08/08/2026
READ | Pax Silica Raises National Concerns on Progress and Protection
From serving as the foundation of artificial intelligence (AI) technologies to connecting billions of people worldwide, semiconductors have become the backbone of the digital age, fueling a global race for the resources that are reshaping industries, economies, and communities.
The United States-led Pax Silica, a proposed initiative to strengthen semiconductor and AI supply chains through the planned development of a 1,600-hectare AI-driven industrial hub in New Clark City, Capas, Tarlac, aims to expand the country's high-tech manufacturing industry.
An increase in demand for semiconductor chips has been driven by the rapid, continuous growth of AI applications that rely on high-performance computers to analyze data and generate outputs such as text, images, and videos. These applications require advanced chips, which use silicon-based materials as a critical component in the global technology sector.
Reflecting the initiative’s focus on supply chain stability, ‘’Pax Silica’’ derives its name from "pax," which defines stability in Latin, and "silicon" which refers to the essential element in semiconductor manufacturing.
Pax Silica aims to process the Philippines’ critical minerals and produce high-tech components for AI and semiconductors, where AI processing, chip manufacturing, and mining are expected to create jobs, which increases the country’s income and tax collection.
According to Department of Trade and Industry (DTI) Undersecretary Ceferino Rodolfo, the project is intended to ensure that the country's critical minerals are processed domestically instead of exporting it as raw materials.
Additionally, he stated that the initiative seeks to establish new industries, create jobs, and increase tax revenues by expanding value-added manufacturing in the Philippines.
Furthermore, numerous criticisms have been published against the project, yet the government still insisted on continuing the project because they believe that this strengthens high-value manufacturing in the country.
While the government emphasizes long-term economic gains, scientists, agricultural organizations, and indigenous rights advocates highlight severe human and environmental impacts on local populations in Capas, Tarlac.
According to estimates from environmental groups like the Kalikasan People’s Network for the Environment and science advocacy groups like Agham, up to 20,000 local residents and 15,000 farmers—including indigenous Aeta communities—face potential physical displacement or loss of agricultural livelihoods across barangays O'Donnell, Aranguren, and Santa Lucia.
Capas municipal data indicates that over 30% of its total land area consists of productive agricultural areas and traditional ancestral zones. Indigenous Aeta groups express deep concern over the disruption of ancestral lands they have cultivated and relied upon for generations.
In addition, civil society groups warn that high-tech chip processing and AI data centers require massive quantities of water and energy, threatening local water security, increasing noise pollution, and disturbing surrounding natural ecosystems.
In response to these matters, the Bases Conversion and Development Authority (BCDA) asserts that the targeted area is titled public land without active ancestral domain claims.
Ultimately, Pax Silica highlights the delicate balancing act between national industrial advancement and grassroots protection. As the Philippines positions itself as a key node in the global tech supply chain, the real challenge will be ensuring that the progress of the modern economy does not come at the irreparable expense of local communities and ecosystems.
Cartoon by Alexa Edusma
Written by Angela Cardino and Mhaine Neri
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References:
https://www.philstar.com/headlines/2026/07/27/2545030/scientists-group-debunks-claims-pax-silica-project/amp/
https://www.scmp.com/week-asia/economics/article/3360932/philippines-pax-silica-ai-hub-plan-slammed-mineral-plunder
https://www.gmanetwork.com/news/money/economy/995814/explainer-pax-silica-why-are-people-worried/story/
Disclaimer: The views and opinions expressed in this publication article are solely those of the individual contributions and do not represent the views of the entire student body of FEU Alabang, the administration, or the institution as a whole.
