An EU-funded report highlights risks from Chinese export controls and reliance on US technology for Europe’s chip industry.
Europe’s semiconductor industry is grappling with mounting challenges due to Chinese export restrictions and heavy dependence on US technology, an EU-backed study found. The report underscores structural vulnerabilities in the bloc’s domestic chip production capabilities, limiting its competitiveness in global markets.
The findings follow recent trade tensions and supply chain disruptions, which have exposed Europe’s lack of self-sufficiency in critical chip manufacturing. While the EU has pledged billions to boost local production, progress remains slow compared to US and Asian rivals.
Market analysts warn that prolonged reliance on foreign suppliers could heighten geopolitical risks for European tech firms, potentially disrupting supply chains and increasing costs.