POSITION | EUROPEAN LEGISLATION | SEMICONDUCTOR
Comparison and experiences US vs. EU Chips Act 11 Lessons from the US Chips Act for the EU Chips Act
November 18th 2022 Summary Both Chambers of US Congress passed the CHIPS and Science Act on July 29th, 2022 after months of negotiations, an act that focuses on incentives for semiconductor manufacturing and research funding. The European Commission published the proposal for an EU Chips Act on February 8th, 2022, which aims to strengthen the European semiconductor ecosystem. Global demand for chips will double by the end of the decade. Increasing geopolitical tensions mean that semiconductor manufacturing is becoming the subject of strategic interests of states worldwide. High government subsidies in Asia (China, Japan, South Korea, Singapore,...) and the US are a response to this and technological competition will be further intensified as a result. In Europe we must also find a suitable response to this too and cannot waste any time now. In this paper, we therefore directly compare the EU and US Chips Acts and derive experiences and recommendations for action for the German government and the EU Commission. We are particularly interested in the following questions: What lessons can be learned from the US Chips Act for the EU Chips Act? What development potential and obstacles for German industry do we see in the EU Chips Act compared to the US Chips Act? German industry identified the following 11 lessons:
Legend: Great need for action on the EU Chips Act: Medium action required for the EU Chips Act: Minor action required for the EU Chips Act:
Dr. Sophia Helmrich | Digitalisation and Innovation | T: +49 30 2028-1402 | s.helmrich@bdi.eu | www.bdi.eu