• News
    • Stocks
    • Banks and Finance
    • Companies
    • Crypto
    • Forex
  • Videos
  • Articles
    • Forex CRM
    • Crypto Payments
    • Trading
    • Crypto Exchange Business
    • Forex Business
    • Fintech
    • Liquidity
    • FinTech Awards
  • Liquidity Providers List
  • Crypto Payment Providers

Dark Theme

EU Rolls Out A Red Carpet For TSMC And Other Semiconductor Giants

Feb 10, 2022

EU Rolls Out A Red Carpet For TSMC And Other Semiconductor Giants

On Tuesday, the European Union unveiled a plan to produce one-fifth of the world's microchips, declaring itself "open for business" to Taiwanese semiconductor companies and other industry heavyweights.

The Act commits at least €42 billion (US$48 billion) in public and private sector funding by 2030 to an ambitious plan to essentially increase the EU's chip manufacturing to 20% of the world supply of semiconductors, the small processing units that will power the industries of the future.

Currently, the bloc generates 10% of the world's supply, with few of them deemed cutting-edge.

The goal is to reduce the EU's reliance on other nations, with officials citing the present chip scarcity as proof of the need to strengthen Europe's supply chain.

"The Covid-19 crisis has brutally highlighted chip and supply chain vulnerabilities. You are aware that the worldwide scarcity of chips has significantly hindered our recovery," Ursula von der Leyen, President of the European Commission, said.

"We've seen whole manufacturing lines come to a halt, such as with automobiles. Despite rising demand, we were unable to provide it due to a shortage of chips."

Attracting world-leading chip makers to invest in growing the EU's capacity would be critical to the plan's success, which will be difficult given that it is believed that making chips in the West is two to three times more costly than in China and other high-tech Asian manufacturing centers. While China is not currently a chip production pioneer, it does have a world-class manufacturing supply chain in which Taiwanese and South Korean semiconductor businesses have made significant investments.

Brussels has relaxed EU regulations on state assistance to entice industry leaders, allowing member states to use public funds to establish new or improve existing industrial plants under specific circumstances.

Margrethe Vestager, the EU's competition commissioner, said that the EU is already in negotiations with the market leader, Taiwan Semiconductor Manufacturing Co (TSMC).

"I am aware of some of the negotiations that are going on, which involve Taiwan's TSMC. And now we'll see whether those initiatives come to fruition as well. Europe is open for business, including TSMC," Vestager said, adding that firms in the United States, Japan, South Korea, and Singapore were "like-minded partners" the EU will collaborate with.

According to a senior diplomat, the Taiwanese government is negotiating with its Lithuanian counterparts about establishing a manufacturing plant there as part of a budding relationship that has enraged China.

"We are just assisting Lithuania at the government level. I believe this is the first example, but we would want to help other European nations as well," Eric Huang, the director of Taiwan's Representative Office in Vilnius, stated.

Huang also said that Taipei had organized an "expert group" to investigate the "most practical manner" to assist in developing a tech ecosystem in Lithuania and then Europe.

"This is something we'd want to do wisely because we want this to be a successful case. Following the findings of our expert panels, we will determine which industries are the most promising for Lithuania's development, including the semiconductor industry," Huang said.

Brussels, too, has been eager to use Taiwan's experience in the area, albeit it has difficulties in dealing with the geopolitical ramifications with China.

For fear of further upsetting China, it postponed efforts to strengthen relations with Taiwan late last year.

Working groups on semiconductors and other high-tech industries would have been created as part of the upgrading.

Bilateral talks would be held more frequently than the existing yearly dialogue and at the "director general" level in the EU; prior interactions included deputy ranks. The strategy will most likely be revised in the following months.

Businesses praised the EU's chip proposal, with the influential Federation of German Industries (BDI) calling chip independence "an indispensable aspect of a European economic strategy aimed toward resilience."

"With rising geopolitical tensions and large state subsidies for semiconductor manufacture from nations such as China and the United States, the technological rivalry is heating up. These trends, as well as the demands of Europe's sector, must be included in the European semiconductor strategy," said Iris Ploger, a member of the BDI executive board.

EU officials warned that this strategy would not be enough to make Europe self-sufficient. Vestager estimated that true independence would cost between €240 billion and €320 billion.

"And, even if you had that type of money, where would you get the people to construct it? The argument is that Europe should have a far bigger presence in the global value and supply chains," she added.

Also, the EU's budgetary allocation does not compare well to that of other economies.

The United States has set aside $52 billion for its semiconductor research program through 2026. According to the EU, China has spent $150 billion in the industry via programs such as Made in China 2025.

South Korea will spend a record US$450 billion in its semiconductor sector by 2030, thanks to tax breaks and private and state investment.

Subscribe Our Newsletter

European Stocks Bounce Back As Russia Withdraws Some Troops From Ukraine Border
European Stocks Bounce Back As Russia Withdraws Some Troops From Ukraine Border

Miners were among the biggest gainers in London, with Glencore rising as high as 3.9% before retreating somewhat after recording massive profits due to rising commodities prices.

Stocks
4 Blockchain Trends for 2022
4 Blockchain Trends for 2022

BaaS is a cloud-based system that enables users to produce digital products in collaboration with blockchain.These digital commodities might include smart contracts, decentralized applications (Dapps), or other services that do not require the entire blockchain infrastructure to work.

Crypto
Liquidity Provider

Top 10 White Label Exchange Solutions in 2022
As in the mining boom period, bitcoin exchanges are the pick-and-shovel of the new sector. Since 95 % of all cryptocurrency activity occurs on exchanges, crypto exchanges are vital for benefitting from the multibillion-dollar crypto industry.

discover
5 Top-Tier Breakthrough Trading, Crypto and Fintech Industries Software Solutions in 2022

Constantine

5 Top-Tier Breakthrough Trading, Crypto and Fintech Industries Software Solutions in 2022

At the intersection of finance and technology, FinTech is an expansive industry that continues to grow at a rapid pace. This market features innovative approaches to goods and services offered by the conventional financial sector combined with technological advances from tech companies or new entrants.

Crypto Exchange Business

Contact Us

Contact the Liquidity Provider
for any questions and advertising inquiries b2broker

    Please fill out this contact form to get in touch with us

    / 3000

    By clicking “Get in touch” button, you agree to the privacy policy

    Tamta

    What Is A Candlestick Chart?

    https://liquidity-provider.com/app/uploads/2023/03/cover-6-300x203.jpg

    Constantine

    White Label Forex Software — Ultimate Guide on How to Choose The Best Industry Solution

    https://liquidity-provider.com/app/uploads/2023/03/cover-3-300x203.jpg

    Tamta

    Forex Trading: A Beginner’s Guide

    https://liquidity-provider.com/app/uploads/2023/03/cover-2-300x203.jpg

    Tamta

    How to Create a Cryptocurrency

    https://liquidity-provider.com/app/uploads/2023/03/cover-1-1-300x203.jpg

    Tamta

    Top Ten Richest People In The World, 2023

    https://liquidity-provider.com/app/uploads/2023/03/cover-4-1-300x203.jpg

    Constantine

    What’s at Stake? Here’s How to Avoid Scam Tokens

    https://liquidity-provider.com/app/uploads/2023/03/cover-5-300x203.jpg

    Constantine

    Investing in Currencies That Are More Valuable Than the American Dollar

    https://liquidity-provider.com/app/uploads/2023/02/cover-2-300x203.jpg

    Alexander

    5 Best Forex CRM Solutions for 2023

    https://liquidity-provider.com/app/uploads/2023/02/cover-300x203.jpg

    Alexander

    Full Bitcoin Price History: From 2009 to 2022

    https://liquidity-provider.com/app/uploads/2023/01/cover-11-300x203.png

    Constantine

    Top 5 Most Reliable KYC Technology Providers

    https://liquidity-provider.com/app/uploads/2023/01/cover-10-300x203.png

    Alexander

    The Best Crypto Wallets of 2022: Top 5 Picks

    https://liquidity-provider.com/app/uploads/2023/01/cover-2-300x203.png

    Alexander

    Top 5 Most Reliable Forex Brokers of 2022

    https://liquidity-provider.com/app/uploads/2023/01/cover-1-300x203.png

    Constantine

    5 Top-Tier Breakthrough Trading, Crypto and Fintech Industries Software Solutions in 2022

    https://liquidity-provider.com/app/uploads/2023/01/cover-300x203.png

    Constantine

    5 Most Successful FinTech Industry Startups in 2022

    https://liquidity-provider.com/app/uploads/2022/12/cover-300x203.png

    Constantine

    Top 7 Liquidity Providers of 2022

    https://liquidity-provider.com/app/uploads/2022/12/liquidity-provider-3-300x203.png

    Alexander

    Top 5 Crypto Exchanges of 2022

    https://liquidity-provider.com/app/uploads/2022/12/liquidity-provider-1-300x203.png

    Constantine

    Top 5 Most Distinguished White Label Solutions in 2022

    https://liquidity-provider.com/app/uploads/2022/12/liquidity-provider-2-300x203.png

    Constantine

    What is Crypto Leverage Trading And How Does It Work?

    https://liquidity-provider.com/app/uploads/2022/12/oblozhka-5-300x203.png

    Constantine

    Top 5 Most Prospective Tokens in the Metaverse.

    https://liquidity-provider.com/app/uploads/2022/12/cover-7-300x203.png

    Constantine

    How to Mine Bitcoins? – Beginners Guide

    https://liquidity-provider.com/app/uploads/2022/11/cover-5-300x203.png

    Oliver

    Blockchain for Business. Pros & Cons

    https://liquidity-provider.com/app/uploads/2022/11/oblozhka-1-300x203.png

    Constantine

    The Future of Stablecoins and Central Bank Digital Currencies (CBDCs)

    https://liquidity-provider.com/app/uploads/2022/11/cover-3-300x203.png

    Alexander

    What is Web 3.0 and Why Does it Matter?

    https://liquidity-provider.com/app/uploads/2022/11/cover-1-300x203.png

    Constantine

    5 Benefits of Accepting Crypto Payments for Your Business

    https://liquidity-provider.com/app/uploads/2022/11/cover-300x203.png
    • News
      • Stocks
      • Banks and Finance
      • Companies
      • Crypto
      • Forex
    • Articles
      • Forex CRM
      • Crypto Payments
      • Trading
      • Crypto Exchange Business
      • Forex Business
      • Fintech
      • Liquidity
      • FinTech Awards
    • More
      • Videos
      • Liquidity Providers List
      • Crypto Payment Providers
    [email protected]

    © 2023 Liquidity Provider. All Rights Reserved

    Privacy Policy Cookie Policy