Chip Industry Group, SEMI Calls for an Assertive EU Industrial Policy
Chips industry group SEMI has shared its thoughts on improving the EU’s semiconductor system. SEMI wants the new European Commission to implement recommendations made by former European Central Bank (ECB) chief, Mario Draghi on assertive EU industrial policy.
According to Yahoo Finance, these actions will ensure the region can compete with China and the US in chip manufacturing.
Need for Speedy Action
Chip group SEMI argues that the EU needs to move with speed in making decisions regarding its export policy. The US and China have already commenced export restrictions on strategic minerals and chip technology.
SEMI’s legislative submissions focused on boosting the EU’s future competitiveness in emerging technologies like driverless cars and AI. The association emphasized the need review the current legislative and possibly launch the European Chips Act 2.0
“The European Chips Act has generated strong momentum, and our recommendations highlight urgent actions to continue the progress made. Policymakers must build on this momentum by strengthening the legislative framework and advancing toward a Chips Act 2.0,” SEMI Europe President, Laith Altimime said.
SEMI expressed its commitment in working with stakeholders in the review of the current legislative framework.
“SEMI Europe is committed to engaging with stakeholders to advocate for a comprehensive ‘Chips Act 2.0’ initiative that will address gaps in the current framework. This initiative will help solidify Europe’s position in the global semiconductor sector, boost competitiveness, and enhance security,” Altimime said.
Protecting EU Interests
In its statement, SEMI asserted its support for the ECB report that was released in September 2024. In the report, the ECB underscored the need for a consolidated EU budget to strengthen the semiconductor ecosystem in the EU beyond the initial Chips Act, 2023. The report also recommended additional spending on the semiconductor industry and a seamless approval process for strategic tech projects.
SEMI also wants the European Commission to align protective measures like export tariffs and export controls on lithography equipment to boost the EU’s global competitiveness. According to SEMI, an assertive EU chip policy is needed to “protect EU strategic interests and to assert a strong EU voice on the global stage,” the group’s statement said.
Europe’s Green Deal
SEMI says it supports goals such as attracting new manufacturing as outlined in the original Chips Act. However, the group highlighted the need for the EU to incentivize companies to support new semiconductor supply chains and technologies, terming them as critical to the success of the EU’s transition to the green economy.
The associationI is keen on having the European Commission integrate semiconductors in the European Green Deal. The association says this can be done by developing a policy that balances innovation, sustainability, and research.
Such a framework should ensure the sustainability of essential chemicals while maintaining the competitiveness of the EU semiconductor supply chain. SEMI has a sustainability consortium that was established two years ago. The talent in this consortium will be key in supporting the framework development process.
SEMI is the largest trade semiconductor industry association in Europe. The group has 300 members drawn from equipment suppliers like ASML, research centers, and manufacturers.
