On December 12, 2025, the international stage witnessed a dramatic shift in the global technology landscape with the launch of the US-led Pax Silica alliance. The initiative, designed to safeguard and advance the world’s semiconductor supply chains, brought together the United States, Japan, Australia, South Korea, Singapore, the United Kingdom, and Israel as its founding members. Notably — and perhaps controversially — India was excluded from this strategic partnership, sparking a flurry of debate and introspection about the country’s role in the future of technology.
According to reporting from Kashmir Media Service, the decision to leave India out of Pax Silica has been interpreted by experts and opposition leaders as a stinging indictment of the country’s domestic semiconductor shortcomings. Despite Prime Minister Narendra Modi’s frequent proclamations of India’s rise as a “tech superpower,” the reality on the ground paints a more complicated picture. India has yet to develop advanced fabrication plants beyond the 7-nanometer threshold, a critical benchmark for modern chip manufacturing. Instead, the country remains heavily reliant on assembly and testing operations, rather than end-to-end production, and faces persistent shortages in essential materials like silicon wafers and high-purity chemicals.
The situation is further complicated by a lack of specialized talent and ongoing infrastructure challenges — including the need for stable power and water supplies — that are vital for semiconductor fabrication. While the India Semiconductor Mission has rolled out incentives to attract investment, these efforts have not been enough to compete with the $5–10 billion per-fab costs seen in industry leaders such as Taiwan and South Korea. The risk of production delays and uncertain demand only add to the hurdles, leading some to question whether India’s ambitions are outpacing its capabilities.
Congress leader Jairam Ramesh was quick to seize on the diplomatic setback, linking India’s exclusion from Pax Silica to the sharp downturn in relations between former US President Donald Trump and Prime Minister Modi since May 10, 2025. “Given the sharp downturn in Trump–Modi ties since May 10, 2025, it is perhaps not very surprising that India has not been included,” Ramesh remarked, calling the episode a “missed opportunity.” He went on to note that India’s global credibility had suffered as a result, with Pakistan making notable regional gains and India’s closer alignment with BRICS potentially alienating Washington.
The symbolism of India’s absence from the alliance has not been lost on analysts. According to Kashmir Media Service, “being bypassed for alliances like Pax Silica signals India’s unreliability and irrelevance at the global tech table.” The decision to include Israel and Singapore as founding members — effectively taking India’s place — was seen as further evidence of cracks in Modi’s much-touted tech diplomacy and a downgrading of India’s international influence. As the US, Japan, South Korea, and Australia move to solidify their dominance in artificial intelligence and semiconductor technologies, India finds itself at risk of diplomatic isolation.
Yet, the story of India’s global standing in December 2025 is not one of unmitigated decline. Just days after the Pax Silica announcement, Prime Minister Modi was received in Addis Ababa with a rare display of diplomatic warmth. On December 17, 2025, he was awarded the “Great Honour Nishan of Ethiopia,” the country’s highest civilian distinction. In a ceremony rich with symbolism, Modi dedicated the award “to the people of India and to generations who built India-Ethiopia ties,” acknowledging the deep historical and cultural links between the two nations.
As reported by multiple outlets, Ethiopia’s recognition of Modi reflects not only personal appreciation for his leadership but also a broader acknowledgment of India’s consistent engagement with Africa as a partner in the Global South. Modi’s visit to Addis Ababa was more than a ceremonial affair; it included substantive talks on trade, development, renewable energy, digital infrastructure, and regional stability. The discussions underscored India’s long-term commitment to Africa, a continent that is increasingly central to global economic and diplomatic trends.
The timing of the honour is significant, coming as India prepares to assume the presidency of BRICS in 2026. For many observers, the Ethiopian award serves as a counterpoint to the narrative of India’s diplomatic isolation in the tech sphere. According to those close to the prime minister, the accolade “reinforces India’s rising diplomatic influence and Africa’s growing alignment with New Delhi’s development-focused global vision.” It’s a reminder that while India may be struggling to secure a seat at the semiconductor table, it continues to wield considerable influence in other arenas.
This duality — exclusion from Pax Silica on one hand, and celebrated leadership in Africa on the other — highlights the complex, sometimes contradictory nature of India’s current global standing. On the technology front, the challenges are clear. India’s semiconductor ambitions are hampered by a lack of advanced manufacturing capacity, insufficient investment, and competition from established players. The India Semiconductor Mission, though ambitious, faces an uphill battle against industry realities and the sheer scale of investment required to catch up.
Meanwhile, India’s broader diplomatic strategy continues to bear fruit. Its engagement with Africa, as exemplified by Modi’s warm reception in Ethiopia, demonstrates a pivot towards building coalitions outside the traditional Western sphere. As India prepares to lead BRICS — a bloc that includes China, Russia, Brazil, and South Africa — it is positioning itself as a champion of the Global South, advocating for development, renewable energy, and digital infrastructure as pathways to shared prosperity.
Of course, such a strategy is not without its critics. Some analysts argue that India’s growing alignment with BRICS and its pursuit of “strategic autonomy” may be contributing to its exclusion from US-led initiatives like Pax Silica. Others contend that India’s diplomatic efforts in Africa, while laudable, cannot fully compensate for missed opportunities in the technology sector. The debate is likely to intensify as the global race for semiconductor supremacy heats up and as alliances continue to shift.
Pakistan’s emergence as a key regional player adds another layer of complexity. With India’s global stature under scrutiny, Islamabad has seized the moment to assert itself in regional forums, capitalizing on India’s perceived diplomatic missteps. For many in New Delhi, this is a wake-up call — a reminder that global influence is never static, and that leadership must be earned, not assumed.
As 2025 draws to a close, India stands at a crossroads. The exclusion from Pax Silica is a setback, but not a death knell. The recognition in Ethiopia is a triumph, but not a panacea. The choices India makes in the coming months — in technology, diplomacy, and development — will shape its place in the world for years to come.
