BCDA to ink Pax Silica AI framework with US

MANILA, Philippines — The Philippine government is looking to sign a framework deal for the planned artificial intelligence (AI) industrial hub under Pax Silica with a government agency of the United States.

Trade Undersecretary Ceferino Rodolfo told reporters that the government remains optimistic that the framework deal for the Pax Silica AI industrial hub in New Clark City in Tarlac would be signed with the US in November.

He said that the Bases Conversion and Development Authority (BCDA), as owner of the proposed hub’s location, would be signing the framework deal with a US government agency.

The framework will define industries that will be located in the AI industrial hub.

The proposed 1,600-hectare hub in New Clark City will be developed under the US-led Pax Silica initiative, which aims to establish a “secure and resilient” supply chain for AI and semiconductors.

Last April, the Philippines became part of the Pax Silica initiative, which has over 20 other signatories.

Rodolfo said that locators of the planned Pax Silica AI hub would be bound by Philippine laws.

“All of them at the level of the locators will comply with Philippine laws,” he said.

While the government aims to sign the framework deal with the US by November, he said that the government wants to ensure that concerns being raised on the project are addressed and sufficient safeguards are in place.

Various groups have raised concerns on the proposed project including the high water and electricity demand, environmental impact and displacement of farmers and indigenous people.

The government said that the Pax Silica AI industrial hub would focus specifically on advanced manufacturing, semiconductors, electronics, precision engineering, automation and future high-technology industries.

Rodolfo said that locators of the proposed hub will have to secure and reuse water to support their needs.

Earlier, the government also said that no farmers will be displaced as the site has been designated as a “buildable zone” since 2019.

BCDA president and CEO Joshua Bingcang earlier said that the AI hub’s development is expected to start in 2028 and involve three phases.

He said that an initial $10 billion will be invested by foreign locators for infrastructure such as roads, water and energy to support their requirements in the AI hub.

The BCDA expects potential investments in the Pax Silica AI hub to reach between $40 billion and $70 billion at full development.

It also expects P60 billion in lease income over 25 years and P68 billion to P75 billion worth of annual tax potential.

In addition, the BCDA expects $200 billion worth of exports from the AI industrial hub at full buildout.

The project is also expected to create 130,000 to 190,000 direct jobs and 500,000 to 800,000 indirect jobs.

abtestabtest BIR removes VAT on system loss charges in power bills By Renalyn Ramirez | 7 hours ago No more VAT on allowable system loss charges.  Business LPG group asks gov't to suspend excise tax on fuel products By Renalyn Ramirez | 12 hours ago With fuel nearing P100, an oil company and transport groups press government to suspend taxes. Business DOE failure By Boo Chanco | 1 day ago Pity Energy Secretary Sharon Garin. She is from Iloilo and like the rest of Visayas, Iloilo has been suffering from power failures reminiscent of the great blackouts of the Cory era. And Secretary Garin seems unable... Business BYD overtakes entire 2025 sales in 8 months By Louella Desiderio | 5 days ago Sales of BYD Cars Philippines surged by 99 percent from January to August, surpassing its full-year sales last year, amid sustained demand for new energy vehicles. Business Don’t bet against the house By Wilson Sy | 1 day ago Last month, US support for the Japanese yen was described as “a signal of friendship. Business Latest More in Business Peso on brink of record-low 63:$1 level BSP: Sustained $100 oil to drive up 2027 inflation PNB Holdings expects 2026 profit to hold up The five-second test that makes everything obvious abtest Century Properties bets on luxury homes in Cavite By Elijah Felice Rosales | 32 minutes ago The Antonio family’s Century Properties Group Inc. has started pitching its new project in Cavite to potential... Business Wharton alumni to host MBA info session on September 21 32 minutes ago The Penn-Wharton Club of the Philippines will host its Wharton MBA Info Session on Sept. 21, 2026, from 6:30 to 8:30 p.m. at the 11th floor of Menarco Tower, 32nd Street, Bonifacio Global City. Business The BIR’s document tracking and management system By Ladylynnie Tobilla | 32 minutes ago In today’s highly regulated environment, individuals and businesses routinely transact with government offices and submit important documents. Business More beef imports expected next year By Adrian Kenneth Halili | 32 minutes ago The Philippines is likely to import more beef next year amid rising demand and the lack of appropriate domestic production,... Business Recommended Expose ni Sara September 14, 2026 - 12:00am Si Bise Presidente Sara Duterte usa sa labing unang nibisto sa budget scandal sa administrasyon ni Presidente Ferdinand Marcos Jr. Isip education secretary sugod sa Hulyo 2022 hangtod sa Hulyo 2024, nakabantay siya...r BusinessSARA DUTERTE Mura'g discount sa Temu September 13, 2026 - 12:00am Dili na motahan sa iyang boto si Senator-Judge Francis Escudero ini'g desider unya sa mga senator-judges kon sustenihan ba o dili ang 16 ka boto nga threshold aron pagkonbikto ni Bise Presidente Sara Dutert...r BusinessSARA DUTERTE Davide usa sa motambag sa impeachment court September 12, 2026 - 12:00am Ang Sugbuanong si retired Chief Justice Hilario Davide Jr. maoy usa sa tulo ka mga kanhi chief justices ug usa ka retiradong associate justice nga motambag sa Senate impeachment court sa sunod semana kabahin impeachment...r BusinessHILARIO DAVIDE JR. Paglili sa bilyones September 12, 2026 - 12:00am Pila ka adlaw sa dili pa mosugod pagpresentar og mga ebidensiya aron pagmatuod sa pasangil sa ilegal nga katigayonan ni Bise Presidente Sara Duterte sa pagpadayon sa impeachment trial karong Lunes, gipalili na sa...r BusinessSARA DUTERTE Supina ni Sara September 10, 2026 - 12:00am Mas lig-on ang mga sukaranan sa defense team ni Bise Presidente Sara Duterte sa pagsupak sa mosyon nga ipasaka sa prosekusyon nga moawhag sa Senate impeachment court sa pag-supina niya aron maoy mangunay sa pagtubag...r BusinessSARA DUTERTE next Recommended Expose ni Sara Si Bise Presidente Sara Duterte usa sa labing unang nibisto sa budget scandal sa administrasyon ni Presidente Ferdinand Marcos Jr. Isip education secretary sugod sa Hulyo 2022 hangtod sa Hulyo 2024, nakabantay siya og mga timaan sa maniobra: 1 day ago SARA DUTERTE Mura'g discount sa Temu Dili na motahan sa iyang boto si Senator-Judge Francis Escudero ini'g desider unya sa mga senator-judges kon sustenihan ba o dili ang 16 ka boto nga threshold aron pagkonbikto ni Bise Presidente Sara Duterte.  2 days ago SARA DUTERTE Davide usa sa motambag sa impeachment court Ang Sugbuanong si retired Chief Justice Hilario Davide Jr. maoy usa sa tulo ka mga kanhi chief justices ug usa ka retiradong associate justice nga motambag sa Senate impeachment court sa sunod semana kabahin impeachment batok kang Vice President Sara Duterte. 3 days ago HILARIO DAVIDE JR. Paglili sa bilyones Pila ka adlaw sa dili pa mosugod pagpresentar og mga ebidensiya aron pagmatuod sa pasangil sa ilegal nga katigayonan ni Bise Presidente Sara Duterte sa pagpadayon sa impeachment trial karong Lunes, gipalili na sa House panel of prosecutors ang publiko sa iyang bank accounts: 3 days ago SARA DUTERTE Supina ni Sara Mas lig-on ang mga sukaranan sa defense team ni Bise Presidente Sara Duterte sa pagsupak sa mosyon nga ipasaka sa prosekusyon nga moawhag sa Senate impeachment court sa pag-supina niya aron maoy mangunay sa pagtubag sa mga pasangil: 5 days ago SARA DUTERTE OK Are you sure you want to log out? Yes No X Login Philstar.com is one of the most vibrant, opinionated, discerning communities of readers on cyberspace. With your meaningful insights, help shape the stories that can shape the country. Sign up now!