EU Faces Funding, State Aid Hurdles With $48 Billion Chips Act
- Commission president says money from private, public sources
- Draft says state aid should not distort trade and competition
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The European Union wants its upcoming Chips Act to rival the U.S., but there are increasing doubts from member states and European lawmakers over how to make existing funds available, according to people familiar with the matter and documents seen by Bloomberg.
The EU has an ambitious goal of producing 20% of the world’s chips by 2030 -- a move that requires the bloc quadruple its semiconductor production in just eight years. Internal Market Commissioner Thierry Breton has said the EU’s plans will be “commensurate” with the $52 billion recently announced by the U.S. to fund its own chip supply chain.