The new law, already agreed upon between Parliament and Council, aims to create a favourable environment for chip investments in Europe, by fast tracking permitting procedures and recognising their critical importance via a so-called “highest national significance statute”. Small and medium-sized businesses will also benefit from increased support, especially in the area of chip design, in order to boost innovation.

The legislation will support projects that boost the EU’s security of supply by attracting investment and building up production capacity. During the talks with the representatives of the Council, MEPs secured €3.3 billion for research and innovation related to chips. A network of competence centres will be created to address the EU’s skills shortage and attract new talent for research, design and production.

Crisis response mechanism to address supply problems

A crisis response mechanism will be set up, through which the Commission will assess the risks to the…