The Philippines expects its participation in a US-led artificial intelligence coalition to lift the value of its mineral and semiconductor exports, trade officials said Friday, as plans firm up for a sprawling technology hub in Central Luzon.
Speaking at a briefing in New Clark City, Tarlac, Trade Undersecretary and Board of Investments managing head Ceferino Rodolfo said Manila joined the roughly 23-nation bloc to strengthen the case for two of its key industries. He described the country’s aim as moving beyond the current model of shipping raw materials abroad.
“For the Philippines’ case, we are here because we would like to add value to the activities that we currently have in the Philippines. For example, for the minerals that we are able to export, we would like to add more value to the minerals that we are exporting largely in unprocessed form. For our semiconductor industry, we would like to move up the value chain,” he said.
Rodolfo noted that member states each carry distinct motivations for joining as global appetite for AI capacity grows, though their goals ultimately align with the coalition’s wider aims. He characterized the arrangement as nonbinding, leaving governments free to withdraw. Pressed on the downside of exiting, he argued that stepping away would cut a country off from innovations generated within the group.
“That’s why there is a need for a coordinated effort for investments. It’s non-binding but we share the same principles and you are branded as a trusted partner,” he said.
The physical anchor of that effort is Pax Silica, a hub envisioned to draw semiconductor manufacturers and AI-adjacent firms to the country. Over a 30-year horizon, officials project the initiative could push national exports toward roughly $200 billion. That figure sits well above 2025’s record merchandise export haul of $84.48 billion, a total propelled mainly by semiconductor shipments.
Groundbreaking on the site could come within three to five years, according to Bases Conversion and Development Authority President and CEO Joshua Bingcang. He said the opening phase would develop about 500 hectares of the full 1,620-hectare property.
“We see this as a long-term [investment]. The first phase will be around 500 hectares. We see that in three to five years,” Bingcang said.
He pushed back on earlier characterizations of the project as heavily energy-dependent because of data centers. Any such facilities built on site, he said, would exist to support the semiconductor firms locating there rather than operate as hyperscalers serving global customers.
“We will not put up data centers here. It will be for something which the New Clark City is really built for — predominantly, it will be for industrial use,” Bingcang said.
New Clark City’s master plan, he added, was drawn up to host a range of industries. Should large-scale data centers eventually rise, they would fall outside the Pax Silica footprint and sit apart from the project entirely.
