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the european semiconductor industry association calls on the eu to support industry development by accelerating the formulation of "chips act 2.0" and other means

2024-09-04

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it home reported on september 4 that the european semiconductor industry association esia called on eu legislators yesterday beijing time to adopt smart policies centered on competitiveness checks, reduce policy conflicts and cumbersome administrative requirements, and promote the development of the european semiconductor industry by accelerating the formulation of the "chips act 2.0" and other means.

members of the european semiconductor industry association include important semiconductor manufacturers and research institutions such as bosch, germany's fraunhofer society, imec, france's cea-leti laboratory, nxp, and stmicroelectronics.

the european union launched version 1.0 of its "chips act" in 2023, with the goal of increasing europe's share of the global chip market to 20% by 2030.

the bill involves a subsidy plan of 43 billion euros (it home note: currently about 338.161 billion yuan). however, intel's magdeburg wafer fab project in germany, which is expected to receive the largest subsidy under the bill, has not yet been approved for subsidies at the eu level and is also in trouble.

esia calls on the eu to speed up the review of the chip act funding program and the semiconductor-related important project of common european interest ipcei, and to establish a processor and semiconductor technology alliance at the eu level. in addition, a "chip envoy" should be appointed to coordinate semiconductor industry policies to achieve policy coordination and consistency.

with regard to semiconductor industry export policy, esia recognizes the importance of critical asset protection and economic security, but believes that a more proactive economic security strategy based on support and incentives is needed, rather than a defensive approach that relies on restrictions and protective measures.

regarding environmental protection issues in the semiconductor industry, esia believes that the eu needs to avoid restricting industry-essential hazardous specialty chemicals for which viable alternatives have not yet been found, while establishing a fast track for the development of alternative specialty chemicals.

at the same time, esia called on eu policymakers to re-evaluate regulatory measures on semiconductor recycling, as chips are small in size, precious raw materials are scarce and scattered, and disassembly is complex, making them difficult to reuse, recycle or repair on a large scale.

on the issue of human resources in the semiconductor industry, esia stated that the semiconductor production bases to be built in europe in the next few years will require 10,000 to 15,000 skilled workers; and by 2030, the talent gap in the broader european semiconductor ecosystem will reach 350,000.

therefore, the eu needs to build a comprehensive semiconductor talent education and training system to increase students' early exposure to technology and industry.