EU Seeks Chip Sovereignty: Brussels Edition

Welcome to the Brussels Edition, Bloomberg’s daily briefing on what matters most in the heart of the European Union.

The EU will lay out its blueprint to boost the bloc’s digital industries over the next decade with a key ambition at its heart: addressing strategic weaknesses and areas of “high-risk” dependence on companies abroad.
Among the goals in the so-called 2030 Digital Compass (which we reported last week), the EU wants to start producing ultra-efficient semiconductors, faster than those currently in production by industry leaders in Taiwan. The plan comes as Europe’s auto sector faces a shortage of chips needed to outfit modern cars with assisted driving, electrification and other technology, highlighting the region’s reliance on the U.S. and Asia for crucial components. The EU’s plans are ambitious and will need long-term commitment by the bloc — long after current leaders, lawmakers and Commission officials have rotated out of their posts.