MAP Backs Pax Silica Participation with 'Protected Approach'

The Management Association of the Philippines (MAP), a group of top-level executives and business leaders, has expressed its support for the Philippines' participation in the US-led Pax Silica initiative, an undertaking focused on artificial intelligence (AI) and supply chain security. However, the organization stresses the necessity of clear safeguards to ensure technology transfer, environmental sustainability, inclusive growth, Filipino capability building, and the protection of national interests. Pax Silica is a flagship initiative by the U.S. Department of State aimed at advancing a new economic security framework among allies and trusted partners. The Philippines officially joined this initiative in April, alongside 23 other global signatories, including the European Union, Japan, India, Singapore, South Korea, and the United Kingdom. As part of this initiative, Manila and Washington are collaborating to establish a 4,000-acre industrial hub within the Luzon Economic Corridor, envisioned as a new model for AI-focused investment. MAP advocates that the Philippines should approach Pax Silica not with "blind optimism nor reflexive opposition," but rather as a "strategic negotiation." The group supports a "Proceed, but Protected" approach, urging the country to actively pursue the opportunity, negotiate from a position of national interest, and establish necessary "guardrails" to ensure that the benefits are broad-based, sustainable, and unmistakably Filipino. Concerns have been raised by various sectors regarding the potential negative environmental effects of AI facilities, which require substantial amounts of water and electricity. MAP emphasizes that economic progress and environmental responsibility must advance together. They support rigorous safeguards, transparency measures, independent monitoring, and compliance with Philippine laws and international best practices concerning water use, power demand, emissions, biodiversity, and resource utilization. Furthermore, MAP has outlined key "guardrails" for the country's adoption of the Pax Silica initiative. These include ensuring industrialization and value addition as a core objective, making technology transfer and capability building measurable, prioritizing Filipino employment and leadership participation, guaranteeing community protection and inclusive growth, and preserving national sovereignty and Philippine jurisdiction. The association recommends the establishment of an independent multi-stakeholder oversight structure composed of representatives from government, business, academia, labor, civil society, and relevant technical experts. This body would regularly monitor progress against commitments related to investments delivered, jobs created, Filipino workforce participation, technology transfer, environmental performance, community impact, and economic value generated for the Philippines, thereby fostering trust and accountability. Public disclosure of key performance indicators will help build trust, strengthen accountability, and foster informed public dialogue.