On 8^th February 2022 the European Commission launched the European Chips Act. It aims to support Europe’s competitiveness and resilience in semiconductor technologies and applications and help achieve both the digital and green transition. It aims to do this by strengthening Europe’s technological leadership in the field. The recent chips shortage highlighted the extreme global dependency of the semiconductor value chain on a very limited number of actors in a complex geopolitical context.

With the European Chips Act, the EU aims to give a response to the semiconductor shortages and reinforce Europe’s technological leadership. It will employ more than € 43 billion of public and private investments and set measures to cope with any future supply chain disruptions. The main objectives of the EU Chips Act include building and strengthening capacity to innovate in the design, manufacturing and packaging of advanced chips and building a framework to increase production capacity to 20% of the global market by 2030

The European Parliament and Member States will discuss the Commission's proposal according to the ordinary legislative procedure. If adopted, the Regulation will be directly applicable across the EU.