Source: The post “The importance of Pax Silica for India” has been created, based on “The importance of Pax Silica for India ” published in “The Hindu” on 21st January 2026.
UPSC Syllabus: GS Paper-2- International Relations
Context: Pax Silica is a multilateral initiative launched in December 2025 to secure supply chains of critical minerals, semiconductors, and Artificial Intelligence (AI) technologies. As global economic power increasingly depends on advanced technologies, Pax Silica aims to reduce coercive dependencies and build trusted digital infrastructure. India’s prospective entry into Pax Silica carries strategic, economic, and technological significance.
About Pax Silica
- Pax Silica seeks to ensure secure and resilient supply chains for semiconductors, AI, and rare earth elements (REEs).
- The initiative promotes peace and prosperity through trusted technology ecosystems.
- It aims to counter overdependence on a single country for critical minerals and technologies.
Importance of Pax Silica Globally
- Semiconductors and AI are now central to economic growth and national security.
- Rare Earth Elements are essential for chips, batteries, defence systems, and electronics.
- China’s dominance over REE supply chains has created geopolitical vulnerabilities.
- Export restrictions by China have disrupted global and Indian industries.
India’s Strategic Importance in Pax Silica
- India has a strong digital public infrastructure and a rapidly expanding AI market.
- Indian and U.S. firms have a long history of technology collaboration.
- India has launched Semiconductor Mission and AI Mission with large financial allocations.
- Global companies such as Micron and Indian firms like Tata Group have invested in India’s semiconductor sector.
- India has a growing pool of skilled engineers, strengthened by return migration due to U.S. visa constraints.
Benefits for India
- Participation would help India secure access to critical minerals and advanced technologies.
- It would enable India to scale up semiconductor fabrication and AI ecosystems.
- India can deepen collaborations with countries like Japan, Singapore, Israel, and the U.S.
- It would reduce India’s vulnerability to supply disruptions from China.
- Membership would strengthen India’s position in global technology governance.
Geopolitical Significance
- Pax Silica acts as a counterweight to China’s dominance in REE supply chains.
- India has already faced disruptions in rare-earth magnet imports from China.
- Joining Pax Silica aligns with India’s efforts under the Quad and Supply Chain Resilience Initiative.
- India may prefer Pax Silica’s supply chain over China-centric alternatives.
Challenges for India
- India would be the first developing country and first non-U.S. ally to join Pax Silica.
- This could create an expectation gap regarding strategic alignment with U.S. interests.
- India must safeguard its strategic autonomy in foreign and security policy.
- India’s semiconductor and AI ecosystems are still nascent compared to other members.
- India may face resistance to its use of subsidies, import regulations, and preferential treatment for domestic firms.
Way Forward
- India should engage in detailed consultations to shape Pax Silica’s rules and norms.
- It should seek flexibility to support domestic industries while remaining globally integrated.
- India must balance strategic autonomy with deeper technology partnerships.
- Active participation can help India emerge as a key technology hub in the Global South.
Conclusion: Pax Silica presents India with an opportunity to strengthen its technological capabilities, secure critical supply chains, and reduce dependence on China. However, India must navigate geopolitical sensitivities and protect its developmental priorities. With careful diplomacy and strategic clarity, Pax Silica can significantly advance India’s long-term economic and technological interests.
Question: Discuss the strategic, economic, and technological significance of India joining the Pax Silica initiative.
Source: The Hindu
