details
The facility will utilize surface water from the Bangot, O'Donnell, and Abacan rivers to handle the thermal demands of high-density AI computing. The project architecture relies on a three-phase development cycle to scale infrastructure within the 1,620-hectare zone. By requiring a 70 percent water recycling threshold, the initiative attempts to balance industrial cooling needs with regional water management.
Timeline
December 2025: The United States initiated the Pax Silica alliance.
April 2026: The Philippines officially joined the alliance.
August 2026: Momentum Research conducted a survey regarding the project.
2028: The first phase of the New Clark City project is expected to begin.
The Tech Race
The formation of the Pax Silica hub is a direct response to China's 90 percent control of rare earth refining. This alliance seeks to build a competitive alternative infrastructure across its 30 member states to circumvent existing supply chain dependencies.
While the project aims to create 130,000 jobs in the Philippines, local residents face ongoing uncertainty regarding environmental impacts. At least 70 organizations have voiced formal opposition to the development plans.
The takeaway
The success of this hub depends on the Philippines meeting high power and cooling demands while managing local opposition. Observers should track the 2028 launch date for phase one to see if investment targets of $30 billion to $70 billion materialize.
What happens next
The project is slated for a three-phase commencement starting in 2028.
Further reading
Explore the Artificial Intelligence section for more on how international alliances are shaping the global infrastructure landscape.
Source note: This article includes information reported by The Manila times.
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