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The European Council approved the "Chip Act" and will invest 43 billion euros to support the chip industry

2023-07-27 16:32:38
On July 25, local time, the Council of the European Union approved regulations aimed at strengthening the European semiconductor ecosystem, the Chip Act.

The "Chip Act" aims to create conditions for the development of the European industrial base in the semiconductor field, attract investment, promote research and innovation, and prepare Europe for future chip supply crises.

According to reports, the EU will raise 43 billion euros in public and private funds (of which 3.3 billion euros come from the EU budget), with the goal of doubling the EU's global semiconductor market share from the current 10% to at least 20% by 2030.
Image credit:Council of Europe

According to the package of measures announced by the EU, after the "Chip Act" takes effect, the EU intends to mobilize 43 billion euros in public and private investment (including the allocation of 3.3 billion euros in the EU budget), with the goal of doubling the EU's share of the global semiconductor market by 2030, Increase from the current 10% to at least 20%.

In addition, the EU will create a competence center to attract talents to promote chip research and development; set up a chip export monitoring mechanism to deal with possible supply crises; encourage member states to support chip production and entrepreneurship, and create conditions for building an EU chip production base.

The representative of the EU rotating presidency, Spanish Minister of Industry, Trade and Tourism Hector Gomez said in the announcement that in the face of the global chip competition, the EU will "lead the way" through the "Chip Act" to promote chip production, investment, research and development etc.; the long-term goal is to "rejuvenate" the EU chip industry and reduce external dependence.