European coalition pushes for second Chips Act funding to boost semiconductor sector

Bottom line: Europe continues to lag in semiconductor production despite spending billions of euros trying to rectify this. But a new initiative signals the continent's intent to compete with leading semiconductor markets such as the United States and Asia. A coalition of nine European Union countries, led by the Netherlands, has been formed to accelerate plans for a potential second funding package under the European Chips Act. This initiative aims to present proposals by summer, following the mixed results of the 2023 Chips Act, which, despite preventing a decline in Europe's industry, failed to meet its key objectives due to slow approval processes and less state support than that provided by the U.S. and China. Dutch Economy Minister Dirk Beljaarts emphasized the need for a more targeted approach in the potential second funding program. "We need to allocate funds," Beljaarts told Reuters. "Both private and public funds to push the sector, also to make sure that the trickle-down e ... Read full article.