Pax Silica pact: India plugs into US tech alliance to secure chips, AI and critical minerals

India on Friday formally joined the US-led Pax Silica initiative, with both countries signing the Pax Silica Declaration on the sidelines of the India AI Impact Summit 2026, marking a significant step in expanding cooperation on artificial intelligence, semiconductors and critical supply chains.

The declaration underscores the importance of resilient supply chains for economic security and positions artificial intelligence as a transformative force for long-term global prosperity. Pax Silica is the US Department of State’s flagship framework aimed at building a trusted network of partners across the technology and industrial ecosystem.

Also Read: Inside America’s Pax Silica strategy and why India’s entry is pivotal for AI supply chain

India bets on semiconductor scale

Union IT minister Ashwini Vaishnaw used the occasion to emphasise India’s long-term ambitions in semiconductors and electronics manufacturing, framing the current push as the beginning of a compounding growth cycle.

“If this spirit had persisted since 1947, we can imagine the scale of compounding. No problem -- even if it starts now. The next generation will reap the benefits,” Vaishnaw said.

He highlighted India’s growing capabilities in advanced chip design, noting that Indian engineers are already working on cutting-edge 2-nanometer chips. With the global semiconductor industry expected to require around one million additional skilled workers, he positioned India as a key talent hub.

“Students now have access to the world’s best semiconductor design tools -- free of cost -- and it is yielding results,” he said, adding that India aims to take global leadership in semiconductors and electronics.

Rajnish Gupta, Partner, Tax and Economic Policy Group, EY India, said: "For India to grow its manufacturing, it is essential that it is not vulnerable to access to technology or risks supply chain disruption and has access to raw material at competitive prices. It should protect itself from market failure resulting in concentration in any part of the supply chain. Semiconductor supply chains are inherently intricate and interdependent. Building full-spectrum resilience across mining, processing and manufacturing would be difficult for any single economy acting alone. By joining this coalition, India can eliminate potential choke points and ensure access to advanced technologies and potential investments."

Strategic alignment gains momentum

Speaking at the summit, US Ambassador to India Sergio Gor described India’s entry as a pivotal moment in the evolving global technology order.

“We welcome India into Paxilica. Just over a month ago, I arrived in this extraordinary nation as the US Ambassador. In my first weeks, I’ve walked the halls of South Block, met with innovators in Bangalore, and broken bread with entrepreneurs who are building the future. What struck me most wasn’t just India’s scale -- although that is breathtaking -- it’s India’s resolve, the determination to chart its own course.”

He linked the initiative to broader cooperation across trade, defence and technology.

“I keep talking about the limitless potential between our two nations, and I truly mean it. From the trade deal to Paxilica to defense cooperation, the potential for our two countries to work together is truly limitless. I aim to fulfill that over the next three years that I’m here.”

Also Read: India-EU FTA to open new avenues for trade, investment: PM Modi, Greek counterpart

“No to weaponised dependency”

US Under Secretary of State Jacob Helberg framed the initiative in sharper geopolitical terms, calling for a break from over-concentrated and coercive supply chains.

“As we sign the Pax Silica Declaration, we say no to weaponised dependency and no to blackmail,” Helberg said, adding that economic security must be treated as national security.

He outlined a vision of a “full-stack” technology coalition -- spanning critical minerals, semiconductor fabrication and AI deployment—designed to distribute technological power across trusted partners. “We are securing the full stack of the future -- from minerals deep in the earth to the intelligence that will unleash human potential,” he said.

Trade deal lays groundwork

The signing follows an interim trade agreement between the two countries earlier this month, which officials said helped resolve long-standing friction points and laid the foundation for deeper economic integration.

“Earlier this month, we concluded the interim trade agreement -- a deal that shapes the economic contours of the Indo-Pacific. We overcame friction points that had held us back for far too long. That agreement wasn’t just about trade flows or tariff schedules. It was about two great democracies saying: we will build together, not just buy from one another.”

Full-stack tech coalition

Gor described Pax Silica as a coalition spanning the entire technology supply chain -- from critical mineral extraction to chip manufacturing and AI deployment -- aimed at reducing reliance on adversarial systems.

“And now today, we take the next step. India joins Paxilica, the coalition that will define the 21st-century economic and technological order. The US leads a strategic coalition designed to secure an entire silicon stack -- from the mines where we extract critical minerals, to the fabs where we manufacture chips, to the data centers where we deploy frontier AI. It’s a coalition of capabilities that replaces coercive dependencies with a positive-sum alliance of trusted industrial bases.”

He added that the grouping would bring together nations committed to open markets and democratic values.

“Paxilica will be a group of nations that believe technology should empower free people and free markets.

India’s entry into Paxilica isn’t just symbolic -- it’s strategic. It’s essential. India is a nation with deep talent, deep enough to rival any challenger. India’s engineering depth offers critical capabilities for this vital coalition.”

US-India joint statement on 'COMPACT'

Under the joint statement released on Friday, the two countries acknowledged a shared vision for their innovation ecosystems, highlighting the relevance of the Pax Silica Declaration’s principles to the India-U.S. Comprehensive Global Strategic Partnership and India-U.S. COMPACT (Catalyzing Opportunities for Military Partnership and Accelerated Commerce and Technology) for the 21st century.

"Recognizing that the 21st century is likely to be defined by the physical backbone for artificial intelligence—from critical minerals and energy to compute and semiconductor manufacturing—the two sides share the view that the future of AI should be built on a foundation of trusted collaboration, economic security, and free enterprise," it stated.

US and India have expressed the desire to move beyond the paralysis of fear in favor of the dynamism of AI opportunity to promote innovation and to deploy it for human prosperity. The two countries believe that a significant risk facing the free world is not the advancement of AI, but the failure to lead it.

The two economies intend to pursue a global approach to AI that is "unapologetically friendly" to entrepreneurship and innovation.

They have identified the following shared priorities:

• Promoting pro-innovation regulation: India and the US have pledged to adopt and mainstream regulatory regimes that advance technological innovation and promote investment. They aim to champion a pro-growth regulatory environment that fosters AI innovation and empowers builders, coders, creators, startups, and the platforms that enable them, in both countries to test, deploy, and scale rapidly to build secure and trusted AI ecosystems.
• Strengthening the physical AI stack: The countries plan to deepen cooperation under the Pax Silica framework to support the supply chains of tomorrow. This goal includes exploring joint initiatives including R&D projects to expand reliable energy infrastructure, produce critical minerals, harness skilled workforces, and accelerate the development of trusted semiconductor ecosystems.
• Driving free enterprise: The partner countries seek to foster an environment where the AI revolution is driven by the creative power of the private sector, catalyzed by robust ecosystems of developer tools and platforms that lower barriers to entry. They aim to facilitate cross-border venture capital flows and R&D partnerships to help ensure that democracies and entrepreneurs remain the "architects of the future."

"The two sides intend to work together to enable industry partnerships and investments in next generation data centers; to cooperate on development and access to compute and processors for AI; and to advance innovation in AI models and the development of AI applications," the official document said.

Framework and participation

The Pax Silica Declaration includes signatories such as Australia, Greece, Israel, Japan, Qatar, South Korea, Singapore, the UAE and the UK. Non-signatory participants include Canada, the Netherlands, the European Union, the OECD and Taiwan.

US Under Secretary of State for Economic Affairs Jacob Helberg is visiting India from February 20–21 as part of the American delegation led by White House Office of Science and Technology Policy Director Michael Kratsios. The visit includes bilateral meetings and discussions on expanding cooperation in emerging technologies and advancing the next phase of the US AI Exports Program.

The agreement comes shortly after India’s participation in the Critical Minerals Ministerial in Washington, where External Affairs Minister S Jaishankar called for structured international cooperation to “de-risk” supply chains and reduce excessive concentration risks.