The Philippines and the United States are moving to establish a 1,619-hectare Economic Security Zone in Luzon, setting up what officials describe as the first artificial intelligence-native industrial acceleration hub under the Pax Silica initiative.
The planned 4,000-acre site will rise within the Luzon Economic Corridor and is positioned to secure inputs vital to American and global supply chains. The US State Department said the zone will act as a staging point for a purpose-built platform for allied manufacturing, where industrial activity is shaped by market demand, the Philippines’ comparative strengths, and the shifting needs of partner economies.
The move follows the Philippines’ entry into Pax Silica as its 13th signatory, joining countries including Japan, the United Kingdom, and the United Arab Emirates. Department of Trade and Industry Undersecretary and Board of Investments Managing Head Ceferino S. Rodolfo signed the declaration, formalizing the country’s role in a wider network designed to reorganize how supply chains are built and sustained.
Officials said the project targets sectors tied directly to supply chain security, including semiconductors, electronics, and critical minerals. The Philippines contributes an existing base in technology manufacturing, alongside reserves of nickel, copper, chromite, and cobalt that are increasingly central to industrial production.
Both governments are working to define joint governance frameworks to support the zone’s long-term development. Plans include aligning US institutional systems such as enforceable contracts, transparent regulatory standards, and dispute resolution mechanisms with the Philippines’ workforce, natural resources, and strategic position in Indo-Pacific trade routes.
The Luzon hub is expected to anchor a broader network of Economic Security Zones across multiple countries, linking manufacturing sites, logistics corridors, and financial systems under the Pax Silica framework.
