(Finance) – Strengthen technological capacity and innovation in the semiconductor sector and increase investment and strengthen the European semiconductor industrial ecosystem. With these objectives the European Parliament defined its negotiating position on two bills: one on “Chips Act” and a second on the joint venture “Chip”. Parliament is now ready to start negotiations with EU governments on both dossiers.
For what concern Chips Act, MEPs approved text adopted by the industry committee, which proposes measures to support the production of next-generation semiconductors and quantum microchips, and the creation of a network of centers to address skills shortages and attract new research talent , design and production. It also wants to support projects that aim to increase the EU’s security of supply by attracting investment and developing production capacity. The Chips Act negotiating mandate was approved without a vote, in accordance with Rule 71.2 of the Rules of Procedure.
Measures to respond to future shortages – MEPs want to set up a crisis response mechanism, based on the Commission’s assessment of the risks to semiconductor supply and a series of indicators in member states, which could trigger a European-wide alert. Such a situation would allow the Commission to immediately introduce contingency measures, such as establishing a priority list for the supply of products particularly affected by the shortage, or making common purchases for Member States.
The Chips Initiative for Europe – In a separate vote, MEPs adopted by 594 votes to 15, with 27 abstentions, the proposed Chip Joint Undertaking, which implements the measures set out in the ‘Chips for Europe Initiative’. The initiative aims to support large-scale capacity building through investment in research, development and innovation infrastructure accessible across the EU.
“The EU Chips Act – declared the Chips Act Speaker Dan Nica – should establish Europe as a key player in the global semiconductor arena. Not only must the budget be matched to the challenges and financed with fresh money, but the EU must be a leader in research and innovation, have a business-friendly environment, a fast authorization process and invest in a skilled workforce for the semiconductor industry. Our aim is to ensure growth in Europe, prepare for future challenges and have the right mechanisms in place to deal with crises”.
“The microchips – said the Chip Joint Undertaking rapporteur Eva Maydell – are an integral part of the EU’s digital and green transition, as well as our geopolitical agenda. We are calling for new funding that reflects the strategic importance of the European chip industry. Europe’s partners and competitors are also investing heavily in their semiconductor plants, expertise and innovation. We may not have the enormous financial power of the United States, but the budget offered by the Commission and the Council must reflect the seriousness of the challenge”.
(Photo: © Architecture Studio)