The EU Chips Act proposes to build on Europe’s strengths and address outstanding weaknesses, to develop a thriving semiconductor ecosystem and resilient supply chain, while setting measures to prepare, anticipate and respond to future supply chain disruptions.
Why do we need a European Chips Act?
Chips — also known as semiconductors — are the building block of all electronic products. They play a central role in our modern economies and our daily lives. Chips underpin the digital transformation and are essential to all industries, such as the car industry, communications, data processing, space, defence, smart devices and gaming, to name a few.
The recent global chips shortage has disrupted supply chains, caused product shortages ranging from cars to medical devices, and in some cases even forced factories to close.
The European Chips Act, adopted by the Commission on 8 February 2022, seeks to strengthen the semiconductor ecosystem. It is composed of a Communication, which spells out the European Strategy and rationale behind the Chips Act, a proposal for a Regulation, and a Recommendation to Member States.
What is the European Chips Act?
The European Chips Act will reinforce the semiconductor ecosystem in the EU, ensure the resilience of supply chains and reduce external dependencies. It is a key step for the EU’s technological sovereignty. And, it will ensure Europe meets its digital decade target of doubling its global market share in semiconductors to 20%.
It will do so by focusing on 5 strategic objectives:
- strengthening research and technological leadership;
- building and reinforcing Europe’s capacity to innovate in the design, manufacturing and packaging of advanced chips;
- putting in place an adequate framework to increase production by 2030;
- addressing the skills shortage and attracting new talent;
- developing an in-depth understanding of global semiconductor supply chains.
No comments:
Post a Comment