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Semiconductors: EU’s strategy must target funds to address regional industrial needs

July 4, 2025

The following is a press release:

Semiconductors are vital to Europe’s economy, powering key technologies that drive competitiveness and the green and digital transitions. Recent global disruptions have highlighted the urgent need for a resilient European semiconductor value chain. Recognising that regions are the engines of innovation and industrial expertise, the European Semiconductor Regions Alliance (ESRA) held its annual General Assembly on 3 July at the European Committee of the Regions (CoR), calling for a stronger regional role in shaping the EU’s semiconductor strategy.

Gathering 35 European regions of the Alliance, industry experts, and institutional partners, ESRA adopted a comprehensive position paper that sets out clear demands to place Europe’s regions at the forefront of efforts to build a thriving semiconductor ecosystem, especially when the European Chips Act is due for revision and negotiations for the next EU long-term budget are underway. Participants underlined that regions are not only home to industrial clusters and research institutions but also crucial intermediaries capable of aligning EU ambitions with local realities.

The adopted position paper calls for a place-based approach that connects and amplifies regional semiconductor ecosystems across Europe. Regional leaders insisted that future EU funding must reflect local strengths, foster interregional collaboration, and better integrate small and medium-sized enterprises and startups into the broader value chain. By leveraging clusters and local supply chains, regions can drive innovation faster and more effectively while making Europe more attractive for strategic investments in high-tech manufacturing and emerging technologies.

Regions further stressed that strategic investments must be more transparent, quicker to approve, and better linked to local ecosystems and called for direct EU funding to match national resources, and greater regional involvement to ensure investments meet local needs and build resilient value chains. Recognising that technological leadership depends on skilled workers, they highlighted the urgent need to tackle Europe’s semiconductor skills gap by investing more in education and training, boosting cross-border training, strengthening industry-education links, and attracting global talent through better mobility and local infrastructure.

Quotes

Alberto Cirio (IT/EPP), Chair of ESRA and President of the Piedmont region: “Regions are key players in shaping Europe’s technological future. As Chair, the Piedmont Region is committed to strengthening territorial cooperation and promoting strategic autonomy through innovation, investments, and a shared vision for a competitive and resilient Europe. ESRA regions represent more than the 50% of the EU GDP, which clearly means that together we are stronger, and we are a pivotal partner for European institutions.”

Dirk Panter, Minister of State for Economic Affairs, Labour, Energy and Climate Protection of Saxony: “The current trade and geopolitical challenges clearly demonstrate how crucial alliances are, especially in the fully globalised semiconductor industry. Without semiconductors, a key digital technology is missing in critical sectors such as automotive, telecommunications, defence, energy, and AI. Reliable access to chips secures industrial production and strengthens Europe’s resilience. That’s why we need strong regions capable of executing strategic projects on the ground, quicker European decision-making and efficient structures that allow fast implementation.”

Background

The European Semiconductor Regions Alliance is an alliance of 35 European regions with proven semiconductor industries including suppliers and strong research and development. It aims at promoting the importance of the semiconductor industry for the economic development of European regions, countries and Europe as a whole.

The Alliance is currently chaired by the Piedmont region. In November 2025, Catalonia will take over the chairmanship of ESRA. The ESRA was founded by its former chair, the region of Saxony.

On 8 February 2022, the European Commission proposed a comprehensive package of measures to strengthen the EU's semiconductor ecosystem - the European Chips Act. The Commission's goal is to increase Europe's market share in global chip manufacturing from currently only 10% to up to 20% by 2030.

Contact

Theresa Sostmann

Tel: +32475999415

Theresa.Sostmann@cor.europa.eu

  • Published: 04.07.2025 18:36
  • Preses relīze, LETA
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