(May 18): The US and the Philippines are moving “very, very quickly” on a planned artificial intelligence and supply chain hub in the Southeast Asian nation, a top US official said, as Washington seeks long-term protection for American investors.
“Investors who are going to spend billions of dollars to build out very expensive capex need to make sure that those investments need to outlive administrations in both of our countries and there needs to be an element of durability and certainty,” undersecretary of state for economic affairs Jacob Helberg said on Monday, referring to capital expenditure.
Helberg visited the proposed 4,000-acre site in New Clark City, north of Manila, and brought with him over a dozen American companies. There will be detailed discussions on how to provide investor protection and ensure “that our approach also makes sense for the Philippines.”
Asked about media reports that Americans based in the site will have diplomatic immunity once it’s operational, the Philippines’ Bases Conversion and Development Authority chief executive officer Joshua Bingcang said: “That’s their request but we did not agree to that.”
Plans for the industrial hub were announced last month as the Philippines joined Pax Silica, a Washington-led supply-chain alliance that also includes Australia, India, Israel, Japan and the UK.
The Philippines became the 13th country to join the grouping under the State Department’s flagship effort on AI and supply chain security.
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The site in Clark will be Pax Silica’s first AI-native industrial acceleration hub, envisioned to support emerging industries in AI, digital infrastructure, advanced manufacturing and future-ready technologies, according to the BCDA.
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