About a month ago, in December, the U.S. formally launched a silicon alliance to counter China’s growing dominance in 21st century’s technologies. Japan, South Korea, Singapore, the UK, Australia and Israel were part of the alliance. India was conspicuously absent in a grouping of nations that were setting the terms on next generation of technologies will emerge.
Called Pax Silica, the U.S.-led strategic initiative was designed to secure the entire “silicon ecosystem”, from rare earth minerals mined out of the ground to the advanced semiconductor fabrication and AI infrastructure that will define the next century.
But, in a move that feels as much like a strategic manoeuver as a diplomatic olive branch, U.S. Ambassador-designate Sergio Gor announced this week that America plans to invite India to join the “Pax Silica” alliance as a full member in February.
While the invitation suggests a warming of ties, for New Delhi, this invitation is not just about joining a club but an invitation to pick a side in a digital cold war at a time when its own technological foundations are still being laid.
And India, which currently refines less than 2% of the critical minerals it consumes and is still in the early stages of building its first world-class chip “fabs,” is viewed more as a “potential partner” than a core architect of the future.
The country’s technological lag coupled with a potential invitation to join the silicon group seems like a “Good Cop vs Bad Cop” drama that will leave Indian policymakers confused. That’s because, America’s Commerce Secretary Howard Lutnick recently used a high-profile podcast to publicly chide India, suggesting the New Delhi was “late to the train” on trade deals and essentially blaming Indian government for the lack of progress on tariffs.
This “Bad Cop” move from the U.S. trade leadership suggests that any inclusion in a tech alliance like Pax Silica comes with a steep price tag in the form of trade concessions that India has historically resisted.
The result of this missed connection has been devastating as Indian goods now face 50% tariffs, the highest in Asia, with the threat of 500% punitive tariffs looming if India continues its reliance on Russian energy.
The decline in purchasing oil from Russia and the pivot by Reliance Industries toward U.S.-controlled Venezuelan oil is a clear sign that the economic “stick” is working, making the Pax Silica invitation look like the high-tech “carrot” intended to secure India’s total alignment.
The true quandary for India, however, lies in its delicate and ongoing deliberations regarding China. After a five-year-long freeze on Chinese firms following the 2020 Galwan clash, the Indian government is currently weighing a proposal to remove the ban on Chinese companies bidding for massive government contracts, estimated to be worth over $700 billion.
Though the proposal to remove the ban is not yet finalised, joining Pax Silica would effectively require India to commit to a “Silicon Curtain,” aligning its tech standards and supply chains exclusively with a U.S.-led bloc that seeks to “de-risk” from China. And a decision to join the bloc after the table is set effectively diminishes a new member’s leverage, creating a strategic nightmare for New Delhi.
If India joins Pax Silica, it may secure the long-term technology transfers it needs to fix its AI lag, but it risks alienating the very Chinese supply chains it is currently considering letting back in to solve its immediate industrial bottlenecks.
New Delhi is being asked to commit to a future on Washington’s terms, even as it struggles with the practical, messy reality of its current technological dependence on its northern neighbour. For a nation that prides itself on “strategic autonomy,” the price of admission to Pax Silica may be the very flexibility it needs to survive.
Published – January 16, 2026 07:00 am IST