US-China AI race forces Southeast Asia to weigh Pax Silica against WAICO

September 10, 2026 at 07:11 PM2 min

This digest was compiled by AI from multiple sources — links to the originals are below.

Southeast Asian governments face a new AI dimension in the US-China rivalry, as Washington reportedly pressures partners to choose between the US-led Pax Silica and China's WAICO. The draft State Department letter, reported by Reuters in August, signals a push for stronger alignment in technology cooperation. Kazakhstan, Uzbekistan, and Singapore have so far pursued participation in both initiatives.

Key Facts

Reuters reported in August that a draft US State Department letter warned partners against combining participation in Pax Silica with competing arrangements.
Pax Silica was launched in December 2025 to foster cooperation across technology supply chains, from critical minerals to AI systems.
WAICO began with 29 countries signing its founding agreement in Shanghai on July 16, and by August 12 Foreign Minister Wang Yi reported 38 founding members.
Kazakhstan joined both Pax Silica and WAICO, while Uzbekistan joined WAICO and is actively seeking Pax Silica membership.
Singapore described the Pax Silica declaration as non-binding and framed its participation in terms of mutual economic benefit.

US Pressure on Partners

A draft US State Department letter reported by Reuters in August warned partners against combining participation in Pax Silica with competing arrangements. The letter did not name specific countries, but the inference was that Washington sought to discourage participation in China's World Artificial Intelligence Cooperation Organization (WAICO). The draft was undated, and Reuters could not establish whether it would be sent or changed. Its political ambition was clear: Washington wanted cooperation on AI to carry a stronger expectation of alignment.

Competing Technology Initiatives

Pax Silica, launched in December 2025, brings together countries seeking closer cooperation across technology supply chains, from critical minerals to AI systems. Its appeal lies in the prospect of investment, industrial partnerships, and advanced American technology. WAICO began with 29 countries signing its founding agreement in Shanghai on July 16, and by August 12 Foreign Minister Wang Yi reported 38 founding members. WAICO's stated purpose is to promote international cooperation and global governance on AI, with a focus on equitable access for Global South countries.

Southeast Asian Responses

Kazakhstan joined both Pax Silica and WAICO, as Reuters noted. Uzbekistan joined WAICO and is actively seeking membership in Pax Silica. Singapore described the Pax Silica declaration as non-binding and presented its participation in terms of mutual economic benefit. The reported US letter matters because it would narrow that flexibility, forcing partners toward a binary choice.