China and US push Southeast Asia over their AI blocs. Will it test region’s non-alignment?

Southeast Asian nations are finding themselves caught between two great powers in the ongoing AI rivalry. The United States is pushing for the region to join its Pax Silica, a bid to create a China-free artificial intelligence supply chain, while China is encouraging its neighbors to become part of its World Artificial Intelligence Cooperation Organisation (Waico).

Both sides have been pressuring Southeast Asian economies to align with their respective AI frameworks, each promising benefits to persuade the countries to join.

China's lobbying efforts reportedly reached senior government levels, with Beijing presenting Waico as an inclusive body that supports developing economies. Xi Jinping himself launched Waico at the World Artificial Intelligence Conference in July, with 29 members from the Global South signing on. Five Southeast Asian countries—Cambodia, Indonesia, Laos, Malaysia, and Myanmar—were among the signatories.

Meanwhile, Pax Silica, an American-led initiative, includes 24 members and seeks to strengthen supply chain security by isolating China from key technology networks. Singapore and the Philippines are the only two Southeast Asian countries in Pax Silica.

US officials have also sought to court Southeast Asian countries for the American-led AI initiative, pressuring them about their plans to join Waico while signaling disapproval of both membership in the Chinese-led organization and attendance at the Shanghai conference. The AI race between Washington and Beijing has intensified, with open-source Chinese AI models increasingly competing against closed systems built by US firms like OpenAI and Anthropic.

The Trump administration has introduced export controls to restrict China's access to advanced technology.

While Southeast Asian countries may seek to keep their options open and hedge between Chinese and US AI systems, the pressure from both powers could complicate their decision-making process. Analysts warn that the preference for multi-alignment and hedging, which has served Southeast Asia well in the past, may become increasingly difficult to maintain. The AI competition between the US and China could further strain ASEAN centrality and potentially lead to a dual-track tech architecture in the region.