News

Europe's "Chip Act" officially takes effect: striving to double the EU's global share of chips

Views:196 Published:2023/9/22

Article Details
On the 21st local time, the European "Chip Act" officially came into effect. An announcement issued by the European Commission that day stated that the plan promotes the industrialization of key technologies through the "European Chip Plan" and encourages public and private enterprises to invest in the manufacturing facilities of chip manufacturers and their suppliers.
Under the framework of the bill, the EU plans to establish a coordination mechanism between member states and the Commission to strengthen cooperation among member states, monitor chip supply, estimate demand, and activate emergency mechanisms when necessary.
Europe accounts for less than 10% of the global semiconductor production market and relies heavily on third-country suppliers, the announcement said. If global supply chains are severely disrupted, the European industrial sector could be depleted within a short period of time, bringing European industry to a standstill.
Under the CHIP Act, the EU will bring together 11.15 billion euros in public investment from EU institutions and member states by 2030, and will leverage large amounts of private investment. In July this year, the European Parliament passed the Chip Act. The bill requires that the EU's global chip production share should be increased from the current 10% to 20% by 2030 to meet its own and world market needs.
Reposted from: CCTV news, automatically translated by Google