Council of the EU approves EUR 43bn 'Chips Act'
The Council of the European Union has approved regulation designed to double Europe's market share in the global semiconductor market from 10% to 20% by 2030.
This is the Chips Act, which was first announced in September 2022 as a program to create better conditions for EU member states to manufacture semiconductors, attract investments and promote R&D.
The act was the inevitable response to similar legislation being passed all over the world as different regions sought to protect themselves from too much reliance on competitor states.
On Wednesday July 26, the EU approved the Chips Act. The bill will provide EUR 43 billion euros in private and public investments with the ultimate aim of doubling the EU's global share of chip production from 10% today to 20% by 2030.
"With the Chips Act, Europe will be a frontrunner in the world semiconductors race," said Hector Gomez Hernandez, Spain's minister for industry, trade and tourism. "We can already see it in action: new production plants, new investments, new research projects. And in the long run, this will also contribute to the renaissance of our industry and the reduction of our foreign dependencies."
The Chips Act will be signed by the presidents of the European Parliament and the European Council. It will then be published in the Official Journal of the European Union and enter into force on the third day following its publication.
