The United States and theEuropean Union will announce a joint effort to avert a “subsidy race” for chip manufacturing. The decision will be announced at the second meeting of the US-EU Trade and Technology Council (TTC), which will take place in Paris next week. After all, last year the TTC intervened on theimportance of transatlantic cooperation in order to strengthen semiconductor supply chains. And not only. The US and EU also want to take a more unified approach to regulating large global tech companies. But let’s understand something more about the situation
“You will see us announce … a transatlantic approach to investing in semiconductors aimed at ensuring security of supply.” So reports a spokesman for the Biden administration. The intent of both, in fact, is to encourage investment in chip manufacturing. But – rightly – they want to “do it in a coordinated way, and not simply encourage a race for subsidies”. On the other hand, it is undeniable that in recent months the shortage of semiconductors has stopped production in the automotive and electronics sectors. And forced many companies to stop the business.
Yet despite this, the US law provides for it financed for 52 billion dollars to increase production it was blocked in Congress. Now, however, some sort of transatlantic alliance could unblock the situation. Provided the US and EU can figure out how to identify and address disruptions in the semiconductor supply chain. Furthermore, it appears that the two will also announce a new cooperation scheme for fight disinformation online. Like the Russian false information about the invasion of Ukraine. In short, two current issues, on which the US and the EU seem willing to collaborate.