The United States and the Philippines have announced plans to establish a 4,000-acre economic security zone aimed at strengthening supply chains in critical minerals, semiconductors and advanced manufacturing, the US Department of State said.
The proposed industrial hub, to be located within the Luzon Economic Corridor, is envisioned as a platform for allied manufacturing and investment under the US-led Pax Silica initiative, a framework designed to secure technology supply chains across partner countries.
In a statement, the State Department said the project would serve as “a purpose-built platform for allied manufacturing” and support efforts to deepen cooperation in key sectors, including electronics and high-tech goods.
The two countries are “committed to strengthening shared supply chains in critical minerals, semiconductors, electronics, and other goods,” it added.
The Philippines recently joined Pax Silica, becoming the 13th participant in the initiative, which focuses on building secure and resilient supply chains spanning minerals, advanced manufacturing, artificial intelligence and data infrastructure.
The planned zone is expected to rise in New Clark City, a government-developed area north of Manila, and will form part of broader efforts by the United States, the Philippines and Japan to boost infrastructure investment in the Luzon Economic Corridor.
US officials described the project as a new model for “AI-native investment acceleration,” combining American expertise in regulation and dispute resolution with the Philippines’ workforce, natural resources and strategic location in the Indo-Pacific.
The initiative reflects Washington’s push to reduce dependence on rival economies and strengthen supply chain resilience among allied nations, particularly in sectors critical to emerging technologies.
Philippine authorities, including the Bases Conversion and Development Authority, are assessing land availability and other requirements for the project, with further details expected as discussions progress.
The planned hub underscores deepening economic ties between Manila and Washington, expanding cooperation beyond defense into industrial development and technology supply chains.
