In a bold move to challenge China’s stranglehold on vital technologies, the United States has enlisted India as a pivotal ally in securing supply chains for AI, semiconductors, and rare earth elements. Jacob Helberg, a top State Department official, made this revelation during testimony to the House Foreign Affairs Committee, underscoring the geopolitical stakes in today’s tech-driven world.
India’s inclusion in the ‘Pax Silica’ coalition marks a significant milestone. This US-orchestrated alliance aims to create resilient networks for critical materials and advanced tech, shielding allies from overreliance on Beijing. Helberg framed it as essential for the AI age: ‘The countries that control AI’s industrial base will dominate the next decades.’
India brings formidable assets to the table— a talent powerhouse that can match China’s workforce and status as the third-largest mineral refiner globally. China’s near-monopoly on 90% of refining capacity poses a ‘core challenge,’ Helberg warned, prompting swift US action.
Key elements of the plan include brownfield expansions for refining in friendly territories and private investments in mining operations across India, Australia, and South Korea. Complementing these are export restrictions and efforts to diversify away from Chinese dominance in trade and industry.
Helberg posed a stark question to lawmakers: ‘Are we at ease with dependency on a nation openly pursuing decoupling?’ Political divides surfaced on tariffs, but unity prevailed against China’s ascent.
A recent summit with 55 nations focused on mineral alternatives, while a fresh US-India trade pact boosts energy deals and investments. As relations deepen, this collaboration heralds a new era of strategic equilibrium in global supply chains.