The European Union intends to solve the problem of an unprecedented shortage of microchips, due to which automobile plants and enterprises producing smartphones, as well as electrical and medical equipment are idle.
But Brussels is facing a difficult task - to evenly distribute the benefits from the implementation of the plan throughout the eurozone.
Margrethe Vestager, European Commission Vice President for Competition:
“This solution increases flexibility to prevent race for subsidies. It ensures that proportionate, targeted assistance is provided in line with a pan-European approach, minimizing competitive imbalances. Help will be provided where it is really needed. And looking at the development of the global microprocessor technology industry, I conclude that today there is a special need to launch large-scale production in Europe. ”
A number of countries, such as France and Germany, demanded free access to finance for national companies to compete with China. Others (including Denmark and the Netherlands) opposed the allocation of government funds to local microelectronics manufacturers.
Sandro Gosi, MEP:
“This is a good start. Obviously, we need to move in different directions, diversify production in order to become truly competitive. Everything must be done to ensure that the conditions for European industry and industry in the rest of the world are equal. Of course, it is extremely important for the European Union to gain technological independence in the production of microchips. ”
The European Commission also decided to extend until June 30, 2022, the temporary program of state support for European companies and enterprises that suffered serious economic losses during the pandemic crisis.