The European Commission recently asked for the semiconductor sector feedback as it is trying to formulate the European Economic Security Strategy amid geopolitical tensions and strategic dependencies of the industry. SEMI Europe, a semiconductor industry association, responded to the call and issued a paper that calls for the chip industry international collaboration, establishing a structured dialogue between the industry and legislators and also warning the EU from imposing further restrictions against China.
Although SEMI Europe supports the European Economic Security Strategy's focus on establishing a common framework for achieving economic security, minimizing risks, and plans to support the European microelectronics industry (the so-called European Chips Act) export controls that, among other things, prevent technology leakage, the group stresses that maintaining free trade partnerships is the most effective strategy to ensure security during geopolitical crises. As a result, the new European Economic Security Strategy should not prevent investments from foreign entities and to foreign entities or restrict sales of certain items internationally.
