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Pax Silica Development in Central Luzon Set for 3 to 5 Years

The AI hub at New Clark City aims to boost the economy significantly.

MD

Mateo Dela Cruz

August 8, 20263 min read13 views
Pax Silica Development in Central Luzon Set for 3 to 5 Years
Aerial view of the proposed 1,620-hectare Pax Silica site at New Clark City, Tarlac.
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Development for the Pax Silica project, envisioned as a U.S.-led artificial intelligence hub, is slated to commence in three to five years at the New Clark City site in Capas, Tarlac.

The initial phase of construction will cover approximately 500 hectares of the designated 1,620-hectare area, according to Joshua Bingcang, President and CEO of the Bases Conversion and Development Authority (BCDA).

Once fully operational, the facility is projected to generate up to ₱180 billion in annual revenue and create nearly 200,000 jobs over the next decade.

Economic Impact and Export Goals

We see this as a long-term investment. The first phase will be around 500 hectares. We see that in three to five years.

Joshua Bingcang, BCDA President and CEO

The Pax Silica initiative is expected to elevate the Philippines' merchandise exports from a record-high of $84.48 billion in 2025 to approximately $200 billion, largely by attracting semiconductor and AI-related companies.

However, the project has faced scrutiny, particularly from lawmakers concerned about its energy demands. Bingcang reassured that any data centers established would specifically serve semiconductor companies at the site, rather than becoming major facilities for global clients.

Trade Undersecretary Ceferino Rodolfo emphasized the Philippines' participation in the Pax Silica coalition, which includes around 23 countries, aims to enhance the value of its mineral and semiconductor sectors.

He noted that while the pact is non-binding, it fosters a collaborative environment beneficial for investment and innovation.