India stands on the cusp of a transformative opportunity with its invitation to join Pax Silica, a United States-led strategic initiative aimed at forging a secure, resilient, and innovation-driven silicon supply chain.

This development underscores the deepening technological partnership between New Delhi and Washington, particularly as global demand for semiconductors surges amid advancements in artificial intelligence, quantum computing, and defence systems. Silicon, the foundational material for chips powering everything from fighter jets to satellite constellations, has become a cornerstone of national security and economic sovereignty.

Pax Silica emerges against a backdrop of supply chain vulnerabilities exposed by the COVID-19 pandemic and geopolitical tensions, especially with dominant players like China controlling over 80 per cent of global polysilicon refining.

Launched by the US in late 2025, the initiative seeks to diversify production away from adversarial dependencies, much like the CHIPS Act has bolstered American manufacturing. By inviting India, the US recognises New Delhi's burgeoning semiconductor ecosystem, including facilities in Gujarat and Assam, and its strategic position in the Indo-Pacific.


For India, participation in Pax Silica aligns seamlessly with the India Semiconductor Mission, which has already attracted investments from giants like Micron Technology and Tata Electronics. The country aims to produce 10 per cent of global semiconductors by 2030, leveraging its skilled engineering workforce and government incentives worth over ₹76,000 crore.

This invitation could accelerate technology transfers, joint ventures, and access to cutting-edge fabrication tools, propelling indigenous projects such as the TEJAS MK-2 avionics and Gaganyaan mission computers.

From a defence perspective, the implications are profound. India's aerospace and military sectors, including DRDO and HAL, rely heavily on imported chips for systems like the Akash missile and UAV swarms.

A resilient silicon supply chain would mitigate risks from sanctions or disruptions, enabling faster indigenisation of critical hardware. Imagine BrahMos-II hypersonic missiles equipped with domestically sourced, radiation-hardened processors—Pax Silica could make such self-reliance a reality sooner.

The US-India collaboration extends beyond mere supply; it fosters innovation ecosystems. Joint R&D hubs could emerge, blending American design expertise with Indian fabrication scale. This mirrors successful models like iCET (Initiative on Critical and Emerging Technology), which has already yielded quantum and AI breakthroughs. Pax Silica might spawn specialised nodes for defence-grade silicon, resilient to electromagnetic pulses, vital for sixth-generation fighters like the AMCA.

Geopolitically, India's entry strengthens the Quad framework, countering China's dominance in rare earths and chip precursors. Beijing's export controls on gallium and germanium in 2023 highlighted these risks, prompting Western alliances to pivot towards friendly shores. New Delhi's neutral stance in global conflicts positions it as a trusted partner, potentially unlocking US funding under the International Technology Security and Innovation Fund.

Challenges persist, however. India must ramp up ultra-pure silicon production, where yields currently lag global leaders. Water-intensive refining processes strain resources in arid regions, necessitating sustainable tech like recycled silicon. Intellectual property concerns and export controls could slow integration, requiring robust bilateral agreements.

Workforce skilling forms another pillar. With over 20 lakh engineers graduating annually, India can train specialists in wafer fab operations via partnerships with Applied Materials or TSMC. Initiatives like the Semicon India Programme could expand, creating 1.5 lakh direct jobs by 2028.

Economically, Pax Silica promises multiplier effects. A $10 billion investment could generate $50 billion in downstream industries, from EVs to 5G infrastructure. Exports to ASEAN and Europe would bolster India's trade balance, while reducing the $20 billion annual chip import bill.

In the defence manufacturing realm, firms like Tata Advanced Systems and Bharat Forge stand to gain. Secure silicon enables advanced radar arrays and sensor fusion for armoured vehicles, aligning with Atmanirbhar Bharat. Adani Defence's drone ambitions could integrate Pax Silica chips for AI-driven autonomy.

Sustainability weaves through the initiative. Pax Silica emphasises green refining, using solar-powered fabs to cut carbon footprints. India's renewable energy push, targeting 500 GW by 2030, positions it ideally for low-emission silicon, appealing to ESG-focused investors.

Bilateral handshakes will define success. High-level dialogues, perhaps at the next 2+2 Ministerial, could formalise MoUs on supply chain mapping and vulnerability audits. Standardising specifications for mil-spec silicon ensures interoperability in joint exercises like Malabar.

Long-term, Pax Silica could evolve into a multilateral bloc, inviting Japan, South Korea, and Australia. India's role as a bridge between Global South and West amplifies its diplomatic heft, much like in vaccine diplomacy.

Risks of over-reliance loom, but diversification mitigates them. India should cultivate domestic giants alongside foreign tie-ups, echoing South Korea's Samsung trajectory.

This invitation marks not just an economic milestone but a strategic pivot. As Prime Minister Modi often notes, technology is the new battlefield. Hand-in-hand with the US, India can secure its silicon future, powering the next era of Viksit Bharat.

US Ambassador Designate Sergio Gor X.com