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The flags of the US and China are shown above a circuit board in this file photo taken on Feb. 17, 2023. (Reuters/Yonhap)

The Trump administration has formed a coalition with partners including South Korea and Japan to counter China’s dominance over critical minerals and challenge the country in key technological fields such as artificial intelligence and semiconductors.

The US Department of State announced in a press release on Thursday (local time) that US undersecretary of state for economic affairs, Jacob Helberg, would sign a document with representatives from Japan, South Korea, Israel, Australia and Singapore on Friday, thereby launching what it called the “Pax Silica” initiative. 

The State Department described Pax Silica as “a new kind of international grouping and partnership,” explaining that its goal is “unite the countries that host the world’s most advanced technology companies to unleash the economic potential of the new AI age.” 

It also stated that this marks the first time nations are collaborating by treating advanced semiconductors, critical minerals, and energy as “shared strategic assets.”

While the press release did not directly mention China, this coalition is seen as a US effort to counter China in the semiconductor and critical minerals sectors, which are crucial for developing AI. The US is encouraging other nations to join its coalition. Helberg explained to US media outlet Politico that the declaration will allow participating nations to conduct joint research and development, manufacturing, and infrastructure development intended to rival China’s Belt and Road infrastructure initiative. 

“It’s clear that right now in AI, it’s a two-horse race — it’s the US and China,” Helberg said in an interview with Bloomberg on Dec. 2. “We want to have a positive, stable relationship with China, but we’re also ready to compete, and we want to make sure that our companies can continue building transformative technologies without being subject to coercive dependencies.”

In its press release, the US State Department described Pax Silica as a “new economic security paradigm,” explaining the name combines the Latin word “pax,” meaning peace, stability, and long-term prosperity, with “silica,” the compound that is refined into silicon, one of the chemical elements foundational to the computer chips that enable artificial intelligence. 

It cited the phrases Pax Americana and Pax Romana as comparisons, adding that Pax Silica aims to “establish a durable economic order that underwrites an AI-driven era of prosperity.” This name embodies the US’s ambition to lead the impending AI era through undeniable dominance.

Politico noted that the initiative “underscores the degree to which the Trump administration considers China’s near monopoly in rare earths [. . .] and dominance of other parts of the global supply chain, as a significant threat.” The outlet also suggested that the move “reflects US concern about China’s massive investment in artificial intelligence and quantum computing that could give it a competitive edge in the 21st century economy.”

Following the signing ceremony for the six-nation declaration on Friday, the first Pax Silica summit was set to convene with counterparts from the United States, Japan, South Korea, Singapore, the Netherlands, the United Kingdom, Israel, the United Arab Emirates and Australia. In his interview with Politico, Helberg stated, “This grouping of countries will be to the AI age what the G7 was to the industrial age.”

Earlier on Thursday, Japan and the US signed a joint preamble in Washington, pledging to jointly pursue a multi-layered partnership related to the Pax Silica initiative.

By Kim Ji-eun, staff reporter

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