Italy, US to finalize Pax Silica AI initiative after Trump dispute

Italy and the United States on Friday will sign off on a cooperation agreement on the so-called Pax Silica initiative on artificial intelligence supply chains, a statement from Rome's foreign ministry said on Wednesday.

Pax Silica is a U.S. State Department initiative bringing together allied countries to secure AI-related supply chains, covering areas ranging from semiconductors and critical minerals to advanced manufacturing and AI models.

Ambassador Armando Varricchio and U.S. Ambassador to Italy Tilman Fertitta will sign off on the agreement on Friday in Brindisi, southern Italy, the statement said.

Italy was due to join Pax Silica in Miami in June, but Foreign Minister Antonio Tajani called off the trip after Prime Minister Giorgia Meloni and U.S. President Donald Trump had a public falling out, with Washington accusing Rome of providing little support in the Iran war.

"The goal is to foster an ecosystem supporting the growth of these key sectors and to reduce dependence on exporting countries," the Italian ministry added.

-Reporting by Giuseppe Fonte; Editing by Kirsten Donovan/Reuters