DFA Secretary: Pax Silica to help PH climb global tech value chain

The Department of Foreign Affairs (DFA) on Wednesday conveyed its backing for the Pax Silica initiative anew, describing it as one of the Philippines’ tools for strengthening its economic security.

Speaking at the Center for Strategic and International Studies (CSIS) Manila Strategy Forum 2026 in Parañaque, DFA Secretary Ma. Theresa Lazaro said the country’s participation in the coalition demonstrates its “determination to climb the global technology value chain.”

“The Philippines will not remain a mere exporter of raw materials or low-tier assembly. We are positioning our country’s as a secure, trusted hub for semiconductor packaging, critical mineral processing, and emerging technology,” she said.

“In today’s world, economic diplomacy is a national defense by another name,” she added.

At a recent June talk with CSIS, Lazaro said at least seven countries are interested in exploring opportunities in the Philippines through the Pax Silica.

“[N]ow there are seven countries that are very interested. And I think there's another - more countries that are interested, and hopefully the infrastructure, it could be built to help this high-tech industry, Al and many other issues,” she said.

Site development in the planned US-led artificial intelligence (AI) hub Pax Silica in Central Luzon is eyed to start within three to five years, covering around 500 hectares of the 1,620-hectare site.

Full operations are seen within a 30-year period, which is projected to increase the country’s exports to around USD200 billion.

READ: Pax Silica AI hub to start development in 3-5 years

Lazaro said Manila continues to develop its economic ties with like-minded partners through the Luzon Economic Corridor (LEC) while further diversifying its relations to avoid “over-dependence” on any single partner, capital source, or market.

“A nation with diversified relationships possesses greater diplomatic maneuverability,” she said.

“When conventional routes narrow, our diplomacy opens fresh windows across the globe. While deepening cooperation with traditional treaty allies and close strategic partners—such as Japan, Australia, Canada, the Republic of Korea, New Zealand, and others—we are actively expanding our diplomatic footprint,” she added, naming the European Union, the United Kingdom, and several countries across South and Central Asia, the Middle East, Latin America, and Africa.

Lazaro had previously said that the combined strength of both defense and economic security is “essential” to the country in the face of “mounting pressures” in its maritime domain.

At the forum, CSIS Senior Fellow and Freeman Chair Amb. Edgard Kagan noted that Manila has effectively utilized its “web of minilaterals” to deter potential economic coercion over its position in the South China Sea.

“I think that if you compare what has happened in recent years with Second Thomas Shoal, one thing that has been a surprise is that China has not been more coercive economically towards the Philippines,” he said.

“And I would argue that part of that is because the Philippines has been very effective in developing this web of minilaterals, which creates the sense that there actually would be support in the event of that happening. So, I think it's very effective,” he added.