Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Commercial Diplomacy topic
No spam. Unsubscribe anytime.
State Department outlines PAX silica coalition and supply‑chain strategy to keep AI and critical minerals out of Chinese control
Summary
Under Secretary Jacob Hellberg told the House Foreign Affairs Committee the State Department is centering commercial diplomacy on supply‑chain security, AI and critical minerals through the PAX silica coalition, a chip concierge service and Forge (the successor to the Mineral Security Partnership). Lawmakers pressed him on staffing, coordination, and export controls.
Under Secretary Jacob Hellberg testified that economic statecraft must defend U.S. industrial leadership and called for a whole‑of‑government approach to secure AI and critical‑minerals supply chains.
"The nation that controls the industrial foundations of artificial intelligence will lead this century," Hellberg told the House Committee on Foreign Affairs, outlining the administrations PAX silica coalition and related initiatives. He said the coalition now includes partners across Asia, Europe, the Middle East and other regions and that membership is designed to match countries to different layers of the AI supply chain.
The State Department described three lines of effort. First, membership: select partners with complementary industrial strengths and allied manufacturers. Second, projects: invest in logistics corridors, brownfield refining and industrial capacity so that critical inputs and finished goods can move reliably and be produced at scale. Third, policy: coordinate market incentives, anti‑dumping measures and common definitions of sensitive technologies among partners.
Hellberg highlighted a recent diplomatic review of key trade corridors, including the Panama Canal and the Luzon corridor, and said the department is working with partners to expand and modernize logistics capacity. He also described an "AI chip concierge" service intended to help allied governments and trusted partners adopt American technology while meeting export‑control guardrails.
The under secretary said the administration launched a competitive process to award up to $200 million in foreign assistance for secure, low‑cost devices that run on American software, and noted Forge as the successor to the Mineral Security Partnership, adding new members and a proposed preferential trade zone oriented to directing private capital into refining and processing.
Members pushed Hellberg on implementation details. Representative Young Kim asked what additional authorities the State Department needs if the Foreign Commercial Service remains at Commerce; Hellberg said State is using economic officers at posts and can coordinate with Congress on reforms. Members also asked how the administration will counter Chinese dominance of refining capacity for critical minerals; Hellberg described a strategy of prioritizing brownfield projects, convening offtake agreements, coordinating DFC and private finance, and using a pricing mechanism to unlock private capital.
Why it matters: Committee members from both parties framed the issue as central to national security. Securing minerals and AI infrastructure affects defense research, manufacturing resilience and the United Statesability to set technical standards. The hearing closed with members reserving additional questions for the record and seeking follow up documentation from the department.
Next steps: Committee members asked for briefings and follow‑up information on staffing, the chip concierge service, Forge implementation and interagency coordination; Hellberg offered to work with members and staff on those requests.
