Europe. The European Parliament currently has two legislative proposals that seek to boost local chip production; the Chips Act and the Chip Joint Venture Act, if passed, could increase the supply of these technological components globally.
It is well known that the shortage of microchips has triggered global strategies to promote local manufacturing, so that regions can guarantee this fundamental component, which affects the productivity of multiple industries and therefore their exports, especially when it comes to technology, such as that needed for HVAC equipment.
Moreover, within the description of the chip law it is specified that the precedent is that "the global shortage of semiconductors has exposed Europe's dependence on supply from a limited number of companies and geographies, and its vulnerability to third-country export restrictions and other shocks in the current geopolitical context."
In general, the objective of this law is "to establish a framework of measures to strengthen the semiconductor ecosystem in the Union" focused mainly on the production of quantum chips and next-generation semiconductors.
However, the proposal "Horizon Europe Joint Undertakings: Chip Joint Undertaking" would aim to amend Regulation (EU) 2021/2085 establishing Horizon Europe Joint Ventures as regards the Chips Joint Undertaking. So it is in charge of supporting the chip law
Investment data
Finally, another relevant fact to understand the magnitude of this new legislation is the budget with which the European Union will support the 'Chips for Europe' initiative which is included in the observatory.
"A total amount of up to €3.3 billion, of which €1.65 billion through the Horizon Europe programme and €1.65 billion through the Digital Europe programme. Of this total, EUR 2.875 billion will be implemented through the Chips Joint Undertaking, EUR 125 million through InvestEU and EUR 300 million through the Connecting Europe Facility (CEF)."
